STATE OF KERALA Vs. T. P. GEORGE

JUDGEMENT

(1.) The respondent (claimant) entered into contract dated 30-5-1981 with the appellants for the work of K. I. P. formation of L. B. Main Canal Driving Tunnel. Certain disputes arose between the parties and the differences were referred to a sole arbitrator. The arbitrator passed an award on 12-3-1985 and filed the same before the Sub Court, Trivandrum. Appellants filed application to set aside the award, whereas the respondent sought a decree in terms of the award. The Sub Judge overruled the objection of the appellants and passed a decree in terms of the award by judgment and decree dated 31-3-1986. This is challenged in the above appeal.

(2.) Learned Government Pleader confined his arguments against the award under claims 12 (i), (k) and (j). Government Pleader also challenged the interest awarded by the arbitrator.

(3.) Under claims 12 (i) and (k) the respondent claimed 40% increase over and above the agreed rates for the work done after 4-8-1983. The claim was to the tune of Rs. 2,51,697.06. The entire amount was awarded by the Arbitrator. The agreement is dated 30-5-1981. The respondent obtained the contract by bidding 41% above the estimate. Time for completion of the work was 21 months from the date of handing over the site. The site was handed over on 5-6-1981. The work ought to have been completed on 4-3-1983. The work was not completed during the period of contract and the term, of contract was extended up to 30-9-1983. There was a second extension and the period was extended to 31-3-1984.