LAWS(DLH)-2022-1-258

CONCEPT COMMUNICATIONS LTD. Vs. BHARAT SANCHAR NIGAM LTD.

Decided On January 20, 2022
Concept Communications Ltd. Appellant
V/S
BHARAT SANCHAR NIGAM LTD. Respondents

JUDGEMENT

(1.) The present petition under Sec. 34 of the Arbitration and Conciliation Act, 1996 [hereinafter, "tte Act"] impugns the Arbitral Award dtd. 22/9/2021 passed by a Sole Arbitrator, wherein claims raised by the Petitioner (Claimant at Arbitration) were dismissed. The Facts

(2.) The Petitioner-M/s. Concept Communications Ltd. [hereinafter, "CCL"] - a company engaged in the business of providing Out of Home [hereinafter, "OOH"] advertising services - was the successful bidder in a tender floated by the Respondent-Bharat Sanchar Nigam Ltd. [hereinafter, "BSNL"]. Parties executed an Agreement dtd. 17/9/2009 thereto, whereby CCL was engaged for providing OOH advertising services in five territorial Circles in India, namely - Maharashtra, Tamil Nadu, Andhra Pradesh, Chennai, Andaman and Nicobar and Andhra Pradesh [hereinafter, the "Project"]. The said territorial circles comprised of various Secondary Switching Areas [hereinafter, "SSAs"]. Pursuant thereto, BSNL issued a Release Order on 18/9/2009, and awarded work for brand visibility of BSNL through PCO Glow Sign Boards namely -(i) 'PCO Glow Sign Board (Double sided)-Lit Boards' [hereinafter, "Lit Boards"] and (ii) 'PCO Signage (Flange Double Sided)-Non-Lit Boards' [hereinafter, "Non-Lit Boards"].

(3.) According to CCL, the work assigned to it was completed in accordance with the Release Order, yet, BSNL acted in blatant violation of the terms of the Agreement as well as the Release Order, and under false and specious pleas, refused to release payments to CCL. In these circumstances, CCL triggered the arbitration clause, and consequently, the Arbitral Tribunal was constituted to adjudicate the disputes. At Arbitration