UNION OF INDIA Vs. ARCTIC INDIA BANGALORE

JUDGEMENT

(1.) The petitioners have challenged award dated 29-3-2004 under section 34 of the Arbitration and Conciliation Act, 1996 (for short, "arbitration Act")

(2.) A contract was executed by and between the parties in respect of replacement of BER A/c plant at NAD Karanja based on the tender dated 27-1-1996. The respondents' tender was accepted on 9-4-1996. The amount of contract was Rs. 86,13,066/- (Rupees Eighty six lacs thirteen thousand sixty six only). The period of completion was 15 months. The date of commencement/ completion as per the work order was 24-4-1996 to 23-7-1997. The work was actually completed, as contended by the respondents, on 11-8-1999/1-10-1999. The claimant/respondents submitted final bill on 17-7-2002 but returned by the petitioners on 31-7-2002. Thus, as dispute arose a sole arbitrator was appointed by letter dated 26-3-2003, in view of terms and condition 70 of IAFW-2249 being part of the contract between the parties. The date of completion of contract as per work order for phase-I was 23-7-1997. The certificate of completion for phase-I was of 29-7-1999. There was no certificate of completion for phase-II. As final bill was returned unpaid, on 20-8-2002 a notice to invoke arbitration was issued by the respondents. As there was no appointment made, by an order dated 31-1 -2003 under section 11 of the Arbitration Act, 1996, this Court has appointed an arbitrator. On 3-4-2003 the arbitrator entered into the reference.

(3.) The arbitrator fixed the date, time and place for hearing of the matter. The arbitrator has passed award dated 29-3-2004.