Supreme Court Reserves Verdict on Arbitrator Eligibility

The Supreme Court reserved its verdict on whether a person ineligible to become an arbitrator can nominate one. Solicitor General Tushar Mehta emphasized the need to strengthen arbitration. The five-judge bench, including Chief Justice D Y Chandrachud, heard various submissions. An expert panel had proposed reforms to enhance arbitration efficiency in India.

The Supreme Court reserved its verdict on a contentious legal issue regarding the eligibility of an arbitrator to nominate another if they themselves are ineligible.

Solicitor General Tushar Mehta urged that the focus should be on strengthening arbitration as a dispute resolution mechanism, a sentiment echoed by the five-judge bench headed by Chief Justice D Y Chandrachud. Various senior advocates, including Mahesh Jethmalani, N K Kaul, and Gourab Banerji, presented their arguments.

The top court had commenced hearing on this complex issue in August and listened to numerous submissions, including those related to the Arbitration and Conciliation Act, 1996. An expert committee, led by former law secretary T K Vishwanathan, proposed reforms to make India a hub of international arbitration and alleviate the burden on courts. A decision is expected soon.

(With inputs from agencies.)