Citation : 2023 Latest Caselaw 2322 Bom
Judgement Date : 10 March, 2023
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IN THE HIGH COURT OF JUDICATURE AT BOMBAY
NAGPUR BENCH, NAGPUR
Arbitration Appeal No.11/2019
(Commander Works Engineers, AFI, Nagpur V M/s Ajay rash Construction Co. and
another)
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Office notes, Office Memoranda of
Coram, appearances, Court's orders Court's or Judge's Orders
or directions and Registrar's orders.
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Mrs. Anjali Joshi, Adv for appellant.
Mr. Abhijit Khare, Adv for respondents.
CORAM : AVINASH G GHAROTE, J.
DATE : 10-03-2023
On 10-02-2023, after hearing the learned counsels, the following position was recorded :-
"Heard.
2. The only ground argued is that condition No.11(C) of the contract, imposes restrictions upon the contractor from claiming compensation, as as result of the extension granted under conditions 11 (A) and (B) above. Clause (A) of condition 11 (page 45) permits extension being granted to the contractor by reason of delay on part of the contractor or by force majeure as indicated in condition 11 Clause (A)(i) to (vii) and Clause (B) contemplates extension being granted on account of non availability of Government stores shown in Schedule 'B', or non-availability or breakdown of Government Tools and Plants listed in Schedule 'C' (page 46).
3. The learned counsel for the appellant submits, that no plea has been raised in respect of condition 11(B) (b). The learned Arbitrator in the
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award in para 12 has categorically pointed out, that the work was delayed on account of lack of supply of Bitumen by the appellant. It is equally a position on record as spelt out from the said para itself, that no extension was granted to the respondents till the time the work was completed on 14.08.1997. A post facto extension is claimed to have been granted upto 30.04.1995 only by the communication dated 15.01.1998. When asked about the material to indicate the existence of parameters as contemplated by condition 11 ©, the learned counsel for the appellant, seeks time to make inspection and point out the relevant documents, considering which, list the matter on 24.02.2023."
2. Today, it is contended by Mrs. Joshi, learned Counsel for the appellant, that since Clause 11 (A) and Clause (B) (i) were worked out in view of clause 11 (C), the compensation was not payable.
3. A perusal of the award dated 31-12-2003 (pg 20) indicates, that though the claimant had commenced the work at site on 02-05-1994 and had initially completed the work of water bound macadam and filling of pot holes within a period of one month, the work of premix carpet was commenced on 06-06-94. The total requirement of bitumen was approximately 60 MT. The claimant raised the demand for issuance of Schedule-B material, as a result of which, the respondents had issued 30.08 MT of bitumen to the claimant between 30-5-94 to 8-6-94 and the work of premix carpet was done from 06-06-94 to 12-06-94.
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After the monsoon, the work was restarted on 29-03-94 and continued upto 17-11-94. Upon the consumption of the major part of the bitumen as issued to the claimant, a demand was made for balance quantity of 30 MT of bitumen, out of which only 60MT bitumen was made available from January-1995 to July-1995 as per the store ledger.
4. The award further records that there were various letters from the claimant from 17-09-94, demanding the balance quantity of bitumen, which were not replied. The award records that the balance 30 MT bitumen was given to the claimant only in May-1996. It is not the case as spelt out by the appellant that there was non availability of bitumen which was Schedule-B quantity in the stores for which clause 11 (B) (a) of the Contract would clearly not be attracted. Insofar as clause 11 (A) is concerned, it is an admitted position, that though extensions were sought, they were never granted from 02-05-94 i.e the commencement of the work till 14-8-97, the date on which the work stood completed which would make it apparent that the work was carried out by the claimant, and so also permitted to be completed by the respondents, without granting any extension at all. The grant of extension by the communication dated 15-1-98, there would not enure to the appellant to claim applicability of clause 11 (A) of the Contract.
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5. Considering the above position, no case is made out for interference under any of the clauses of Section 34 (2) of the Arbitration and Conciliation Act, 1996 (for short, 'A and C Act, 1996'), in view of which, I do not see any reason to interfere in the award passed by the learned Arbitrator as well as the judgment of the learned Principal District Judge in the application u/s 34 of and A and C Act, 1996. The appeal is therefore dismissed. No costs.
JUDGE
Deshmukh
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