HINDUSTAN CONSTRUCTION CO. LTD Vs. STATE OF KERALA

JUDGEMENT

(1.) An arbitral award was passed in favour of appellant. But, the said award was set aside by the Additional District Court, on a petition filed by respondents herein (State) and another under S.34 of the Arbitration and Conciliation Act, 1966 (for short, 'the Act'). Aggrieved by the said order, this appeal is filed.

(2.) Facts briefly: An agreement (dated 22/12/1992) was entered into between appellants and respondents, regarding work of construction of link road NH - 47 connecting Wellingdon Island and Cochin By - pass. As per Clause 67 of the agreement, if a dispute of any kind whatsoever arises between the employer and contractor in connection with or arising out of the contract or the execution of work, whether during the execution of the work or after completion etc., such dispute shall be finally settled, unless otherwise specified in the contract, etc. by one or more Arbitrators appointed under such Rules.

(3.) Accordingly, when a dispute arose, an Arbitration Committee was constituted consisting of three members, for the settlement of the dispute. One among the three is considered the Chairman - Arbitrator ('the Chairman', for short) and the other two are the members. The Arbitration Committee commenced the arbitral proceedings and on conclusion of proceedings, an award was passed and signed only by two members of the Committee.