In Brief
Two railway contractors challenged High Court orders appointing independent arbitrators to hear their disputes with the Railways. The Supreme Court held that railway contracts specifically requiring appointment of named railway officers as arbitrators must be followed; courts cannot substitute independent arbitrators. Since the contractors' arbitration requests predated the October 2015 Amendment Act, proceedings must follow the original 1996 Act. The question whether settlement documents were signed under duress must be examined by the arbitrator, not decided at appointment stage. The Court set aside both High Court orders and directed the Railways to appoint arbitrators under the contractual procedure within one month.
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