Subject- Arbitration, Conciliation and Alternative Dispute resolution System

UNIT -3

Topic- Appointment of conciliators

Section 61 points out that the process of conciliation extends, in the first place, to disputes,
whether contractual or not. But the disputes must arise out of the legal relationship. It means that
the dispute must be such as to give one party the right to sue and to the other party the liability to
be sued. The process of conciliation extends, in the second place, to all proceedings relating to it.
But Part III of the Act does not apply to such disputes as cannot be submitted to conciliation by
the virtue of any law for the time being in force.

Number and qualification of conciliators-Section 63 fixes the number of conciliators. There shall
be one conciliator. But the parties may by their agreement provide for two or three conciliators.
Where the number of conciliator is more than one ,they should as general rule act jointly.

Appointment of conciliators-

Section 64 deals with the appointment of the conciliators.When the invitation to the conciliation
is accepted by the other party, the parties have to agree on the composition of the conciliation
tribunal. In the absence of any agreement to the contrary ,there shall be only one conciliator. The
conciliation proceeding may be conducted by a sole conciliator to be appointed with the concent
of both the parties, failing to which the same may be conducted by two conciliators (maximum
limit is three), then each party appoints own conciliator ,and the third conciliator is appointed
unanimously by both the parties. The third conciliator so appointed shall be the presiding
conciliator. The parties to the arbitration agreement instead of appointing the conciliator
themselves may enlist the assistance of an institution or person of their choice for appointment of
conciliators. But the institution or the person should keep in view during appointment that, the
conciliator is independent and impartial.
Section 64. Appointment of conciliators.

1.     subject to sub-section (2),-

a.     in conciliation proceedings with one conciliator, the parties may agree on the name
of a sole conciliator;

b.    in conciliation proceedings with two conciliators, each party may appoint one
conciliator;

c.     in conciliation proceedings with three conciliators, each party may appoint one
conciliator and the parties may agree on the name of the third conciliator who shall
act as the presiding conciliator.

2.     Parties may enlist the assistance of a suitable institution or person in connection with the
appointment of conciliators, and in particular,-

a.     a party may respect such an institution or person to recommend the names of
suitable individuals to act as conciliator, or

b.    the parties may agree that the appointment of one or mom conciliators be made
directly by such an institution or person: Provided that in recommending or
appointing individuals to act as conciliator, the institution or person shall have regard
to such considerations as are likely to secure the appointment of an independent and
impartial conciliator and, with respect to a sole or third conciliator, shall take into
account the advisability of appointing a conciliator of a nationality other than the
nationalities of the parties.