MALABAR CEMENTS Vs. GEORGE

JUDGEMENT

(1.) THE Malabar Cements Ltd. , Walayar (hereinafter referred to as the company) has filed this appeal against the decision of the court below declining to set aside the award of the Arbitrator and passing a decree in terms thereof. THE agreement between the company and the Contractor related to the civil and structural works with respect to the construction of the township at Walayar. THE agreement is dated 10-12-1980. As per the terms of the agreement the work is to be completed on or before 1-3-1982. THEre was extension of time for completion of the work and the work was completed in July 1984 within the extended period of time.

(2.) THE agreement contained a clause for arbitration of disputes that might arise between the parties in the performance of the contract. THE Contractor raised several disputes and filed a suit O. S. (Arb.)64/85 on the file of the Sub Court , palghat under S. 20 of the Arbitration Act for filing the agreement and for reference of the disputes to an Arbitrator. THE Sub Court by judgment dated 12-12-1985 appointed the Chief Engineer (Arbitration) as the Arbitrator to decide the disputes and settled the terms of reference to the Arbitrator. Issue No. 7 in the suit relates to the terms of reference which reads: "issue No. 7:-THE issues raised in the plaint are liable to be referred to the arbitrator for arbitration and they form the terms of the reference". THE issues raised in the plaint are extracted at page 35 of the paper book and they read as follows:-- " (i) Is the claimant entitled to any additional payment over and above that covered by the final bill as prepared by the respondent on account of the performance of the contract? If so, what is the amount due? (ii) Is the claimant entitled to enhancement in rates for the work done? If so, what is the amount due? (iii) Is the claimant entitled to interest if any on the amounts if any found due under the aforesaid claims? If so what is the order? (iv) Is the claimant entitled to cost of these proceedings? If so what is the order?"

(3.) THE Arbitrator by his award has allowed some of the claims and has awarded certain amounts on such claims. Some of the claims made by the Contractor were rejected. THE counter claim made by he company was also rejected. THE award is at page 70 of the paper book.