SC: Former Employee Is Not Disqualified From Being Appointed As An Arbitrator

Vide a recent judgment dated 3 January 2019 in the matter of Government of Haryana PWD Haryana (B and R) Branch v M/s G F Toll Road Pvt Ltd & Ors (Civil Appeal No. 27/2019 in S.L.P. (C) No. 20201 of 2018), the Supreme Court has, to an extent, clarified the issue regarding the appointment of a former employee of a company which is a party to an arbitration as an arbitrator under the present as well as the previous arbitration regime. The Supreme Court, in an attempt to settle this contentious issue raised by the Government of Haryana (Appellant State), has inter alia held that a former employee is not disqualified from acting as an arbitrator, even under the Arbitration and Conciliation (Amendment) Act 2015 (2015 Amendment Act) provided that there are no justifiable doubts as to his/her independence and impartiality to act as an arbitrator.