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1995 Supreme(SC) 1128

G.B.PATTANAIK, S.C.AGRAWAL
State Of U. P. – Appellant
Versus
Ram Nath International Construction Private LTD. – Respondent


Advocates:
D.V.Sehgal, G.L.SANGHI, M.K.ROY, NALIN TRIPATHI, PRAMOD AGARWAL, R.B.MISHRA, SATISH AGGARWAL

Judgment

G.B.PATTANAIK, J.

(1) THIS appeal is directed against the judgment of the Allahabad High court dated 16/12/1993 in First Appeal from Order No. 930 of 1991, arising out of an arbitration proceeding.

(2) THE respondent-contractor had entered into an agreement with the appellant for construction of non-overflow and overflow S. with bridge spillway and other appurtenant works of Maudaha Dam in Hamirpur District in the State of Uttar Pradesh. The agreement was entered into on 26/8/1985 and work commenced from 1/9/1985. The period stipulated for completion of the work was 42 months. In the year 1987 in respect of two items of work namely Items 13 and 15, it is alleged that the appellant changed the designs and drawings as a result of which the quantity of work became abnormally high compared to the estimated quantity of work in the agreement. On account of such abnormal increase of the quantity of work the contractor claimed higher rate than what was agreed to in the agreement. The State having refused to accede to the contractors demand and disputes having arisen between the parties, the arbitration clause of the agreement was invoked and dispute wa








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