UNITY INFRAPROJECTS LIMITED Vs. STATE OF M.P.

JUDGEMENT

(1.) BY this Writ Petition under Article 226 of the Constitution of India, petitioner claims to be a Limited Company registered under the Companies Act, 1956 and engaged in the business of construction and infrastructure. In response to the notice inviting tender for Earth Work, Cement Concrete Lining by Paver Machine for main canal, Cast in Situ for distribution network, all in line concrete Structures, W.B.M. service road for main canal and moorum topped road for distribution network for construction of Harsi High Level main canal from 30 Km. to 65 Km. and its entire distribution network system of distributories minors and sub -minors upto 40 ha chak, petitioner submitted a tender and the same having been the lowest tender, petitioner was awarded work vide order dated 9/6/2011. Agreement was executed on 9/6/2011. Copy of agreement is Annexure P/2.

(2.) THERE is an arbitration clause in the agreement vide clause 4.3.29.2, which reads thus: -

(3.) IT is contended by petitioner's counsel that petitioner has already made a claim for price adjustment and compensation of loss to the Superintending Engineer, Sindh Canal Circle, Shivpuri, as contemplated under the arbitration clause 4.3.29.2 on 8/5/2014. With the aforesaid factual narrations, it is contended that the Executive Engineer has no authority to issue impugned show -cause notice for action under clause 4.3.3.3 and proceed further when the petitioner has made a claim before the Superintending Engineer as required under arbitration clause 4.3.29.2, which is pending consideration.