JUGGILAL KAMLAPAT KHARDAH COMPANY LIMITED Vs. GENERAL FIBRE DEALERS LIMITED :MORGAN WALKER AND COMPANY LIMITED

JUDGEMENT

(1.) These two appeals by special leave from the judgments of the Calcutta High Court raise a common question of law and will be dealt with together. It will be convenient to set out the facts of appeal 309 and deal with them in connection with the point raised on behalf of the appellant. These facts are that a contract was entered into between the parties for supply of cornsacks on August 29, 1951. The contract contained an arbitration clause in the following terms :

(2.) Soon after the award had been set aside by the learned Single Judge, the respondent addressed a letter to the Chamber on September 7,1953. It was said in this letter that as the award in case No. 217-G of 1951 had been set aside by the High Court, the respondent begged to refer the matter for arbitration de novo and enclosed its statement of the case. Thereupon another tribunal was constituted under the rules of the Chamber to decide the dispute afresh. The appellant appeared before the tribunal and contended that it had no jurisdiction to make an award on a second reference in the same dispute. The tribunal, however, proceeded to decide the reference and made the award on March 15, 1955. This time the award was in favour of the respondent. Thereupon on August 4, 1955, the appellant made an application to the High Court praying that the award be set aside. In the alternative, the appellant prayed that the award be declared null and void and the arbitration agreement between the parties be superseded on the ground that the second reference was incompetent,

(3.) The application was opposed by the respondent and its contention was that this was not a second reference, and what the respondent wanted was that the Chamber should in the event that had happened take up the dispute again and make a proper award. Reliance in support of the plea that such a course was permissible was placed on behalf of the respondent on the decision of the Calcutta High Court in Barangore Jute Factory Co. Ltd. v. M/s. Hulaschand Rupchand, 62 Cal W N 754 : (AIR 1958 Cal .490).