UNICEL LIMITED Vs. STATE TRADING CORPORETION

JUDGEMENT

(1.) -

(2.) WHAT is the scope of the jurisdiction of the civil court under sub-sections (1) and (4) of section 20 of the Aribtration Act and the effect of its finding on the case referred to arbitrator ? This is virtually the only surviving question in this appeal.

(3.) ANOTHER ground for coming to the conclusion that the State Trading Corporation was not under any duty to disclose to the Unicel about the offer received from the Italian firm on the 25th May 1970 and accepted on that day given by the learned Single Judge is that the contract between the State Trading Corporation and the Italian firm was not concluded till the 29th June 1970. The "fall clause'" uses the words '"in case business is concluded by the State Trading Corporation by the end of July 1970 with any reputable manufacturer" etc. Two things are necessary to be proved for the application of the "fall clause". Firstly, business is to be concluded. Secondly, it has to be with a reputable manufacturer. The expression "business is concluded" may or may not be synonimous with the conclusion of a contract. It may include the completion of the transaction which Begins with the contract and ends with the delivery of goods. Even if it is assumed that it only means conclusion of a contract, the contract between the Italian firm and the State Trading Corporation could not be said to have been concluded on the 25th May 1970 for the following reasons: