R.C. Lahoti, J. - (1.)Challenge is laid to the constitutional validity of Section 7-B of the India Telegraph Act, 1885 which provides as under :- "7-B. Arbitration of disputes (1) Except as otherwise expressly provided in this Act, if any dispute concerning any telegraph line, appliance or apparatus arises between the telegraph authority and the person for whose benefit the line, appliance or apparatus is, or has been, provided, the dispute shall be determined by arbitration and shall, for the purposes of such determination, be referred to an arbitrator appointed by the Central Government either specially for the determination of that dispute or generally for the determination of disputes under this Section. (2) The award of the arbitrator appointed under sub-section (1) shall be conclusive between the parties to the dispute and shall not be questioned in any Court.
(2.)The challenge is laid on the ground that the provision is discriminatory and ultra vires of the Constitution, also against the principle of natural of justice and it gives unbridled power to the arbitrator who is an employee of the respondent (MTNL). It is further submitted that the provision makes the award of the arbitrator final and binding without any judicial scrutiny and there is no judicial check against the arbitrary exercise of powers by arbitrator.
(3.)It is true that Section 7-B above, said excludes the ordinary remedy available under the law for settlement of such dispute as are covered by Section 7-B aforesaid and the award so given is conclusive and not available to be questioned in any Court, however, that by itself would not make the provision unconstitutional.