Judgment

KAILASAM, J.:- Civil Appeal No. 2070 of 1968 is by special leave by the appellants against judgment of the Punjab and Haryana High Court dismissing the appellants petition for revising an order passed by the Subordinate Judge, Ambala City, allowing an application by the State, respondent, and appointing the Arbitration Committee. The appellants entered into an agreement with the Public Works Department, Punjab State, for execution of certain construction works in August, 1952. They entered into an agreement, Ex. A-1. The agreement provided an arbitration clause in the following terms:-

In the matter of dispute, the case shall be referred to the Settlement Committee consisting of a Superintending Engineer, an officer of the Finance Department of the rank of at least Deputy Secretary and an Accounts Officer, all to be nominated the Government for arbitration whose decision will be final.

Disputes arose between the parties and the State of Punjab appointed a Settlement Committee by notification dated 31st January, 1958. The Settlement Committee entered upon the arbitration but before the Arbitration Committee concluded its work the State Government unilaterally abolished the Com