Calcutta High Court Sets Aside Arbitral Award Passed by Unilaterally Appointed Arbitrator

The Calcutta High Court set aside an arbitral award passed by an arbitrator who had been unilaterally appointed by one of the parties.

The Court observed that merely participating in the arbitration proceedings would not cure the defect in the arbitrator’s appointment.

It held that the appointment process must satisfy the requirement of neutrality and fairness in arbitration proceedings.

Since the arbitrator had been appointed solely by one party, the Court found the award unsustainable and set it aside.

[Tata Steel Ltd. v. Msp Sponge Iron Ltd.]