MANAGING DIRECTOR, A.P. ROAD DEVELOPMENT CORPORATION AND EX-OFFICIO ENGINEER-IN-CHIEF (R & B) Vs. IRCON INTERNATIONAL LIMITED

JUDGEMENT

(1.) THIS civil miscellaneous appeal filed by the appellant under Section 37 of the Arbitration & Conciliation Act, 1996 is directed against the order dated 20.02.2007 passed in OP. No. 348 of 2005 by the learned III Additional Chief Judge, City Civil Court, Hyderabad.

(2.) WE have heard the submissions of the learned Additional Advocate General appearing on behalf of the appellant (i.e., the respondent before the Tribunal) and the learned counsel appearing for the 1st respondent (i.e., the claimant). The other respondents herein are the learned Arbitrators.

(3.) THE introductory facts necessary for consideration, in brief, are as follows: - The claimant and the appellant had entered into an agreement bearing No. 1/1997 -98 dated 26.03.1998 for the work of widening and strengthening of Warangal - Raipatnam Road. Certain disputes and differences had arisen between them in respect of the said work under the said contract. As per the terms agreed to under the contract, the disputes were first referred to the Disputes Review Board (the DRB for short). The DRB had submitted recommendations on 04.02.2003 accepting one of the two claims and rejecting the other. Having not been satisfied with the recommendations of the DRB, the appellant had made a request for referring the parties to arbitration. Simultaneously, the claimant had also expressed its intention to have the parties referred to arbitration as one of their claims was also rejected by the DRB. The claimant had nominated its Arbitrator; and the appellant had also nominated its Arbitrator. The said two Arbitrators by mutual agreement had nominated the third member of the Tribunal as the Presiding Arbitrator. Both the parties had submitted their documents and the same were exhibited.