#Arbitrator Independence

The Bombay High Court has set aside multiple arbitral awards where the arbitrator was unilaterally appointed, affirming that such appointments are void from the outset under Section 12(5) of the Arbitration and Conciliation Act. This ruling reinforces the Supreme Court’s position in Bhadra International, ensuring parties cannot circumvent neutrality requirements even after award issuance - impacting corporate contracts, construction disputes, and commercial arbitration strategies nationwide.

MP High Court rules that a Commissioner of Urban Administration cannot serve as an arbitrator under the Arbitration and Conciliation Act due to direct conflict of interest under the Seventh Schedule. The judgment reinforces that even party-appointed arbitrators in a three-member tribunal must be impartial and independent, invalidating unilateral appointments by state entities with vested interests.