Facts of Dispute in ADR Simulation:

1. Mr. Kalyan, the proprietor of Kalyan & Construction Company, entered into a
contract with Mr. Krishna to construct a house.
2. The contract stipulated that Mr. Krishna would pay 1 crore as consideration if the
building was constructed within a period of one year.
3. Mr. Kalyan commenced the construction work as agreed upon.
4. During the construction period, a strike by lorry drivers occurred, which lasted for six
months. This strike resulted in a delay in the delivery of construction materials to the
construction site.
5. Due to the strike and subsequent material delivery delay, Mr. Kalyan was unable to
complete the construction within the originally specified one-year period.
6. Consequently, Mr. Kalyan required an additional year to finish the construction,
resulting in a total construction period of two years.
7. After completing the construction work, Mr. Kalyan requested Mr. Krishna to fulfill
his payment obligation of 1 crore, as per the terms of the contract.
8. However, Mr. Krishna refused to pay the agreed amount, citing the delay in
completing the construction as the reason for his refusal.
9. It is important to note that an arbitration clause was included in the contract, which
provides a mechanism for dispute resolution outside of the court system.

These are the key facts that form the basis of the dispute between Mr. Kalyan and
Mr. Krishna. The arbitration process will seek to determine whether Mr. Kalyan is
entitled to receive the full payment agreed upon, considering the circumstances of
the strike-induced material delivery delay and the resulting extension of the
construction period.

Statement of the Claimant:

Arbitration Case: Mr. Kalyan (Claimant) vs. Mr. Krishna (Respondent)

Introduction: Honorable Arbitrator, esteemed members of the arbitration panel, and

respected attendees, I, Mr. Kalyan, the proprietor of Kalyan & Construction
Company, hereby present my claim against Mr. Krishna, arising from a construction
contract between us. The purpose of this arbitration is to seek a fair resolution to the
dispute that has emerged regarding the completion of the construction project and
the payment of the agreed consideration.
Background: Mr. Krishna and I entered into a legally binding contract wherein he
engaged my company to construct a house. The terms of the contract clearly
stipulated that upon the successful completion of the building within a period of one
year, Mr. Krishna would pay a consideration of 1 crore.

Construction Delays: I commenced the construction work promptly, and everything

proceeded according to plan until an unexpected and uncontrollable event
unfolded. Lorry drivers in the region went on strike for a period of six months,
significantly impeding the transportation of construction materials to the project site.
This delay, caused by factors beyond my control, resulted in a substantial disruption
to the construction schedule.

Consequent Time Extension: Despite the unexpected strike and subsequent material
delivery challenges, I remained committed to completing the project to the best of
my abilities. Unfortunately, due to the extended period of delay caused by the strike,
the construction project exceeded the initially agreed-upon timeframe, ultimately
taking a total of two years to reach completion.

Payment Obligation: After the project was successfully completed, I approached Mr.
Krishna in good faith, requesting the agreed-upon consideration of 1 crore as
outlined in the contract. However, to my surprise and disappointment, Mr. Krishna
refused to fulfill his payment obligation. He argued that the delay in completing the
construction was sufficient grounds for him to withhold the payment.

Breach of Contract: I firmly believe that I have fulfilled my obligations under the
contract, despite the unforeseen circumstances that led to the construction delays.
The strike by lorry drivers and subsequent material delivery challenges were events
beyond my control. I assert that Mr. Krishna's refusal to honor the payment
agreement represents a clear breach of contract.

Arbitration Clause: It is important to note that the contract between Mr. Krishna and
myself includes an arbitration clause. This clause specifically provides for the
resolution of any disputes arising from the contract through arbitration, thereby
requiring us to seek resolution through this esteemed arbitration panel.

Remedy Sought: In light of the aforementioned circumstances, I respectfully request

that this arbitration panel considers the facts of the case, the impact of the strike-
induced delays, and the overall performance of my company in completing the
construction project. I seek a fair and just resolution that upholds the terms of the
contract, requiring Mr. Krishna to fulfill his payment obligation of 1 crore as initially
agreed upon.

