N. CHELLAPPAN vs SECRETARY, KERALA STATE ELECTRICITY BOARD &ANOTHER

The Supreme Court held that under Rule 4 of the First Schedule to the Arbitration Act, an Umpire has jurisdiction to enter upon the reference if the arbitrators fail to make an award within the specified time. The Court found that the Umpire's authority was valid as the parties had consented to his appointment as Sole Arbitrator. The appeal was allowed, reversing the High Court's decision which had deemed the Umpire's award invalid due to alleged lack of jurisdiction and consideration of time-barred claims.