LAWS(DLH)-2001-3-56

HANS CONSTRUCTION COMPANY Vs. DELHI DEVELOPMENT AUTHORITY

Decided On March 08, 2001
HANS CONSTRUCTION COMPANY Appellant
V/S
DELHI DEVELOPMENT AUTHORITY Respondents

JUDGEMENT

(1.) The only dispute in these proceedings is in respect of claim No. 8 awarded vide award dated 28/12/1992 which is through this suit sought to be made Rule of the Court.

(2.) Claim No. 8 pertains to damages on account of 'establishment and overhead expenses' incurred by the petitioner during the extended period of contract and hire charges for the tools and plants for the same period.

(3.) The learned Counsel for the respondent has drawn my attention to the observations of the Arbitrator in respect of 'establishment and overhead expenses' to the effect that the claimant has not submitted any authenticated documentary proof of expenditure on salary of staff and their continuous employment etc. yet on practical consideration the claim appears to be on the higher side. However the Arbitrator has also observed that there is no denying the fact that the claimant's minimum establishment continued for the entire period till 15/04/1989 when the claimant intimated the respondent regarding the physical completion of the work. While referring to Clause (10) of the agreement which provides a bar on compensation if the delay in supply of stipulated material is upto six months and the cost of work also exceeds by 15%, the Arbitrator considered the expenditure incurred by the claimant on practical considerations to the tune of Rs. 1.22.250.00 as just and reasonable. The expenses are split up as under: 1. Graduate Engineer one number for 21 months @ Rs.1,500.00per month Rs.31,500.00 2. Supervisor one number for 21 months @ Rs.750.00 per month Rs. 15,750.00 3. Chowkidar three numbers for 50 months @ Rs. 500.00per month Rs.75,000.00 Total Rs. 1,22,250.00