Arbitrator's Elevation As Judge Did Not Affect Award Passed Before Taking Oath: Calcutta High Court

The Calcutta High Court has held that the elevation of an arbitrator as a High Court judge did not affect the validity of an arbitral award passed by him. The award was passed hours before he took oath as a judge on the same day.

The order was passed by Justice Gaurang Kanth, who rejected Acumen (J) Marketing Private Limited's objection to sole arbitrator Partha Pratim Roy's competence after his elevation as an Additional Judge of the Calcutta High Court.

The bench noted that the award was rendered at 2:00 p.m. on August 8, 2026, while Roy assumed judicial office only upon taking the oath at 4:15 p.m. that day.

The Bench observed, “The learned Arbitrator assumed judicial office upon taking oath at 4:15 p.m. on 8th August, 2026, whereas the award was passed earlier that day, at 2:00 p.m., prior to his elevation. The objection, therefore, does not affect the validity or publication of the award.”

The dispute arose from arbitral proceedings between The Hooghly Mills Company Limited and Acumen Marketing.

In an earlier order dated February 5, 2021, the High Court had appointed Advocate Partha Pratim Roy as sole arbitrator. He was appointed to adjudicate disputes between the parties arising from a Facility Service Agreement dated October 1, 2016.

The dispute under that agreement concerned the rates payable by Acumen Marketing to Hooghly Mills.

Disputes had arisen between the two companies under four agreements concerning two units. This led to four petitions for the appointment of a sole arbitrator.

All four petitions were allowed. On the parties' joint request, the four arbitration proceedings were also consolidated.

After completion of pleadings, the tribunal's mandate was extended by six months with the parties' consent. The High Court subsequently extended the mandate by one year on January 21, 2025, and again by six months on January 28, 2026.

The last extension, however, expired before the sole arbitrator passed the award on August 8, 2026.

Hooghly Mills thereafter approached the High Court under Section 29A(4) of the Arbitration and Conciliation Act, 1996. It sought an extension of the tribunal's mandate for conclusion of the proceedings and publication of the award.

During the hearing, its senior counsel informed the Court that the award had already been published on August 8.

Acumen Marketing objected that the sole arbitrator, having since been elevated to the Bench, was not competent to pass the award. The Court rejected the objection as "misconceived."

It noted that Roy had passed the award at 2:00 p.m., before assuming judicial office upon taking oath at 4:15 p.m. that day.

Turning to the expiry of the tribunal's mandate, the Court found that there had been no “undue or unwarranted delay” on the part of the sole arbitrator in conducting the proceedings.

It further noted that the award had already been rendered. Neither party had demonstrated any prejudice arising from the lapse.

In these circumstances, the Court retrospectively extended the tribunal's mandate from the date of expiry of the previous extension up to and including August 8, 2026. This was done to validate the arbitral proceedings and the award passed that day.

The bench observed, “In view of the fact that the award has since been rendered, and no prejudice having been demonstrated by either party on account of the said lapse, this Court, in exercise of its powers under Section 29A(4) of the Arbitration and Conciliation Act, 1996, extends the mandate of the learned Arbitral Tribunal retrospectively, with effect from the date of expiry of the previous extension, up to and including 8th August, 2026, so as to validate the arbitral proceedings and the award passed on that date.”

The petition was accordingly disposed of.

For Petitioner (The Hooghly Mills Company Limited): Senior Advocate Sabyasachi Chowdhury, Advocates Rajarshi Dutta, S. Bhattacharya, Megha Das.

For Respondent (Acumen (J) Marketing Private Limited): Advocates Shuvasish Sengupta, Balarko Sen, Suvradal Chowdhury.