R. Banumathi, J. - (1.) Leave granted.
(2.) This appeal arises out of the judgment dated 22.04.2016 passed by the High Court of Rajasthan at Jaipur Bench in and by which the High Court has allowed the application filed by the respondent under Section 11 and Section 15 of the Arbitration and Conciliation Act, 1996 thereby appointing Mr. J. P. Bansal, retired District Judge as the sole arbitrator to resolve the dispute between the parties.
(3.) Brief facts which led to filing of this appeal are as under:- The appellant-Rajasthan Small Industries Corporation Limited invited tender for "Handling and Road transportation of ISO containers and Cargo between Inland container Depots at Jaipur, Jodhpur and Ports." Respondent-Contractor participated in the said tender and Letter of Intent was issued in favour of the respondent-Contractor on 21.01.2000. The agreement was executed on 28.01.2000 between the parties. Initially, the contract period was of three years; but it was extended for another two years from 31.01.2003 by consent of both the parties. Dispute arose between the parties regarding imposition of transit penalty by the appellant upon the respondent for delay in transportation of containers, non-payment of handling charges of containers for various period of time and several other disputes. The terms of the contract Clause 4.20.1 of Schedule-4 (General Conditions) provided for arbitration by the Managing Director himself or his or her nominee for the sole arbitration. The respondent-Contractor requested for appointment of the arbitrator in terms of Clause 4.20.1 of Schedule-4 (General Conditions). One I.C. Shrivastava, IAS (Retd.) was appointed as the sole arbitrator on 21.02.2005. Since the progress of the sole arbitrator was not satisfactory in disposing the matter, the said sole arbitrator was removed on 26.03.2009 and in his place, Chairman-cum-Managing Director of the appellantCorporation was appointed to act as the sole arbitrator by the consent of both the parties.;