Bharucha, J. - (1.) This appeal by special leave assails the correctness of the judgment and order of a learned single Judge of the High Court at Bombay. By the judgment and order the petition of the first respondent for the issuance of a direction to the second respondent to file the award that he had made as the umpire in arbitration proceedings between the appellant and the first respondent in that Court was allowed.
(2.) Briefly stated, these are the facts relevant to the issue in the appeal: The appellant and the first respondent entered into a contract on 7th September, 1983, whereunder the appellant agreed to install and commission on turnkey basis an oil platform at Bombay High, about 100 miles north-west of Bombay. The contract stipulated the following: "17.0. Laws/Arbitration 17. 1. Applicable Laws All questions, disputes or differences arising under, out of or in connection with this Contract shall be subject to the laws of India. 17. 2. Arbitration If any dispute, difference or question shall at any time hereafter arise between the parties hereto or their respective representatives or assigns in respect of the construction of these presents or concerning anything herein contained or arising out of these presents or as to the rights, liabilities or duties of the said parties hereunder which cannot be mutually resolved by the parties, the same shall be referred to arbitration, the proceedings of which shall be held at London, U. K. within 30 days of the receipt of the notice of intention of appointing arbitrators each party shall appoint an arbitrator of its own choice and inform the other party. Before entering upon the arbitration, the two arbitrators shall appoint an umpire. In case the parties fail to appoint its arbitrator within 30 days from the receipt of a notice from the other party in this behalf or if any dispute in selection of umpire, the president of International Chamber of Commerce, Paris, shall appoint the arbitrator and/or the umpire as the case may be. The decision of the arbitrators and failing to an agreed decision by them, the decision of the umpire shall be final and binding on the parties. The arbitration proceedings shall be held in accordance with the provision of International Chamber of Commerce and the rules made thereunder as amended from time to time. The arbitration proceedings shall be conducted in English language."
(3.) Disputes having arisen subsequent to the completion of the work under the contract, the appellant served notice of arbitration on the first respondent and appointed Mr. Robert A. Mac Crindle its arbitrator. The first respondent appointed Mr. Justice Chandrasekhar (Retired) its arbitrator. The arbitrators nominated the second respondent as the umpire. Preliminary hearings commenced. The appellant then applied to the Queens Bench Division, Commercial Court in London for leave to issue and serve on the first respondent an Originating Summons seeking an order under S. 5 of the English Arbitration Act, 1979, to confirm that the arbitrators had the power to proceed with the arbitration in default of a defence having been served by the first respondent. A learned Judge of the Commercial Court granted to the first respondent leave to issue and serve the said summons. It was heard and decided in favour of the appellant. Thereafter the first respondent's defence was served, and a summons was issued on the first respondent's behalf in the Commercial Court to set aside its earlier orders. The application made by the first respondent was decided on 23rd July, 1993 by Potter, J. (The judgment and order is reported in (1994) 1 Lloyd's Law Reports 45). The arbitrators having differed, the second respondent entered upon the reference and, on 27th June, 1995, made his award. The award was served on the first respondent on 10th July, 1995.;