UNION OF INDIA Vs. KISHORILAL GUPTA AND BROS

JUDGEMENT

(1.) THIS is an application asking for an order setting aside an award for a declaration that the arbitration agreements under which the award was made have ceased to exist and for an adjudication that the award is a nullity and is void and without any effect.

(2.) THERE were three contracts between the contractor firm Kishorilal Gupta and Bros. and Governor-General of India-in-Council through the Director-General of Industries and Supplies. Each of these contracts contains an arbitration clause. The "material part of the arbitration clause is as follows:

(3.) BY the contract dated 2-4-1943, the contractors agreed to supply to the Government 43,000 laddies cook. This contract was cancelled on 21-5-1945 and a claim by the Government for price of raw materials supplied remained outstanding. On the 6-9-1948 the parties entered into a settlement contract which is as follows: