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Section 11(3) lays down the **general procedure for appointment of arbitrators** in an arbitration with three arbitrators (failing party agreement). What is the rule?
A{'text': 'The Supreme Court of India shall appoint all three arbitrators under any provision of any law in force in any State of India regardless of any other consideration of any kind under any law in force', 'label': 'A'}
B{'text': 'The High Court of the relevant State shall appoint all three arbitrators under any provision of any law in force in any State of India regardless of any other consideration of any kind under any law in force', 'label': 'B'}
C{'text': 'Each party shall appoint one arbitrator, and the two appointed arbitrators shall appoint the third arbitrator who shall act as the presiding arbitrator', 'label': 'C'}
D{'text': 'The Central Government shall appoint all three arbitrators under any provision of any law in force in any State of India regardless of any other consideration of any kind under any law in force in India', 'label': 'D'}
Answer & Solution
Correct answer: C. {'text': 'Each party shall appoint one arbitrator, and the two appointed arbitrators shall appoint the third arbitrator who shall act as the presiding arbitrator', 'label': 'C'}
1. Section 11(3) of the Act, as reproduced in Lesson 13, sets the default for three-arbitrator panels.
2. Failing party agreement under Section 11(2), **each party shall appoint one arbitrator, and the two appointed arbitrators shall appoint the third arbitrator who shall act as the presiding arbitrator**.
3. This is the classic 1+1+1 structure.
4. Court appointment under Section 11(4) is a fallback only when the default fails.
_Source: ICSI CS Executive Paper 1 — Jurisprudence, Interpretation & General Laws, Lesson 13 (Arbitration and Conciliation Act, 1996), pp. 297-303._
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