SATYA PRAKASH Vs. AIRPORT AUTHORITY OF INDIA

JUDGEMENT

(1.) The respondent inserted an advertisement inviting tenders for the work of Strengthening of runway 14/32 and taxiway at Trivandrum Airport, Thiruvananthapuram. The petitioner submitted his application in pursuance thereto and was shortlisted in terms of a communication dated 10.02.2003 of the respondent. On opening of the tender received from the petitioner, the petitioner was awarded the contract vide letter dated 24.04.2003.

(2.) The petitioner commenced work which was completed where-after the final bill was raised on 18.02.2005. The petitioner accepted the payment with the endorsement "accepted in full and final settlement" on 23.02.2005.

(3.) The petitioner, however, raised various claims including on account of amounts withheld for cable damage at site and on account of escalation. The respondent, however, refused to accept the claims. It is an undisputed position that the contract between the parties contains an arbitration clause No.25 but despite demands of the petitioner including vide letter dated 29.12.2005, the respondent refused to appoint an arbitrator on the ground that the petitioner had accepted the full and final payment for all his claims and thus there were no disputes to be referred to arbitration. The respondent's stand was also that in terms of clause 25 of the contract, the claim is to be made within a period of 90 days of the final bill.