STATE OF UTTAR PRADESH Vs. ALLIED CONSTRUCTIONS

JUDGEMENT

(1.) Under a contract entered into by and between the appellant and the respondent, the respondent undertook construction of bridge-cum-fall at Nunda Khera Scape at the estimated cost of Rs. 37.2 lakhs. While the work was in progress, the work area was flooded in the night of August 25 and 26, 1991.

(2.) The respondent-contractor herein filed a claim on account of loss sustained by him due to flooding of the work area. Ultimately, the matter was referred to an arbitrator. The arbitrator gave an award for payment of a sum of Rs. 12,55,365/- together with interest at the rate of 18 per cent. from 1-11-1991 till the date of the award and 6 per cent. thereafter. The respondent filed the award for being made rule of the Court. The appellant herein filed a petition, inter alia, on the ground that the arbitrator has misconducted the proceedings, inasmuch as the force majeure contained in Cl. 47 disentitled the respondent from making any claim which was on account of unprecedented rain. The said objection was rejected and the award was made rule of the Court. The appellant thereafter filed a first appeal from order before the High Court and the same was dismissed. It is against the said judgment, the appellant is in appeal before us.

(3.) Learned counsel appearing for the appellant reiterated his argument raised before the High Court. In fact, his argument based on force majeure is that because of unprecedented rain the liability of loss cannot be thrust upon the appellant. We do not find any merit in this contention. Clause 47 of the agreement runs as under :