JUDGEMENT

R.M. Lodha, J.—

1. These two appeals by special leave arise from the Judgment and Order dated June 3, 2005 passed by the High Court of Kerala and hence were heard together and are being disposed of by this common judgment.

2. The State of Kerala represented by the Chief Engineer, National Highway, Public Works Department awarded a contract to M/s. Som Datt Builders Limited (for short, ‘contractor’) relating to road work of National Highway-47. The works were : (i) four laning and strengthening of Alwaye-Vyttila; (ii) four laning and strengthening of Vyttila-Aroor and (iii) four laning of Aroor-Cherthala stretches. The terms and conditions mentioned in the special and general conditions of the contract (Sections IV & III respectively) were integral part of the conditions specified in the contract. Under the contract, the contractor was to complete the works within forty-two months. That the work could not be completed within the agreed period is not in dispute. It is also an admitted position that the time for completion of work was extended on two occasions; in all by 25 months. The case of the contractor is that the extension of time was not for any fault of theirs and a