The main legal point established in the judgment is that failure to follow the prescribed procedure and a claim being hopelessly barred by time can lead to the dismissal of a petition seeking the constitution of an Arbitral Tribunal.

ORDER

1. This petition under Section 11 of the Arbitration and Conciliation Act, 1996 [The Act] seeks the intervention of the Court for constitution of an Arbitral Tribunal. The disputes emanate out of an agreement dated 18 October 2010 for the following work:

"Maintenance of Completed Scheme under NA-II in Rohini Zone for year 2010-11. Sub Head: Clearing and desilting of sewer lines in Rohini Zone from Sector 20 to 24 with Super Sucker Machine (Peripheral lines)".

2. According to the Petitioner, the work was successfully completed on 17 April 2012 and a communication to that effect also issued by the Executive Engineer on 03 August 2013. The Petitioner alleges that despite the above, the Respondent has failed to attend to the Final bill which had been submitted on 27 July 2013 and to release payments in respect thereof. It is the case of the Petitioner that after adjustment of payments received during the currency of the contract, the total amount which was claimed in terms of the Final Bill amounted to Rs.81,24,158/- which was never paid. The Petitioner further asserts that the Respondent had always assured that payments would be duly made and that the claims raised were being examined. However, and ultimately since no further payments were released, the Petitioner by way of a notice dated 19 June 2020 invoked arbitration in terms of Clause 25 of the agreement. The instant petition thereafter came to be filed on or about 05 February 2022.

3. On 25 April 2022 while granting time to the Respondent to file a reply, the Court had further observed and taken on board the statement made on behalf of the Respondent Authority that there are certain clarifications required and in case the authorized representative of the Petitioner were to approach the Chief Engineer, Rohini, disputes could be resolved to a large extent. According to the Petitioner pursuant to the said order the Chief Engineer had in fact fixed a date for a meeting on 05 May 2022. The Petitioner is stated to have appeared before the said authority on that date. However, it is its case that since the dispute could not be resolved, the petition would have to be taken to its logical conclusion.

4. It may be additionally noted that post the aforesaid meeting which was held between the representative of the Petitioner and the Respondent Authority on 20 July 2022, certain payments were released by the Respondents and which were claimed in respect of the 2nd RA Bill dated 27 January 2012 and the 4th RA Bill dated 14 May 2012.

5. The Respondents in the reply which has been tendered have asserted that the work of cleaning and desilting of sewer lines in Rohini Zone falling in Sectors 20 to 24 was awarded to the Petitioner on 27 October 2010. As per the contract, the date of completion of works was 05 November 2011. It is further averred that as per the Petitioner's own case the date of actual completion was 17 April 2012 and consequently and in terms of Clause 7 of the agreement, the Final Bill should have been submitted within one month from the said date. It is further contended that the Petitioner ultimately submitted its Final Bill on 27 July 2013. The Respondents also assert that undisputedly the notice invoking arbitration came to be issued after a passage of almost 7 years and thus the claim is clearly barred by limitation.

6. The Respondent then refers to Clause 25 of the agreement which reads as follows:

"Clause 25:

Except where otherwise provided in the contract all questions and disputes relating to the meaning of the specification, design, drawings and instructions herein before mentioned and as to the quality of workmanship or material used on the work or as to any other question, claim, right, matter or things whatsoever, in any way arising out of or these condition or otherwise concerning the works or the execution or failure to execute the same whether arising during the progress of the work or after the cancellation, termination, completion or abandonment t