TARSEM LAL Vs. USHA RECTIFIRE CORPORATION

JUDGEMENT

(1.) The Petitioner Shri Tarsern Lal, Proprietor of M/s. Tarsem Lal & Co. entered into contract with M/s. Usha Rectifier Corporation (India) Ltd. for the execution of the work of "construction of factory building on Plot Nos. 486/487-Phase III, Sector 20, Udyog Vihar, Gurgaon.

(2.) Disputes arose between the parties and they were referred for an adjudication to Shri J.R. Bhalla, Arbitrator. The Arbitrator has made his award on 6.12.1989 directing M/s Usha Rectifier Corporation (India) Ltd. to pay to the Petitioner a sum of Rs. 11,66,047.00 with interest @ 12% p.a. from 8.8.1987 till 13.7.1989. He further directed that if the amount is not paid within 30 days Respondent No. 1 shall pay further interest @ 15% per annum from the date of award till the date of payment. Respondent No. 1/Objector did not appear before the learned Arbitrator, therefore, the award was passed exparte.

(3.) Respondent No. 1 has filed the objections (IA No. 4412/90). In the objection petition the point taken is that under Clause 56 of the contract, the Arbitrator was not appointed in accordance with that clause therefore, the Arbitrator had no jurisdiction to adjudicate upon the disputes between the parties.