Conclusion: Honorable Arbitrator, esteemed members of the panel, and respected

attendees, I have presented the facts of the case, demonstrating the construction
delays caused by the strike and the subsequent extension of the construction period.
I firmly believe that the strike-induced delay is a valid reason for the extended
construction timeline. I kindly request a fair and impartial consideration of the
evidence and a just decision that ensures the fulfillment of the contractual payment
obligation by Mr. Krishna.

Statement of the Defence:

Arbitration Case: Mr. Kalyan (Claimant) vs. Mr. Krishna (Respondent)

Introduction: Honorable Arbitrator, esteemed members of the arbitration panel, and

respected attendees, I, Mr. Krishna, hereby present my defense against the claim
brought forth by Mr. Kalyan. The purpose of this arbitration is to seek a fair and just
resolution to the dispute regarding the completion of the construction project and
the payment of the agreed consideration.

Background: I entered into a contract with Mr. Kalyan, representing Kalyan &
Construction Company, for the construction of a house. The contract clearly stated
that a consideration of 1 crore would be paid if the building was constructed within
a period of one year.

Construction Delays and Material Delivery: I acknowledge that Mr. Kalyan initiated
the construction work promptly; however, the project encountered unforeseen
delays due to a strike by lorry drivers in the region. This strike impeded the
transportation of necessary construction materials, causing a disruption in the
construction schedule.

Effect on Completion Time: As a direct consequence of the delayed delivery of

construction materials, Mr. Kalyan was unable to complete the construction within
the stipulated one-year period. Consequently, the project took a total of two years to
reach completion.
Breach of Contract and Financial Losses: I contend that Mr. Kalyan's failure to
complete the construction within the agreed timeframe constitutes a clear breach of
contract. The delay caused significant financial losses on my part, including
additional rent expenses and missed opportunities for utilizing the property for the
intended purpose.

Justification for Payment Refusal: Given the substantial delay in completing the
construction, I am compelled to refuse the payment of 1 crore as initially agreed
upon. Mr. Kalyan's failure to adhere to the specified timeline has resulted in financial
and practical consequences for me, thus warranting my refusal to fulfill the payment
obligation.

Arbitration Clause: I acknowledge the presence of an arbitration clause in the

contract, which mandates the resolution of disputes through arbitration. I submit to
the jurisdiction of this esteemed arbitration panel and seek a fair assessment of the
facts and circumstances surrounding this case.

Counterclaim: In addition to defending against Mr. Kalyan's claim, I reserve the right
to present a counterclaim seeking compensation for the financial losses I incurred as
a result of the delayed construction caused by Mr. Kalyan's breach of contract.

Conclusion: Honorable Arbitrator, esteemed members of the panel, and respected

attendees, I have presented my defense, highlighting the construction delays caused
by the lorry drivers' strike, Mr. Kalyan's breach of the agreed timeline, and the
financial losses I have suffered as a result. I respectfully request a fair and impartial
consideration of the evidence presented and an equitable resolution that takes into
account the impact of the delay on my interests.

Claimant's Counsel's Argument:

Honorable Arbitrator, esteemed members of the arbitration panel, and respected

attendees,

Introduction: On behalf of my client, Mr. Kalyan, the proprietor of Kalyan &

Construction Company, I present this argument to support his claim for the agreed
consideration of 1 crore from Mr. Krishna. Despite the delay in completing the
construction caused by the strike and subsequent material delivery challenges, it is
imperative to recognize that my client fulfilled his contractual obligations under the
circumstances.

Force Majeure Event and Unforeseeable Delay: The strike by lorry drivers, which
lasted for six months, qualifies as a force majeure event. This event constituted an
unforeseeable delay beyond the control of my client, Mr. Kalyan. The strike hindered
the transportation of construction materials, which directly impacted the
construction timeline and led to unavoidable delays.

Good Faith Efforts and Mitigation: It is crucial to acknowledge the good faith efforts
made by my client to mitigate the impact of the strike and subsequent material
delivery challenges. Throughout the strike, my client explored alternative sources for
construction materials, communicated promptly with Mr. Krishna regarding the
difficulties faced, and worked diligently to minimize the impact on the construction
timeline. However, the strike-induced delay was beyond his control, and it would
have been unreasonable to expect him to foresee or prevent it.

Compliance with Contractual Specifications: Despite the delays, my client completed

the construction project in adherence to the contractual specifications. The quality
and standards of the construction work remained uncompromised. While the
completion timeline exceeded the initially agreed-upon one year, my client took all
necessary measures to ensure that the project was successfully finished within a
reasonable timeframe given the circumstances.

Payment Obligation and Breach of Contract: Mr. Krishna's refusal to honor the
payment obligation based solely on the delay in completing the construction
represents a clear breach of contract. The contract clearly stated that the
consideration of 1 crore would be paid upon the successful completion of the
building. My client fulfilled his end of the bargain by completing the construction
project, and any delay caused by the strike should not absolve Mr. Krishna of his
payment obligation.

Arbitration Clause: It is important to highlight that the contract between Mr. Kalyan
and Mr. Krishna includes an arbitration clause. This clause demonstrates the parties'
intent to resolve any disputes through arbitration, entrusting this esteemed
arbitration panel with the responsibility of impartially determining the resolution in
this case.
Conclusion: Honorable Arbitrator, esteemed members of the panel, and respected
attendees, I have presented this argument to assert that my client, Mr. Kalyan,
fulfilled his contractual obligations by completing the construction project despite
the unforeseen strike and material delivery challenges. The strike constituted a force
majeure event beyond his control, and he made all reasonable efforts to mitigate its
impact. I kindly request that this esteemed arbitration panel considers the evidence
and the legal principles at hand and makes a just decision, upholding the contractual
payment obligation of 1 crore from Mr. Krishna to my client.

Honorable Arbitrator, esteemed members of the arbitration panel, and respected

attendees,

Introduction: On behalf of my client, Mr. Krishna, I present this argument to defend

against the claim brought forth by Mr. Kalyan. The purpose of this argument is to
demonstrate that my client is not obliged to pay the agreed consideration of 1 crore
due to the delay in completing the construction, which was caused by Mr. Kalyan's
failure to meet the stipulated timeline.

Contractual Agreement and Performance: It is important to acknowledge that my

client, Mr. Krishna, entered into a contract with Mr. Kalyan, representing Kalyan &
Construction Company, with the understanding that the construction of the house
would be completed within one year. The agreement specifically stated that the
consideration of 1 crore would be paid upon successful completion within the
agreed timeframe.

Delay and Material Delivery Challenges: During the construction period, lorry drivers
in the region went on strike for six months, causing a delay in the delivery of
construction materials to the project site. While it is true that the strike was an
unforeseen event, it is imperative to recognize that my client entrusted Mr. Kalyan
with the responsibility to ensure the timely delivery of materials. Therefore, any delay
resulting from the strike should not absolve Mr. Kalyan of his contractual obligations.

Impact on Construction Timeline and Financial Losses: As a direct consequence of

the delayed material delivery, Mr. Kalyan failed to complete the construction within
the agreed timeframe. This delay caused significant financial losses for my client,
including additional rent expenses and missed opportunities to utilize the property
for its intended purpose. It is essential to consider these financial losses and their
impact on my client's interests when assessing the claim for payment.
 Breach of Contract and Performance Standard: The delay in completing the
construction clearly represents a breach of contract on the part of Mr. Kalyan. He
failed to fulfill his obligation to complete the project within the agreed timeframe,
and this failure undermines the overall performance and standard of his work. My
client should not be expected to pay the full consideration when the agreed-upon
timeline was not met.

Arbitration Clause: I acknowledge the presence of an arbitration clause in the

contract, which demonstrates the parties' intent to resolve any disputes through
arbitration. We submit to the jurisdiction of this esteemed arbitration panel and seek
a fair assessment of the evidence and circumstances surrounding this case.

