Deciding two connected writ petitions arising from a common Industrial Tribunal Award, the Delhi High Court set aside the Tribunal's direction granting hotel workmen a further…
Arbitrator Can't Be Impleaded In Application U/S 36(2) Of A&C Act Unless Prima Facie Case Of Fraud Or Corruption Is Established: Calcutta HC
The Calcutta High Court has ruled that an arbitrator cannot be impleaded as a party in an application for the enforcement of an arbitral award under Section 36(2) of the Arbitration and Conciliation Act. The court held that an arbitrator enjoys a degree of immunity for their judicial actions. The only exception to this rule is when a prima facie case of fraud or corruption against the arbitrator is established by the party seeking to implead them. The court emphasized that making allegations of bias or misconduct without strong evidence is not sufficient. This judgment protects arbitrators from being unnecessarily dragged into post-award litigation, which could undermine their independence and willingness to serve. It ensures that the focus of the enforcement proceedings remains on the award itself and not on the conduct of the arbitrator, unless there are credible allegations of serious wrongdoing.