In Brief
IBI Consultancy India and its Canadian parent company (IBI Group) contracted with DSC Limited for toll and traffic management system installation on highway projects. When DSC defaulted on payments, IBI invoked the arbitration clause and sought appointment of an arbitrator. The High Court declined, ruling that as IBI Group is foreign-incorporated, the dispute constitutes international commercial arbitration requiring Supreme Court appointment. The Supreme Court held that an arbitration agreement exists in the contract (incorporating the acceptance letter dated 14.06.2010 as part of the agreement), and appointed a sole arbitrator. The Court confirmed that parties are free to determine arbitrator numbers (odd only) and appointment procedure; if they cannot agree, Section 11 of the Arbitration Act provides judicial remedy for appointment.
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