The Delhi High Court held that prior involvement in similar issues does not warrant the disqualification of an arbitrator without evidence of bias or prejudice.
Justice Jyoti Singh observed that prior rulings on related contractual matters, such as delays or liquidated damages, do not alone create justifiable doubts; disqualification arises only upon evidence of actual bias or closed-mindedness.
The Bench dismissed SAIL’s challenge to an arbitral award favouring British Marine PLC under a 2008 affreightment contract, noting the arbitrators’ prior Clause 62 ruling did not indicate bias. The award’s damages and interest calculations were upheld.
[Steel Authority of India Limited v British Marine PLC]