Conclusion: Honorable Arbitrator, esteemed members of the panel, and respected

attendees, I have presented this argument to defend against the claim brought by
Mr. Kalyan. My client, Mr. Krishna, should not be obliged to pay the full
consideration of 1 crore due to the delay in completing the construction, which was
caused by Mr. Kalyan's failure to meet the stipulated timeline. The financial losses
incurred and the breach of contract should be taken into account when deciding the
outcome of this arbitration. We kindly request that this esteemed arbitration panel
considers the evidence and legal principles at hand and makes a just decision that
upholds the interests of my client, Mr. Krishna.

Observation by the Arbitrator:

Honorable Parties, esteemed representatives, and attendees,

Having listened attentively to the arguments presented by both the Claimant, Mr.
Kalyan, and the Respondent, Mr. Krishna, I would like to make the following
observation:

1. Contractual Agreement: The parties entered into a valid contract, wherein Mr.
Krishna agreed to pay 1 crore as consideration for the construction of a house by Mr.
Kalyan within a one-year period.
2. Force Majeure Event: It is acknowledged that a strike by lorry drivers occurred,
resulting in a delay in the delivery of construction materials for a period of six
months. This strike constitutes a force majeure event beyond the control of both
parties.
3. Impact on Construction Timeline: As a direct consequence of the strike, the
construction work faced significant delays, and it took Mr. Kalyan a total of two years
to complete the project, exceeding the originally stipulated one-year timeframe.
4. Payment Dispute: Mr. Krishna refused to pay the agreed consideration of 1 crore,
citing the delay in completing the construction as the reason for his refusal.
5. Breach of Contract: The key question to be addressed is whether the delay caused by
the strike and subsequent material delivery challenges constitutes a breach of
contract by Mr. Kalyan, thus absolving Mr. Krishna from his payment obligation.
6. Mitigation Efforts: It is essential to consider the efforts made by Mr. Kalyan to
mitigate the impact of the strike, such as exploring alternative material sources and
maintaining communication with Mr. Krishna regarding the challenges faced.
7. Reasonable Expectations: The parties' reasonable expectations should be taken into
account when assessing the impact of the strike and material delivery delays on the
completion timeline of the construction project.
8. Arbitration Clause: The inclusion of an arbitration clause in the contract indicates the
parties' intention to resolve any disputes through arbitration, thereby establishing
the jurisdiction of this esteemed arbitration panel.

Conclusion: Based on the presented arguments and observations, it is evident that

the key issue to be determined is whether the delay in completing the construction
constitutes a breach of contract, allowing for a potential exemption from the
payment obligation. The panel will carefully consider the evidence, legal principles,
and the impact of the strike-induced delays when rendering a fair and just decision.

I encourage both parties to continue cooperating fully throughout the arbitration

process, providing any additional information or evidence that may assist in reaching
a satisfactory resolution.

Thank you for your participation, and we will reconvene to proceed with the next
phase of the arbitration proceedings.

Arbitral Award:

Case: Mr. Kalyan (Claimant) vs. Mr. Krishna (Respondent)

Introduction: This arbitral award is rendered by the esteemed arbitration panel

in the case between Mr. Kalyan, proprietor of Kalyan & Construction
Company, and Mr. Krishna. The dispute revolves around the completion of a
 construction project and the payment of the agreed consideration of 1 crore.
The arbitration clause included in the contract provides the basis for the
resolution of this dispute through arbitration.

Findings of the Arbitration Panel: After careful consideration of the arguments,

evidence, and the applicable legal principles, the arbitration panel makes the
following findings:

1. Contractual Agreement: The parties entered into a valid contract wherein Mr.
Krishna agreed to pay 1 crore as consideration for the construction of a house
by Mr. Kalyan within a one-year period.
2. Force Majeure Event: It is acknowledged that a strike by lorry drivers occurred,
resulting in a delay of six months in the delivery of construction materials. This
strike constitutes a force majeure event beyond the control of both parties.
3. Impact on Construction Timeline: As a result of the strike-induced delays, Mr.
Kalyan took two years to complete the construction project, exceeding the
originally stipulated one-year timeframe.
4. Mitigation Efforts: Mr. Kalyan made reasonable efforts to mitigate the impact
of the strike by exploring alternative material sources and maintaining
communication with Mr. Krishna regarding the challenges faced.
5. Breach of Contract: The panel finds that the delay in completing the
construction project does constitute a breach of contract on the part of Mr.
Kalyan. However, this breach was primarily caused by the force majeure event
of the strike and subsequent material delivery challenges, which were beyond
his control.

