Introduction
Arbitration in India is governed by the Arbitration &
Conciliation Act, 1996 (the "Act"). In
any arbitral proceeding, the parties are free to appoint
arbitrator(s) of their own choice. However, the arbitrators so
appointed cannot act as agents of parties as this would give rise
to justifiable doubts as to their independence or impartiality. The
arbitrators so appointed have to adopt a judicial approach in
deciding the dispute between the parties. In Soceite Aninmina
Lucchesse Oil Vs. Gorakhram Gokalchand1,
the Madras High Court has held that the Arbitrators are bound to
come together and act judicially, conforming to principles of
natural justice. They must not merely act judicially, but should
not consider themselves as the agents or advocates of the party who
appoints them. Once nominated, they ought to perform their duty of
deciding impartially between parties.2