RAMLA CONSTRUCTION Vs. STATE OF M P

JUDGEMENT

(1.) THE applicant has filed this revision under Section 19 of M. P. Madhyastham Adhikaran Adhiniyam, 1983 (hereinafter referred as 'the Adhiniyam') assailing the award dated 28-2-2003 passed by M. P. Arbitration Tribunal, Bhopal in Reference Case No. 22/1991, by which the reference application of applicant has been dismissed as barred by time.

(2.) THE facts in short of the case are as under:applicant was awarded a works contract for the construction of Spill Channel of Matiyari Irrigation Project. On 21 -11 -1981, the work order was issued and the last date of completion of work was 20-11-1982. The work could not be completed and after following process, concerned Executive Engineer rescinded the contract on 30-1-1984. Applicant aggrieved by the order of Executive Engineer made a reference to the Superintending Engineer under Clause 3. 3. 29 of the contract on dated 22-3-1984. The Superintending Engineer decided the matter finally on 31-12-1984 and rejected the claim of the applicant. On 31-12-1984 the remedy of the applicant was to approach Civil Court under the provision of Arbitration Act, 1940. Though the M. P. Madhyastham Adhikaran Adhiniyam, 1983 (hereinafter referred as 'the Act') was enacted and received the assent of the President on the 7th October, 1983 but because of non-constitution of the Tribunal, the provisions of the aforesaid Act were not enforced. On 1-3-1985, the Tribunal was constituted and the provisions of this Act came into force. In the Act there was no provision in respect of limitation, though the reference application was entertainable under Section 7 of the Act. For the first time by Act No. 9 of 1990, w. e. f. 24-4-1990, Section 7-B was introduced which provided limitation for filing reference applications. The applicant filed reference application on 23-4-1991 within the time period fixed by sub-section (2) of Section 7-B of the Act. The Tribunal on raising preliminary objections by the respondents found that the cause of action arose to the applicant on 31-12-1984 and in view of the Article 113 of the Indian Limitation Act, 1963, the limitation for filing reference application was three years from the date of cause of action and dismissed the reference petition. This order has been assailed by the petitioner on following grounds:

(3.) LEARNED Counsel for the State supported the order and submitted that the residuary Art. 113 Indian Limitation Act, 1963 was applicable in this case and the applicant ought to have filed the application within a period of three years from the date when its case was turned down by the Superintending Engineer vide order 31-12-1984 and the applicants who had not approached to the Tribunal after its constitution on 1-3-1985 was not having any right to approach the Tribunal after enactment of Section 7-B on 24-4-90. The order passed by the Tribunal is in accordance with law and suffers no infirmity warranting interference of this Court.