High Court Of Delhi
BADAR DURREZ AHMED
IRCON INTERNATIONAL LTD - Appellant
Versus
BUDHRAJA MINING AND CONSTRUCTIONS LTD - Respondents
OMP 432 Of 2003
Decided On : 09/24/2007
Arbitration and Conciliation Act - Applications under Section 33 - Summary of Acts and Sections: Section 33 of the Arbitration and Conciliation Act, 1996 - The judgment discusses the interpretation and application of Section 33 of the Arbitration and Conciliation Act, 1996, specifically focusing on the time limits for filing applications for correction of computational or typographical errors in arbitral awards and the condonation of delay. The court analyzed the provisions of Section 33 and their strict time-bound nature, as well as the applicability of Section 5 of the Limitation Act, 1963. The judgment also referenced relevant Supreme Court decisions to support its interpretation of the legislative intent behind the time limits and the exclusion of the operation of Section 5 of the Limitation Act.
Fact of the Case:
The petitions were filed under Section 34 of the Arbitration and Conciliation Act, 1996 against orders seeking correction of computational/typographical errors in two separate Awards. The main issue was whether the applications under Section 33 of the Act were filed within the prescribed 30-day period and if the delay could be condoned.
Finding of the Court:
The court found that the applications under Section 33 were not filed within the 30-day period and that the delay could not be condoned under Section 5 of the Limitation Act, 1963. Consequently, the impugned orders were set aside, allowing parties to challenge the Awards if permitted by law.
Issues: The main issues were whether the applications under Section 33 of the Act were filed within the prescribed 30-day period and if the delay in filing could be condoned.
Ratio Decidendi: The court held that the applications were not filed within the prescribed 30-day period and that the delay could not be condoned under Section 5 of the Limitation Act, 1963.
Final Decision: The impugned orders were set aside, allowing parties to challenge the Awards if permitted by law.
( 1 ) THESE petitions have been filed under Section 34 of the Arbitration and Conciliation Act, 1996 (hereinafter referred to as the "said Act") against two separate orders both dated 11. 08. 2003 in respect of two separate Awards dated 23. 05. 2002 passed by the sole arbitrator. By virtue of the said orders dated 11. 08. 2003 certain computational / typographical errors have been sought to be corrected in the respective Awards dated 23. 05. 2002. The issues raised in both these petitions are identical and, therefore, the same are being disposed of by this common judgment. The facts are also somewhat identical.
( 2 ) THE learned arbitrator had made Awards dated 23. 05. 2002 in both the cases. According to the respondent there were computational / typographical errors in the said Awards. Therefore, the respondent allegedly filed applications on 18. 06. 2002 seeking the correction of the said errors made in the said Awards. These applications for corrections were made under Section 33 of the said Act and it is alleged by the respondent that the same were sent to the learned arbitrator under certificate of posting on 18. 06. 2002. Under the awards dated 23. 05. 2002, the petitioner had been given two months time for making payments. On 23. 07. 2002, the respondent acknowledged that payments had been made in terms of the said Awards. However, on 22. 07. 2002, the respondent had sent another letter which was also purportedly sent under certificate of posting to the learned arbitrator seeking a decision on its earlier applications of 18. 06. 2002. The petitioner received notices from the learned arbitrator on 30. 07. 2002 in respect of the said applications filed on behalf of the respondent under Section 33 of the said Act. On 20. 08. 2002 the petitioner filed its replies and took the objection with regard to limitation. Thereafter, the respondent also filed applications under Section 5 of the Limitation Act, 1963 for condoning the delay in filing the applications under Section 33 for correction of the computational / typographical errors. The learned arbitrator after hearing arguments passed the impugned orders dated 11. 08. 2003. In the said orders dated 11. 08. 2003 he observed that when the purported applications dated 18. 06. 2002 were sent by the respondent, the learned arbitrator was not available in Delhi during that time. It was also observed that his office had also not received the applications dated 18. 06. 2002. Though, the reminder dated 22. 07. 2002 was received by the learned arbitrator. The arbitrator concluded that the respondent did send the applications under Section 33 of the said Act on 18. 06. 2002 though the same were not received by him or by his office. Furthermore, the learned arbitrator invoked the provisions of Section 5 of the limitation Act and condoned the delay in filing the said applications under section 33 of the said Act.
( 3 ) ON these set of facts the questions that arise for consideration are:-
(i) Were the applications under Section 33 of the said Act filed within the period of 30 days stipulated in Section 33 (1) of the said Act" (ii) If not, could the delay be condoned by invoking the provisions of section 5 of the Limitation Act, 1963"
The learned counsel for the parties advanced their arguments on these issues. According to the learned counsel for the petitioner, the purported application dated 18. 06. 2002 was admittedly not received by the learned arbitrator. That being the case, there was no delivery of the application and therefore, mere posting of the application was not sufficient. This, he submitted, was on the assumption that the respondent did post the applications on 18. 06. 2002. He submitted that the applications ought to have been delivered to and received by the learned arbitrator within the period of 30 days and mere posting would not be sufficient. The learned counsel for the petitioner further submitted that since this did not happen and the app
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.