LEELA SETH, AVADH BEHARI ROHATGI
DELHI DEVELOPMENT AUTHORITY – Appellant
Versus
UPPAL ENGINEERING CONSTRUCTION COMPANY PRIVATE LIMITED – Respondent
( 1 ) THE short point in issue in this appeal is the seope of seruitiny of a speaking award. Does the fact that the arbitrator has given a speaking award enlarge the function of the court and permit it to examine the reasons, as a court of appeal, reviewing their "reasonableness"? In a detailed judgment delivered by us on 24th February, 1982 in Delhi Development Authority v. M/s. at Karma F. A. O. (O. S.) 142 of 1979 (1), we have held not.
( 2 ) SECTION 30 of the Arbitration Act, 1940 prescribes the grounds on which an award can be set aside. The fact that an award is a reasoned award does not extend or change the Arbitration Act or law. If the error is apparent on the face of the award, it can be set aside. Naturally in a speaking award the reasons are apparent on the face of it. Therefore, if these reasons are based on any legal preposition which is erroneous, the award can be set aside.
( 3 ) THE respondent M/s. Uppal Engineering Construction Co. (in short "the contractor") entered into a contract with the appellant, Delhi Development Authority (in short, "dda" ). The contract was for building blocks of lower income group and middle income group flats in Wazir Pur
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