C I LABORATORIES Vs. UNION OF INDIA

JUDGEMENT

(1.) This suit has been registered on account of filing of an Award by Shri I.C. Achutan, who was appointed as an Arbitrator by the respondent in order to pass an Award as regards the disputes which had arisen between the petitioner and respondent Union of India.

(2.) Respondent had issued a tender bearing No. CD-1/222/051/26.11.82/ COAC/869 dated 23.2.1983 for supply of Sorbitol Solution 70% conforming to IS Specification No. 3987-1977 (1st revision). Petitioner submitted its tender bearing No. CTL/F-54/3327 dated 24.1.1983. Offer given by the petitioner was accepted by the respondent on 3.2.1983 and, thus, a contract took place between the parties. It seems that thereafter there was levy of Customs Duty on the said commodity and, therefore, the petitioner was insisting to have a written contract mentioning therein specifically the liability of the respondent to pay the said customs duty. The petitioner was requested to withdraw that claim but they did not agree to the same and persisted with their claim. Ultimately, they were informed by the respondent to give the details of their claim and the petitioner has claimed in all Rs. 2,80,590.00 by supplying the details.

(3.) But, after a few months they were informed that their claim was not acceptable to the respondent and, consequently, a dispute arose between the parties and as per the terms of contract between the parties the said dispute for the claim . of Rs. 2,80,590.00 was referred to the Arbitrator by a letter dated 1.11.1988.