SURI CONSTRUCTION Vs. STATE OF RAJASTHAN

JUDGEMENT

(1.) This is a Division Bench Civil Writ Petition against the order dated 6-4-2005 passed in S.B. Arbitration Application No. 34/2004, by the learned single Judge while exercising the administrative delegated power of the Hon'ble Chief Justice whereby the matter has been referred to the standing committee for arbitration, despite the forfeiture of right of reference of dispute for arbitration to said Standing Committee, was upheld by her.

(2.) The short but important question of law involved in the matter is

(3.) Briefly stated the relevant facts of the case are that a dispute arose between the appellant-petitioner -contractor (hereinafter referred to as 'the Contractor' and the department whether the amount of sales- tax in regard to the goods supplied and manufactured is payable by the contractor or by the respondent-State ? When the Government failed to refer the dispute within 30 days despite the service of the notice and payment, of fee as required by the arbitration agreement, the appellant petitioner came out with a case that the respondents have forfeited their right to adjudicate upon the dispute, through the Standing Committee, therefore the sole arbitrator may be appointed by the Court.