M/S Tata Capital Ltd vs. K B Crain Services and Anr.
Background
The petitioner (a financial services company) sought appointment of a sole arbitrator for a contractual dispute with the respondents. Despite sufficient service, the respondents did not appear at the hearing.
Decision Breakdown
Finding an undisputed arbitration clause, the Court appointed Hon'ble Mr. Justice Mahesh Grover (a retired judge of the Punjab & Haryana High Court) as sole arbitrator under DIAC rules, leaving all substantive objections for the arbitrator to decide.
Lesson Learnt
Section 11 arbitrator-appointment proceedings move forward on the documentary record even without the respondent's participation, ignoring such a notice forfeits a party's say in the process but does not stop arbitration from starting.