R.S.ENTERPRISES Vs. UNION OF INDIA

JUDGEMENT

(1.) IN respect of Work Contract No. ACE/Survey/1172 dated 16.8.1985 the contractor raised certain disputes which was adjudicated by Board of Arbitrators and ultimately Umpire gave an award dated 28.12.1990 that the quantities executed by the contractor were recorded in the Measurement Book. Final bills were prepared based on documents and payment was made to the contractor accordingly. So contractors claim on account of actual work done was not acceptable. Contractors claim of loss due to maintenance of establishment for twenty one months was also not tenable in view of Clause 17(iii) of general conditions of contract which was applicable in the contract in question. In the event of any failure or delay by railways to hand over possession of land for execution of work, the contractor was not entitled to damage or compensation if the railways granted such extension of completion date as was considered reasonable.

(2.) IN the present case, railways had given reasonable extension of date for completion of work as per instruction to tenderers contained in paragraph 14 attached with final contract agreement. Railway Administration shall not be responsible for any loss or damage to the contractors materials, equipments, tools and plants due to fire, floods or any other causes whatsoever. So the contractors claim on account of goods taken away by trouble makers as well as on account of Shuttering Boards were not tenable. Claim of loss due to advance purchase of material and advance payment to labourers were not covered by general conditions of contract or the contract agreement and hence contractors claim in this regard was rejected.

(3.) CONTRACTOR filed objection under Sections 30 and 33 of the Arbitration Act, 1940 to the aforesaid award which was registered as Misc. Case No. 9 of 1993 at Tenughat. By order dated 12.12.1996 the objection was rejected and award was made Rule of Court. Contractors review petition vide Misc. (Review) Case No. 1 of 1997 under Order XLVII. Rule 1 of Code of Civil Procedure was also dismissed. Contractor thereafter filed an appeal No. 25 of 2001 purporting to be under Section 39 of the said Act, which was converted into C.R. No. 214 of 2001 and on 2.8.2001 it was dismissed on merit. Thereby order dated 12.12.1996 making the award in question rule of Court was approved by this Court.