There was continuing arbitration proceedings, at beginning stage, before an arbitrator. I am defedant out of 3 defendants. The arbitrator demanded deposit against his fees in equal portion from both parties, i.e., claimants and defendants. The claimants agreed to deposit the amount of their part, but the defendants denied to deposit the amount. Consequently, the arbitrator demanded full amount of deposit from the claimants, u/s 38(2). The claimants accepted to deposit , only the amount of their part and denied to deposit full amount of deposit.. On denying by the claimants, to deposit full amount , the arbitrator terminated the arbitration proceedings,by an order u/s 38(2), on ground of non-deposit of the amount against fees.
Now, the claimants have approached, u/s 34, 38 and 39, before the District and Session Judge, challenging the order of the arbitrator and the claimants want to seek relief, by setting aside the order of the arbitrator and to get order of the court, to direct the arbitrator for initiating again, arbitration proceedings, on depositing the amount of their part i.e. 1/2 of total deposit and to create lien on award , for the balance 1/2 amount of deposit.
Please, advise me that
(i) have the claimants approached before the appropriate court, to submit their objection to the order .
(ii) Are the claimants have right to get initiated, again, arbitration proceedings, which once have been terminated, by the arbitrator?
Please , advise.