Arbitral Decision: After thorough consideration of the facts and circumstances

of the case, the arbitration panel renders the following decision:

1. Payment Obligation: Mr. Krishna is directed to fulfill his payment obligation

and pay Mr. Kalyan the agreed consideration of 1 crore, as specified in the
contract. While there was a breach of contract due to the delay, it was
primarily caused by the force majeure event, and Mr. Kalyan made reasonable
efforts to mitigate the impact.
2. Reasonable Time Extension: Given the force majeure event and the resulting
delay in completing the construction project, the panel determines that a
 reasonable time extension was warranted beyond the originally stipulated
one-year period.
3. No Additional Compensation: The panel finds no grounds to award Mr.
Krishna additional compensation for the delay, as the force majeure event and
its consequences were beyond Mr. Kalyan's control.

Conclusion: In light of the findings and the arbitral decision rendered, Mr.
Krishna is directed to pay Mr. Kalyan the agreed consideration of 1 crore for
the completed construction project. This award represents a fair and just
resolution, considering the force majeure event and the reasonable efforts
made by Mr. Kalyan to mitigate the impact of the delay.

This arbitral award is final and binding upon both parties, in accordance with
the arbitration clause included in the contract.

Dated this ____ day of ________, 20.

Arbitrator:

[Arbitrator's Name]
 ARBITRATOR

Arbitrators play a crucial role in resolving disputes outside the court system,
providing parties with a neutral and impartial forum for resolving their conflicts. The
qualities and qualifications of an arbitrator are important factors in ensuring a fair
and effective arbitration process. Here are some notes on the qualities and
qualifications of an arbitrator:

Qualities of an Arbitrator:

1. Impartiality: An arbitrator must be unbiased and impartial, without any conflicts of

interest that could compromise their neutrality. They should have no personal or
financial stake in the outcome of the dispute.
2. Integrity: Arbitrators should possess high ethical standards, maintaining honesty and
integrity throughout the arbitration process. Their actions and decisions should
inspire confidence and trust from the parties involved.
3. Knowledge and Expertise: An arbitrator should have a thorough understanding of
the applicable laws, rules, and procedures relevant to the dispute. They should
possess expertise in the subject matter of the dispute, enabling them to comprehend
complex issues and make informed decisions.
4. Analytical and Problem-Solving Skills: Arbitrators need strong analytical skills to
assess and evaluate evidence, arguments, and legal positions presented by the
parties. They should be capable of identifying key issues, applying legal principles,
and arriving at reasoned decisions.
5. Communication and Listening Skills: Effective communication is vital for an arbitrator
to comprehend the parties' positions, facilitate productive discussions, and ensure
clarity in the process. Active listening skills allow the arbitrator to understand the
parties' perspectives and ask relevant questions.
6. Patience and Diplomacy: Disputes can be emotionally charged and complex.
Arbitrators must exhibit patience, remain calm, and manage the proceedings in a
diplomatic manner. They should encourage a respectful environment and ensure all
parties have a fair opportunity to present their case.

Qualifications of an Arbitrator:
1. Legal Knowledge: A strong foundation in law is essential for an arbitrator. They
should possess a law degree and be well-versed in the legal principles and rules
relevant to arbitration.
2. Training and Certification: Many jurisdictions offer training programs and
certifications specifically designed for arbitrators. Completion of such programs
demonstrates a commitment to professionalism and ongoing education in the field.
3. Experience: Arbitrators should have practical experience in dispute resolution. This
may include prior experience as a lawyer, judge, or arbitrator in other cases.
Experience in the specific industry or subject matter related to the dispute can also
be beneficial.
4. Neutrality and Independence: Arbitrators must maintain independence and avoid
any perception of bias. They should disclose any potential conflicts of interest and
recuse themselves if necessary to ensure a fair process.
5. Language Skills: Depending on the jurisdiction and the parties involved, arbitrators
may need proficiency in multiple languages. This enables effective communication
and comprehension of documents and arguments presented in different languages.
6. Continuing Education: To stay updated with the evolving field of arbitration,
arbitrators should engage in continuing education programs, attend relevant
conferences, and keep abreast of new legal developments and best practices.

