Bombay HC Clarification Dated 30 April 2026
The Hon’ble High Court of Judicature at Bombay in the case of DS Textiles v IIFL Finance Limited (Arbitration Petition (L) 12097 of 2026) clarified the law pertaining to unilateral appointment of arbitrators when it is done through an Institution or is an algorithm-based appointment. The Hon’ble Court has dispelled the notion that unilateral appointment by a party of an Arbitrator, even when the arbitrator is chosen through an Institution or based on algorithm, will not make it free of the vices of unilateral appointment. The Court has essentially held that it would be a completely different matter if the parties had agreed that the appointment of the arbitrator would be by a named institution
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