JAIPRAKASH ASSOCIATES LIMITED Vs. NHPC LIMITED

JUDGEMENT

(1.) The Decree Holder (hereafter "JAL") has filed the present petition seeking enforcement of an Arbitral Award dtd. 19/2/2018, which was made a rule of the court by a judgment dtd. 8/4/2019 in CS(COMM.) 907/2018 captioned "M/s Jaiprakash Associates Limited v. NHPC Limited".

(2.) JAL and the Judgment Debtor (hereafter "NHPC") had entered into a contract on 27/5/1986 for construction of the main concrete dam and coffer dam at Chamera Hydroelectric Projects at Dalhousie, District Chamba, Himachal Pradesh. The disputes between the parties, essentially, relate to JAL"s claim for payment of 25% mark up on the market rate of material utilised in execution of extra and deviated items of work under the contract in question. The petitioner claimed a sum of Rs.6,47,00,648.87.00 as mark-up on materials, which was not accepted by NHPC. NHPC contended that in terms of the contract between the parties, a mark-up would apply only to material supplied by the contractor and not by NHPC. JAL"s claim for markup was finally rejected by NHPC by a letter dtd. 13/9/1993.

(3.) In view of the disputes, JAL invoked the Arbitration Clause by a letter dtd. 28/10/1993. NHPC appointed Justice (Retired) Hari Swarup as the Sole Arbitrator. And, on 3/11/1993, JAL referred its claim to the Arbitral Tribunal.