The Calcutta High Court held that all unilateral appointment of arbitrators is not invalid unless the arbitrator’s relationship falls within the Seventh Schedule to the Arbitration Act.

The Court stated that disqualification should not be solely based on the proviso to Section 12(5) and the Seventh Schedule. Additional consideration must be given to any waiver of such disqualification that may have been explicitly agreed upon by the parties or inferred from their conduct post the dispute.