K C MEHRA Vs. UNION OF INDIA

JUDGEMENT

(1.) THIS appeal, under Section 39(1) (vi) of the Indian Arbitration Act, arises under the following circumstances : The appellant, who is a P. W. D. contractor, had taken three contracts for work in Himachal Pradesh. They consisted of : (i) Construction of dry stone retaining and breast walls in mile 1-6 Nahan Kumarhatti Road (Agreement No. 8); (ii) Constructing metalling and surface painting mile 4/5 to 4/7 and 8/1 Doon Road (Agreement No. 9) and (iii) Rebuilding and retaining walls on Arki-Bilaspur Road (Works Order No. 690677). Subsequently, disputes arose between the parties as to the amounts payable to the appellant on account of these contracts. Under cl. 25 of the Conditions of Contract, the disputes were referred by the Chief Engineer. Central P.W.D., to the arbitration of Shri V. D. Bhandari, Superintending Engineer, Aviation Planning Circle, C.P.W.D., New Delhi. The arbitrator gave his awards on 18-8-1954 in respect of the three contracts. On 21-9-1954, the Government Advocate of Mahasu District Himachal Pradesh moved an application under Section 14(2) of the Arbitration Act in the Court of the Senior Subordinate Judge, Mahasu, praying that a decree be passed in terms of the awards. Objections were taken by the appellant to the awards in respect of Agreements Nos. 8 and 9. The objections were two-fold : In the first place, it was contended that the Senior Subordinate Judge, Mahasu, had no jurisdiction to deal with the awards relating to Agreements Nos. 8 and 9, which, in their turn, related to Sirmur district, i.e. beyond the jurisdiction of the Senior Subordinate Judge, Mahasu. In the second place, objections were levelled against those awards on their merits also. It may be noted here that the appellant was content with the award in respect of work Order No. 690677, which pertained to the work done on the Arki-Bilaspur Road, which is within, the jurisdiction of the Senior Subordinate Judge, "Mahasu. On the point of jurisdiction, the then Senior Subordinate Judge (Shri Chet Ram) held that he had jurisdiction to deal with the three contracts, because, in his opinion, there was only one reference and since a part of the subject-matter was situated within his jurisdiction, he could deal with all the three contacts. A revision petition against that order was filed in this Court (Civil Revision No. 6 of 1956). That was rejected by this Court on 30-7-1956, without going into its merits, leaving it open to the Contractor to come up in appeal under Section 39 of the Arbitration Act in due course. When the case went back, Shri T. C Rewal, who had succeeded Shri Chet Ram as Senior Subordinate Judge, Mahasu, went into the other objections and came to the conclusion that there was no force in them. Consequently, he allowed the application under Section 14(2) made by the Government Advocate, District Mahasu, Himachal Pradesh, and passed a decree in terms of the award. It is against this order, refusing to set aside the awards (in respect of Agreements Nos. 8 and 9) that this appeal has been filed.

(2.) DURING arguments in this Court, Mr. Mal-hotra for the appellant stated that as far as work Order No. 690677 (work on the Arki-Bilaspur Road) was concerned his client was satisfied with the award and would not seek to set it aside. Counsel's statement to that effect has been recorded on the Order-sheet on 511-1959.

(3.) ON behalf of the respondent, emphasis was laid on the fact that before the awards were ready, the appellant, Shri K. C. Mehra, had given his consent to the grant of extension of time by the Senior Subordinate Judge', Mahasu, to the Arbitrator to submit his awards. The Court below was, however, aware that the consent of the parties cannot confer jurisdiction on a Court, which lacks it. It has, in this connection, referred to John Vasica v. Janda Rubber Works Ltd., AIR 1950 E.P. 188 and (S) AIR 1955 Gal 161, Continental Drug Co. Ltd.. Bombay' v. Chemoids and Industries Ltd. Calcutta, The Senior Subordinate Judge, Mahasu, obviously, had no jurisdiction in Sirmur district.