GAIL (INDIA) LIMITED Vs. PUNJ LLOYD LIMITED

JUDGEMENT

(1.) The present appeal questions the judgment and order of a learned single judge, which decreed in part a civil suit filed by the respondent (Punj Lloyd). The said plaintiff, Punj Lloyd has also preferred cross objections, which were heard finally, with the consent of counsel for parties. The said cross objections shall be treated as admitted; the Registry shall accordingly register it and appropriately number it. The record of the suit and the proceedings before the learned single judge were called for and were part of the appeal file at the time of hearing, of this appeal.

(2.) Punj Lloyd sued to recover Rs. 29,15,07,084.80.00 from the appellant (hereafter "GAIL") The suit amount was deducted towards interim liquidated damages in terms of Clause 57.2 of the Special Conditions of Contract (SCC) to which the present disputants were parties. Punj Lloyd complained that GAIL had withheld amounts on account of the liquidated damages deducted for interim stages delays in the completion of works, in exercise of GAIL's rights under Clause 57.2 of the SCC from Punj Lloyd's bills.

(3.) GAIL was to lay down gas pipelines for transportation of re-gasified natural gas originating from Petronet LNG Terminal at Dahej in Gujarat and terminating at Vijaipur in Madhya Pradesh. This and other associated facilities was called the DAHEJ-VIJAIPUR Pipeline Project (DVPL Project). It consisted of four parts (called "spreads"). The invitation for bids described the spreads as follows:- <FRM>JUDGEMENT_173_LAWS(DLH)5_20171.html</FRM>