IMPORTANT POINT
Limitation Act shall apply to arbitrations as it applies to proceedings in Court.

JUDGMENT :

Abhay S. Oka, J.

FACTUAL ASPECTS

1. The first appellant – the State of West Bengal appointed the respondent as a contractor for the construction of a bridge. As there was a dispute between the parties, the respondent invoked the arbitration clause in the contract, and a sole arbitrator was appointed. On 30th June 2022, the Arbitral Tribunal passed an award directing the appellants to pay a sum of Rs.2,11,67,054.00 (Two Crores Eleven Lakhs Sixty Seven Thousand Fifty Four Rupees Only) to the respondent with interest thereon, as directed. The counter-claim made by the appellants was dismissed. The appellants received a copy of the award on the same day. The High Court of Judicature at Calcutta was closed for pooja vacation from 1st October 2022 to 30th October 2022 (both days inclusive). On 31st October 2022, the appellants filed a petition under Section 34 of the Arbitration and Conciliation Act, 1996 (for short, ‘the Arbitration Act’) to challenge the award. By the impugned order dated 4th May 2023, the High Court dismissed the petition under Section 34 of the Arbitration Act filed by the appellants on the ground of bar of limitation. The High Court held that the period of limitation for filing a petition under Section 34 expired on 30th September 2022. Therefore, the appellants are not entitled to the benefit of Section 4 of the Limitation Act of 1963 (for short, ‘the Limitation Act’).

2. Being aggrieved by the view taken by the High Court, the appellants are in this appeal. We may note here that under the impugned judgment, the High Court granted a certificate to prefer an appeal before this Court by exercising powers under Article 133 (1) and Article 134(A)(a) of the Constitution of India.

SUBMISSIONS

3. The learned counsel appearing for the appellants submitted that as the period of limitation for filing a petition under Section 34 of the Arbitration Act ought to have been calculated from 1st July 2022, the prescribed period of limitation ended on 1st October 2022, which was the first day of pooja vacation. Therefore, the petition under Section 34 of the Arbitration Act filed immediately after the reopening of the Court on 31st October 2022 must be held to be within limitation. The learned counsel relied upon Section 9 of the General Clauses Act, 1897 (for short, ‘the General Clauses Act’). The learned counsel also submitted that the petition could not be e-filed in pooja vacation as the relevant e-filing notification provided for e-filing of only urgent matters during the vacations. The learned counsel relied upon a decision of this Court in the case of State of Himachal Pradesh and Another v. Himachal Techno Engineers and Another, (2010) 12 SCC 210.

4. The learned counsel appearing for the respondent supported the findings recorded by the High Court. He submitted that in any event, the benefit of Section 4 of the Limitation Act is available only if the proceedings are filed within the prescribed period of limitation, which will be three months in this case in terms of Section 34(3) of the Arbitration Act. The learned counsel relied upon a decision made by this court in the case of Assam Urban Water Supply & Sewerage Board v. Subash Projects & Mktg. Ltd., (2012) 2 SCC 624. He also invited our attention to a decision of this Court in the case of Union of India v. Popular Construction Company, (2001) 8 SCC 470. He submitted that, as held by this Court in the said decision, the applicability of Section 5 of the Limitation Act is excluded in view of the language used in the proviso to sub-section (3) of Section 34.

OUR VIEW

5. The facts are undisputed. The award made by the Arbitral Tribunal on 30th June 2022 was served upon the appellant on the same day. Between 1st October 2022 and 30th October 2022 (both days inclusive), the High Court was closed for pooja vacation. The petition under Section 34 of the Arbitration Act was filed on 31st October 2022.

6. The period of limitation for filing a petition under Section 34 of the