A settlement contract can abrogate an original contract and its arbitration clause, and an arbitrator has no jurisdiction to entertain claims with regard to a contract where the arbitration clause has ceased to exist.

( 1 ) THIS is an application asking for an order setting aside an award for a declaration that the arbitration agreements under which the award was made have ceased to exist and for an adjudication that the award is a nullity and is void and without any effect.

( 2 ) THERE were three contracts between the contractor firm Kishorilal Gupta and Bros. and Governor-General of India-in-Council through the Director-General of Industries and Supplies. Each of these contracts contains an arbitration clause. The "material part of the arbitration clause is as follows:"in the event of any question or dispute arising under these conditions or any special conditions of contract or in connection with this contract (except as to any matters the decision of which is specially provided for by these conditions the same shall be referred to the award of an arbitrator to be nominated by the purchaser and an arbitrator to be nominated by the contractor. . . . . . . . . . "

( 3 ) UNDER each of these contracts the Governor-General in Council now represented by the respondent supplied raw materials and the contractor made part supplies. All these three contracts were later cancelled.

( 4 ) BY the contract dated 2-4-1943, the contractors agreed to supply to the Government 43,000 laddies cook. This contract was cancelled on 21-5-1945 and a claim by the Government for price of raw materials supplied remained outstanding. On the 6-9-1948 the parties entered into a settlement contract which is as follows:" (1) The contractor expressly agrees to pay the Government the sum of Rs. 3,164-8-0 only on this contract. (2) The contract on payment of the amount mentioned in Clause (i) shall stand finally determined. "

( 5 ) BY the contract dated 15-9-1944 the contractors agreed to supply to the Government 15,500 bath Ovals. This contract was cancelled on 21-5-1945 and there remained outstanding claims by the contractors for compensation and claims by the Government for price of raw materials supplied. On 6-9-1948 the parties entered into a settlement contract which is as follows:" (1) The contractor expressly agrees to pay to the Government the sum of Rs. 36,276. If D. G. I. and S. has recovered any amount under the contract out of the sum due credit will be given to the contractor.

(2) The contract stands finally determined and no party will have any further claim against the other. "

( 6 ) BY the contract dated 22-9-1944 the contractors agreed to supply to the Government 100,000 Kettles Camp. This contract was cancelled on 9-3-1946 and claims by the Government for raw materials supplied under this contract and by the contractor for compensation for breach of contract remained outstanding. On 22-2-1949 the parties entered into a settlement contract which is as follows:"the firm will pay a sum of Rs. 45,000/- in full and final settlement of the amount due to the Government in respect of raw materials received against the contract and their claims for compensation for cancellation for the same contract. 2. The firm will retain all surplus partly fabricated and fully fabricated stores lying with them. 3. The firm agree to pay the above mentioned sum of Rs. 45. 000/- only together with the sums owing by them to the Government under the settlements reached in two other cases A/t Nos. MP/75762/r-61/78 dt. 15-9-44 and MP 50730 8/r-1/90 dated 2-4-43, in monthly instalments for Rs. 5,000/- only for the first three months, first instalment being payable on 10-3-1949 and further instalment of Rs. 9000/- per month till the entire dues payable to Government are paid. 4. In the event of default of any monthly instalments interest will be charged by Government on the amount as defaulted at the rate of 6 per cent. per annum from the first day of the month in which the instalment shall be due. If the instalments defaulted exceed two in number the Government will have the right to demand the entire balance of the money payable by the firm together with interest there