THE STATE OF PUNJAB THROUGH ASSISTANT COLLECTOR OF STORES, PUNJAB, CHANDIGARH Vs. M/S K. PHARMACEUTICALS WORKS, RAILWAY ROAD, JIND

JUDGEMENT

(1.) THIS revision petition is directed against the order of Senior Subordinate Judge, Jind dated December 11, 1987, whereby he appointed an arbitrator, Shri P.K. Gupta, Advocate.

(2.) VIDE order dated January 18, 1984, one Shri Kulwant Rai, Member Secretary, the Punjab Khadi and Village Industries Board, Chandigarh, was appointed as an arbitrator in the dispute between the parties. Arbitration proceedings were held by him on several dates, but the same were not finalised for the reasons best known to him. However, the State of Punjab vide its application under Section 28 of the Arbitration Act, (hereinafter called the Act), dated June 2, 1987: sought extension of time and for finalisation of the arbitration proceedings. Reply to the said application was filed on behalf of the Respondent It was pleaded therein that the said arbitrator was interested in the case and, therefore, no extension be allowed It was also stated that a new arbitrator be appointed instead of granting time to the arbitrator A rejoinder to the said application was filed by the State purporting to be an application for flesh appointment of an arbitrator under Section 8(b) of the Act. It was stated therein that during the pendency of the proceedings, the said arbitrator had retired from service, and, therefore, in view of Clause 18 of the arbitration agreement, a new arbitrator may be appointed by the Court for which a panel of was given The learned Senior Subordinate Judge after hearing the counsel for the parties, appointed one Shri P K Gupta, Advocate as arbitrator on payment of Rs. 500/ - as his lees vide impugned order dated December 11, 1987.

(3.) I have heard the learned Counsel for the parties and have also gone through the record of the case. Clause 18 of the arbitration agreement reads as under: -