TAMIL NADU ELECTRICITY BOARD REP. BY ITS CHAIRMAN vs TNEB- THOZHILALAR AYKKIYA SANGAM BY ITS GENERAL SECRETARY

The Supreme Court ruled that under Section 45 of the Arbitration and Conciliation Act, 1996, the appointment of an arbitrator must be made in accordance with the agreed procedure between the parties. The Court emphasized that failure to adhere to this procedure can lead to the appointment being declared invalid. The judgment clarified the importance of mutual consent in arbitration agreements and upheld the validity of the arbitration clause as long as it is not contrary to public policy.