SURAJ MAL RAM LAL Vs. UNION OF INDIA

JUDGEMENT

(1.) A "No claim declaration made by appellant contractor has proved his undoing. His application seeking reference of a dispute to Arbitrator under section 20 of the Arbitration Act has been rejected by the learned District Judge, Udhampur on this ground He is in appeal against this.

(2.) APPELLANT was allotted contract of construction of a road and some culverts at Udhampur. He completed the work on March 20 1975 and signed the Final bill. In page No. VIII of the bill he declared as under: - Received Rs. 75 971 -71 (Rs. seventy five thousand, nine hundred, seventy one paise seventy one). This payment is in full and final settlement of all moneys due and I have no further claim in respect of the contract."

(3.) AFTER making this declaration he addressed a communication to the concerned Garrison Engineer complaining that an amount of Rs. 10,642 -76 has been wrongly deducted in the bill. He thereafter approached the Chief Engineer and sought appointment of Arbitrator, but he was told that his request could not be granted in the face of his no further claim certificate. Exhausting all other evenues he approached the court below seeking reference of the dispute to Arbitrator. His last ditch effort failed. What is the effect of his "No claim Declaration"? Does it close all doors for him? That is the interesting question falls for declaration.