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1995 Supreme(Del) 37

High Court Of Delhi
WALAITI RAM GUPTA - Appellant
Versus
UNION OF INDIA - Respondent
Suit 2222 of 1990
Decided On : 01/05/1995

Advocates Appeared:
GITANJALI MOHAN, Mala Goel

Headnote:Arbitration Act, 1940 - Section 33 — Objections to the non speaking Award on the ground that the arbitrator failed to give his findings — It does not amount to give reasons — Where the arbitrator chose to partly accept the claim and reject the other claims, he should have indicated his findings — Award remitted for reconsideration with direction not to raise objections even if the arbitrator has vacated the office.

       Words & Phrases - Findings — Meaning of — arbitration agreement stipulating the Arbitrator to give finding does not call upon him to give reasons for his award.

C. M. Nayar, J.

( 1 ) THE present petition has been filed under Sections 14 and 17 of the Indian Arbitration Act, 1940, for directing respondent no. 3 to file the award dated May 19, 1990, and the arbitration proceedings and to make the same Rule of the Court.

( 2 ) BRIEF facts of the case are that respondents 1 and 2 on behalf of the President of India had accepted the tender of the petitioner for the work of provision of hutted accommodation for officers and JCOs at Hissar. The tender was accepted vide letter dated July 28, 1982 for a total sum of Rs. 44,61,110. 88. The parties thereafter entered into a formal contract wherein the general terms and conditions of the notice of tender of Military Engineering Service were applicable and the said contract provided for reference of disputes to arbitration. Clause 70 may be reproduced as follows:

"70 Arbitration - All disputes, between the parties to the contract ( other than those for which the decision of the C. W. E. or any other person is by the Contract expressed to be final and binding) shall, after written notice by either party to the Contract to the other of them, be REFERRED TO to the sole arbitration of an Engineer Officer to be appointed by the authority mentioned in the tender documents. Unless both parties agree in writing such references shall not take place until after the completion or alleged completion of the Works or termination or determination of the Contract under Condition Nos. 55,56 and 57 hereof. Provided that in the event of abandonment of the Works or-cancellation of the Contract under Condition Nos. 52, 53 or 54 hereof, such reference shall not take place until alternative arrangements have been finalised by the Government to get the Works completed by or through any other Contractor or Contractors or Agency or Agencies. Pro vided always that commencement or continuance of any arbitration proceedings hereunder or otherwise shall not in any manner militate against the Government s right of recovery from the contractor as provided in Condition 67 hereof. If the Arbitrator so appointed resigns his appointment or vacates his office or is unable, or unwilling to act due to any reason whatsoever, the authority appointing him may appoint a new Arbitrator to act in his place. The Arbitrator shall be deemed to have entered on the reference on the date he issues notice to both the parties, asking them to submit to him their statement of the case and pleadings in defence. The arbitrator may proceed with arbitration ex parte, if either party, in spite of a notice from the arbitrator fails to take part in the proceedings. The Arbitrator may, from time to time with the consent of the parties, enlarge the time upto but not exceeding one year from the date of his entering on the reference, for making and publishing the award. The Arbitrator shall give his award within a period of six months from the date of his entering, on the reference or within the extended time as the case may be on all matters REFERRED TO to him and shall indicate his findings, along with sums awarded, separately on each individual item of dispute. The venue of Arbitration shall be such place or places as may be fixed by the Arbitrator in his sole discretion. The Award of the Arbitrator shall be final and binding on both , parties to the Contract. "

( 3 ) THE disputes arose between the parties and in pursuance to the arbitration clause, a request was made and respondent no. 3 was appointed as the sole arbitrator to adjudicate upon the disputes between the parties. The said arbitrator conducted the proceedings and pronounced and published the award dated May 19, 1990, of which a copy was sent to the petitioner. The arbitrator rendered his award and the same may be reproduced as follows:

"i DO HEREBY make and publish this my final Award, in writing of and concerning the matters REFERRED TO to me. I AWARD and DIRECT THAT: i (a) Reference Claims of M/s Walaiti Ram Gupta The Union of India represented b
















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