These notes provide a general overview of the qualities and qualifications expected
of an arbitrator. It is important to note that specific jurisdictions and arbitration
institutions may have their own additional requirements and guidelines for arbitrator
selection.

Arbitration Agreement:

An arbitration agreement is a legally binding contract entered into by two or more

parties, whereby they agree to resolve their disputes through arbitration rather than
through the court system. The agreement outlines the terms and conditions under
which the arbitration process will be conducted. Here are some key components
typically found in an arbitration agreement:

1. Intent to Arbitrate: The agreement should clearly state that the parties have chosen
arbitration as the method of dispute resolution, demonstrating their mutual
agreement to forgo litigation.
2. Scope of the Agreement: The agreement should define the types of disputes or
claims that will be subject to arbitration. It can be broad, encompassing all disputes
arising out of or relating to the contract, or it can be limited to specific issues.
3. Appointment of Arbitrator(s): The agreement should specify the method for
appointing the arbitrator(s). It may identify a specific arbitration institution or
provide a process for selecting a neutral arbitrator.
4. Arbitration Rules: The agreement may incorporate specific arbitration rules, such as
those provided by reputable institutions like the International Chamber of
Commerce (ICC) or the American Arbitration Association (AAA). These rules govern
the procedural aspects of the arbitration, including the conduct of the parties,
submission of evidence, and timelines.
5. Seat or Place of Arbitration: The agreement should designate the seat or place where
the arbitration will be conducted. The seat determines the legal framework
applicable to the arbitration and the supervisory jurisdiction of local courts.
6. Language and Governing Law: The agreement may specify the language in which the
arbitration proceedings will be conducted and the governing law that will apply to
the arbitration agreement and the substance of the dispute.
7. Confidentiality: Parties may include a confidentiality provision, which restricts the
disclosure of information and documents exchanged during the arbitration process.
8. Number of Arbitrators: The agreement should state the number of arbitrators who
will hear the dispute. It can be a single arbitrator or a panel of three arbitrators,
depending on the complexity and value of the dispute.
9. Costs and Fees: The agreement may address the allocation of arbitration costs,
including the fees and expenses of the arbitrator(s) and any administrative charges
of the arbitration institution, if applicable.

Arbitral Award:

An arbitral award is the final decision rendered by the arbitrator(s) or arbitral tribunal
at the conclusion of the arbitration proceedings. It is binding on the parties and
serves as the resolution of their dispute. Here are some important aspects of an
arbitral award:

1. Decision and Reasoning: The award should clearly state the decision reached by the
arbitrator(s) on each issue in dispute. It should provide a reasoned explanation,
outlining the factual findings, legal analysis, and the basis for the decision.
2. Remedies and Relief: The award should specify any remedies or relief granted to the
prevailing party, such as monetary damages, specific performance, or declaratory
relief.
3. Costs and Fees: The award may address the allocation of costs and fees incurred
during the arbitration proceedings. It can include the reimbursement of arbitration
costs, legal fees, and any other expenses.
4. Finality and Enforceability: The arbitral award is final and binding on the parties, with
limited grounds for appeal or challenge under applicable laws. The award can
typically be enforced in domestic or international courts, subject to the New York
Convention or other applicable treaties.
5. Confidentiality: Depending on the terms of the arbitration agreement and applicable
laws, the award may be subject to confidentiality provisions, limiting its disclosure to
third parties.
6. Form and Delivery: The award should be in writing and signed by the arbitrator(s) or
arbitral tribunal. It should be delivered to the parties in accordance with the agreed-
upon method of communication or as prescribed by the applicable arbitration rules.

It is important to note that the specific contents and requirements of an arbitration

agreement and arbitral award may vary depending on the governing law, chosen
arbitration rules, and the specific circumstances of the dispute. Parties should seek
legal advice and tailor their agreements and awards accordingly.