High Court Lacks Jurisdiction to Appoint Arbitrators in International Disputes: Madhya Pradesh High Court

The Madhya Pradesh High Court has ruled that High Courts do not possess the authority to appoint arbitrators in international commercial disputes.

The Bench held that when a foreign entity is involved, the power of appointment vests exclusively with the CJI or their designate as per the Arbitration Act.

Setting aside an award involving a Korean firm, the Court declared the proceedings "void ab initio" as the arbitrator was originally appointed by the High Court.

The Bench emphasized that such jurisdictional defects go to the root of the matter and cannot be cured by the parties' consent or their participation in the arbitration.

[Ssangyong Engineering & Construction Co. Ltd. v. SB Engineering Associates]