ARBAP 46/07 [1] IN THE HIGH COURT OF JUDICATURE FOR RAJASTHAN AT JAIPUR BENCH S.B. ARBITRATION APPLICATION NO.46/07 M/s. Compucom Software Limited Versus Principal Secretary, Secondary Education, Govt. of Raj. & Ors. DATE OF ORDER :: 25/01/2008 HON'BLE MR. JUSTICE AJAY RASTOGI Mr. Jag Mohan Saxena, for applicant Mr. S.S. Sharma, G.A., for State Mr. Prahlad Singh, for respondents *** Instant application has been filed u/s.11(6) of Arbitration and Conciliation Act, 1996 for appointment of Arbitrator. This is not disputed that agreement was executed between the parties and it contained Clauses 36 & 37 for settlement of their disputes through arbitration. Since certain disputes arose out of agreement executed between the parties, the applicant served a notice on 29th June, 2007 [Ann.9] which was duly served in the office of respondents and even till approaching this court by filing instant application on 8th August, 2007, there is no material on record to show that Arbitrator was appointed by the respondents in terms of clause of agreement [supra]. Relevant Clauses 36 & 37 are reproduced as under: “Dispute, if any between the contracting parties, will be settled by mutual negotiations, failing which the matter ARBAP 46/07 [2] will be referred to an expert committee to be constituted by Secretary, Board of Secondary Education, Rajasthan, Ajmer and the decision of Secretary, Board of Secondary Education, Rajasthan, Ajmer shall be final. If any dispute arises out of the contract with regard to the interpretation, meaning and breach of the terms of the contract and any decision of Secretary BSER as per condition no.36 above the matter shall be referred to by the parties to the sole arbitrator that will be State Level Committee, whose decision shall be final.” Despite ample opportunity afforded by this court on 14th September, on 5th October, on 2nd November & lastly on 23rd November, 2007 to respondent Nos.1 & 2, no reply has been filed on their behalf. Respondent No.3 has filed reply wherein it has been averred that a committee was constituted by the Government on 10th July, 2007 for taking decision with regard to computerization in educational institutions and letter was circulated to the government authorities on 24th July, 2007 and more specifically counsel has stressed on Clause 6 of the proceeding. He further submits that so far as Board of Secondary Education is concerned, it is a nodal agency and government who has to take final decision in all matters including dispute, if there is any, as it has been observed above. The State Government who has, as usual practice, not come out with any ARBAP 46/07 [3] explanation despite ample opportunity being afforded and no assistance eitherway has been provided to this court. So far as clause of agreement of which reference has been made [supra] is concerned, the power of making appointment vests with the Secretary, Board of Secondary Education under Clause 36. Notice of making appointment of Arbitrator was duly served upon the authorities with whom the power vests for making appointment of Arbitrator and till approaching this court, nothing has been placed on record which may show that appointment of Arbitrator has been made by the respondents under said clause. So far as reference made of Ann.R/9 is concerned, these are proceedings of the committee, which in opinion of this court, is in no manner related to initiating action of making appointment of Arbitrator under the clause in question. In the facts and circumstances of the case, I consider it proper to appoint Hon'ble Mr. Justice F.C. Bansal [Retd.], D-68, Laxman Path, Hanuman Nagar, Opp. Vaishali Nagar, Telephone Exchange, Jaipur, as sole Arbitrator to whom the dispute shall be referred. Remuneration of Rs.1,00,000/- & Rs.10,000/- towards expenses [to be equally shared] shall be paid to the sole Arbitrator by the parties. ARBAP 46/07 [4] With the above observations, the application stands disposed of. Copy of this order be sent to Hon'ble Mr. Justice F.C. Bansal [Retd.], D-68, Laxman Path, Hanuman Nagar, Opp. Vaishali Nagar, Telephone Exchange, Jaipur, Arbitrator forthwith and parties are directed to appear before him on 23rd February, 2008 or any other date if informed by him. [AJAY RASTOGI],J. FRBOHRA,JR.P.A.46ARBAP2007 25-1.doc