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5. Appointment of arbitrator

5. Appointment of arbitrator:

(1) Any party filing petition in appellate court as per section 7 sub-section (1) of the Act, shall mention the
following matters:

(a) Name, surname, address and other descriptions of petitioner and respondent including place of transaction
that facilitate in completion of issuance of summon,

(b) Brief of the dispute,

(c) Expected remedy,

(d) Name and address of the arbitrator appointed prior to the registration of the petition,

(e) Matter about failure in appointing arbitrator by following the process laid down in agreement as mentioned in
section 7 sub-section (1) of the Act or absence of the matter in the agreement about the appointment of
arbitrator,

(f) Name, surname, address, occupation, specialization area, and consent to be arbitrator of at least three persons those are eligible to be arbitrator,

(g) That the copy of the agreement between petitioner and respondent is attached,

(h) That the copy of the petition is attached for the purpose of sending it to other party.

(2)While filing petition pursuant to section 8 sub-section (2) of the Act, that should be mentioned if the person appointed as arbitrator has resigned or denied to be arbitrator or he/she has died or the position has become vacant because of any other reason and the evidence relating to such matter in addition to the matter referred in sub-rule (1).

(3) Upon receiving the petition pursuant to sub-rule (1), appellate court shall issue notice to the other party attaching copy of petition for the presence with written response including evidence within ten days excluding the time taken for the journey if there is any reason for not providing remedy as per the demand of petitioner

.
(4) Other party appointing arbitrator pursuant to the Act or agreement registration of petition should inform appellate court in written in that regard.

(5)Upon the receiving information about the appointment of arbitrator pursuant to sub-section (4) appellate court shall identify the matter, postpone the petition filed under sub-rule (1) and notify about it to petitioner and arbitrator.

(6) Except of the condition of sub-rule (5), after receiving written response or on the lapse of limitation to file it pursuant to sub-rule (3), appellate court shall appoint arbitrator to the proposed person if there is
a consensus between all parties about him/her and appoint an appropriate person within the limitation pursuant to section 7 and 8 and conclude the petition filed pursuant to sub-rule (1).

(7) Appellate court may collect additional information or clarification from petitioner and respondent about fact in issue before concluding petition pursuant to sub-rule (6).

(8) While appointing arbitrator pursuant to sub-rule (6) or appointing third arbitrator pursuant to sub-rule (9) appellate court shall reach in decision taking consideration of aspects including as to whether there is consent of the person being arbitrator to be so and the aspects mentioned in rule 6 sub-rule (5) beside the aspects mentioned in section 10 of the Act.

(9) If the arbitrators to be appointed on behalf of parties to the agreement are appointed pursuant to sub-rule (5) and (6) and the appointment of third arbitrator is remaining, except otherwise provided in agreement, appellate court shall provide seven days’ limitation to the arbitrator to appoint third arbitrator. Court shall appoint third arbitrator taking opinion of arbitrators and parties, if arbitrators fail to appoint third arbitrator within given limitation.

(10) Upon the concluding process of appointing arbitrator pursuant to sub-rule (6) and (9) appellate court shall notify the matter to concerning parties and arbitrator.

(11) Notwithstanding anything contained elsewhere in these  rules, appellate court shall obtain opinion of concern ministry of Nepal government before appointing arbitrator in such disputes in which decision of arbitrator may directly or indirectly creates economic obligation on Nepal government. Upon the receiving stipulation of
opinion, concern ministry shall send its opinion within fifteen days. Failure to receive the opinion within such time frame shall not deem to bar to make decision on appointing arbitrator.

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