LAWS(DLH)-2001-9-42

DHARAM CONSTRUCTION Vs. DELHI DEVELOPMENT AUTHORITY

Decided On September 24, 2001
DHARAM CONSTRUCTION Appellant
V/S
DELHI DEVELOPMENT AUTHORITY Respondents

JUDGEMENT

(1.) Aggrieved by the award of the arbitrator, respondents-DDA has filed the objections under Sections 30 and 33 of Arbitration Act, 1940. The award was made by Shri S C Kapoor, a retired Chief Engineer of C.P.W.D. The arbitrator made the award on 20/3/1993. The award runs into 42 pages.

(2.) In nutshell Ms.Ansuya Salwan, learned counsel for he petitioner, has contended that arbitrator could not have awarded any amount which was covered under Clause 1 under the head "Additional specifications and Conditions of the contract. She has assailed the award of a sum of Rs.51,750.00 by the arbitrator under claim no.2 as well as claim no.3 as damages. In support of her contentions, learned counsel for the respondent-objector has relied upon Ishwar Singh & sons V/s.D.D.A. 1994 (1) A.L.R. 526 as well as Rajasthan State Mines and Minerals Ltd. V/s.Eastern Engineering Enterprises & anr. 1999 (3) A.L.R. 350 in which it is held :-

(3.) To the same effect to buttress her arguments, learned counsel for the objector has cited Steel Authority of India V/s. J C Budharaja. Government and Mining Contractor 1999 (3) A.L.R. 335. On the basis of aforesaid authorities learned counsel for the objector-respondent has contended that when there is a stipulation in the contract specifically prohibiting or granting damages for the breaches mentioned in the said clauses, it was not open for the arbitrator to ignore the said condition and if the arbitrator has done the same, he has acted beyond the jurisdiction conferred upon him and, therefore, the award of the amount as mentioned under claim nos.2, 3 and 4 be set aside as same amounts to jurisdictional error and misconduct on the part of the arbitrator.