UNION OF INDIA Vs. R P SHAH

JUDGEMENT

(1.) Both these petitions are under section 34 of the Arbitration and Conciliation Act, 1996 (for short, the Arbitration Act) whereby common award dated 30th May, 2007 has been challenged.

(2.) Union of India (UOI) (Western Railway) has challenged the award basically for the grant of loss of profit and interest thereon. M/s R. P. Shah, the original claimant has challenged the award on the ground of awarding the compensation only 5% on loss of profit on the withdrawn work, instead of 10%. This Court by order dated 6th September, 2005 in earlier Arbitration Petitions, between the same parties, arising out of the same contract, quashed and set aside the earlier award, for want of no justification for not granting compensation for loss of profit caused due to not permitting the contractor to complete the balance work after the termination of the contract; and the denial of interest on the awarded amount.

(3.) The learned Arbitral Tribunal, therefore, reheard original claim Nos. 9 and 16. The basic facts are not in dispute.