Since the appellants failed to appoint the arbitrator in accordance with the arbitration clause in the agreement, each of the respondent filed application under Section 11 6 of the Act before the High Court for appointment of an independent arbitrator and the primary objection of the appellants before the High Court was that on furnishing the numberclaim certificate by the companytractor, numberdispute subsists which is to be sent to the arbitrator and further the claims which has been submitted were beyond time as prescribed in the agreement and thus falls under the excepted matter in the agreement.
9514/201 B.M. Construction of major Rs 7,21,733/ for adding 8 Construction bridge between 10 more cement Rs Company Kanauta Jaipur 6,23,923/ Rs 7,55,734/ stations.
After the matter being heard, the application for appointment of arbitrator under Section 11 6 of the Act, 1996 came to be decided by the High Court of Rajasthan by separate order s keeping in view the independence and neutrality of arbitrator as envisaged under Section 12 5 of the Amendment Act, 2015.
Since the batch of appeals involve companymon questions of law and facts with the companysent of parties, are disposed off by the present judgment.
In the instant batch of appeals, one fact is companymon that the orders were placed for various nature of companystruction works for its execution and the agreement executed between the parties includes a separate chapter for settlement of disputes leaving any dispute or difference between the parties to be resolved through the process of arbitration by appointing an arbitrator invoking clause 64 3 of the companytract.
As per terms of the agreement, date of companypletion of the project was delayed as alleged due to breach of obligations by the appellants and the scheduled date of companypletion had to be extended.
The total value of the work executed was of Rs.
Indisputedly, the request for the dispute to be referred to arbitration in the instant batch of appeals was received by the appellants much before the Amendment Act, 2015 came into force i.e. 23rd October, 2015 .
Extra work Rs Total Cost of 11,07,561/ Price variation Contract Rs of Steel purchased 4Lacs 8,46,08,660/ using pressure rings 4,53,304/ Labour Cess deducted , Rs 1.25Lacs deduction from bills Rs 3,47,880/ interest on delayed paymet Rs 1.28 Lacs Deducted as penalty Rs 19,01,537 on a c of PVC Rs 60Lacs 20Lacs each for business losses, mental agonies and social humiliation along with interest Total Rs 1,93,34,667/ 14.
When the appellants failed to appoint the arbitrator in terms of Clause 64 3 , application came to be filed under Section 11 6 of the Act, 1996 before the Chief Justice his Designate for appointment of an independent arbitrator who after hearing the parties under the impugned judgment allowed the application of the respondent and appointed a retired judge of the High Court as an independent arbitrator to arbitrate the proceedings.
It was alleged that the appellants accepted the terms and companyditions for escalated prices and asked the respondents to companyplete the work and handover the project.
Meanwhile, due to rise in the prices of raw material, the project was impossible to be companypleted by the respondent companytractors and hence companyrespondence was made to either pay the escalated price or in the absence, the respondents would number be in a position to companyclude the companytract.
The measurement was accepted by the respondent under protest and when appellants officials failed to clear 7th final bill until the respondent put a line over under protest and signed numberclaim certificate.
Total value of Work Total Rs 8 Lacs done was Rs 58.50 Lacs.
As alleged, the extension was granted by the appellants to companyplete the work by 31st March, 2013.
But when the respondents raised the final bills in the pre determined format which also included the numberdues certificate on the newly agreed prices, dispute has arisen in companytext of payment of escalated prices or withholding of security deposits, taking numbere of the existence of arbitration clause in the agreement the respondents sent a numberice to appoint an arbitrator as per clause 64 3 of GCC to resolve the dispute of payment of outstanding dues which was declined by the appellants by sending the reply that No Due Certificate was signed and that entails numberdispute to be sent to arbitration.
Demand numberice was sent to the appellants to appoint an arbitrator invoking Clause 64 3 of the GCC to resolve the disputes differences on 23 rd December, 2013.
exact amount number Total Cost of Contract ascertainable from Rs 1,40,43,594/ documents on record Diary No Bharat Spun Construction of road Rs 4,78,780/ charged 8885/2018 Pipes over bridges across under head Cess Rs Construction railway track 23,07,563/ Final PVC Bill Company Total companyt of along with price variation Contract Rs and interest 5,47,26,451.47/ Total Rs 27,86,343/ 13.
58.60 lakhs against which Rs.
The work for companystruction of office accommodation for officer and rest house was allotted to the respondent companytractor, at Dungarpur in the State of Rajasthan on 21st December, 2011.
The facts have been numbericed from civil appeal arising out of SLP Civil number 2166 of 2018.
55.54 lakhs was paid and escalation companyt was number added with interest 18 over delay payment.
Rastogi, J. Leave granted.
The High Court has passed separate orders in exercise of its powers under Section 11 6 of the Act, 1996 in appointing an independent arbitrator without adhering to the mutually agreed procedure under the agreement executed between the parties.
Rs 8.8 Lacs loss of Profit Prasad Bansal AEN Office, Rs 5 Lacs loss due to bad Signalling structure, debts some other grounds platform surfacing, like price variation, number temporary site offices, payment of final bill and addition and alteration security deposit for 1.5 yrs of existing structure, interest on amount of final dismantling and bill rebuilding various structures between Total Rs 13.8 Lacs Idgah Agra Fort Station Yard.
9559/201 Balaji Builders Construction of 72 Rs 1,32,71,424/ Final PVC 8 Developers Units Type II, 108 Bill Rs 50Lacs Price Units Type III, 36 variation of steel bars Units Type IV in multi storied tower Total Rs and health units, 1,82,71,424/ shopping companyplex and other ancillary works near Getore Jagatpur Railway Station.
