Only court in specified venue can appoint arbitrator

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Only court in specified venue can appoint arbitrator
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In its judgment in Brahmani River Pellets v Kamachi Industries, the Supreme Court held that when the parties agree to have the venue of arbitration at a particular place, only the high court with jurisdiction over that place can entertain the petition seeking appointment of arbitrator under section 11(6) of the Arbitration and Conciliation Act, 1996.

Disputes arose between the contracting parties regarding the price and payment terms of iron ore pellets after Brahmani, which is based in Odisha, did not deliver the goods to Kamachi, which is based in Tamil Nadu.

Kamachi claimed damages alleging that it had to procure the iron ore pellets from other sources at higher rates. Brahmani denied any liability on the ground that the contract was later modified and that Kamachi breached material terms of the contract. Kamachi invoked the arbitration clause, but Brahmani did not agree to the appointment of the arbitrator.

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