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VIBHU BAKHRU, SACHIN DATTA
Municipal Corporation Of Delhi – Appellant
Versus
Sh. Satya Pal Gupta – Respondent
JUDGMENT :
VIBHU BAKHRU, J.
1. The Municipal Corporation of Delhi (hereafter the MCD) has filed the present appeal under Section 37(1)(c) of the Arbitration & Conciliation Act, 1996 (hereafter the A&C Act) impugning an order dated 19.04.2023 (hereafter the impugned order) passed by the learned Commercial Court in OMP(COMM) No.17/2019 filed by the North Delhi Municipal Corporation (since merged with MCD) under Section 34 of the A&C Act assailing the arbitral award dated 15.05.2019 (hereafter the impugned award) passed by an Arbitral Tribunal comprising of a Sole Arbitrator (hereafter the Arbitral Tribunal).
2. The impugned award was rendered in the context of the disputes that have arisen between the parties in connection with the work of “construction of a poly clinic in Bawana (Narela Zone Delhi)”, which was constructed by the respondent (hereafter the Contractor) at an aggregate value of Rs.1,41,42,502/- in terms of the Work Order No. E.E.(PR)/TC/05-06/32 dated 10.06.2005 (hereafter the Agreement). In terms of the Agreement, the work was to commence on or before 19.06.2005 and to be completed within a period of eighteen months, that is, on or before 18.12.2006. The execution of the
The court upheld the arbitral tribunal's findings on delays caused by the Municipal Corporation but set aside the award for loss of profit due to insufficient evidence.
The specified authority's decision on quantification of compensation for delay is final, but the responsibility for the delay is subject to arbitration. The court also emphasized the importance of ev....
In terms of Section 21 of the A&C Act, the arbitral proceedings commence on the date of receipt of notice invoking the arbitration agreement.
The Court upheld the AT's findings regarding the attribution of delay, enforcement of NOC, and the allowance of the claim for escalation cost without a specific clause in the Contract, based on the n....
Point of law: In terms of Section 21 of the A&C Act, the arbitral proceedings commence on the date of receipt of notice invoking the arbitration agreement.
The arbitral tribunal's decision to deny claims for damages due to lack of supporting evidence is valid under Section 34 of the Arbitration and Conciliation Act, emphasizing minimal judicial interfer....
The main legal point established in the judgment is the limited grounds for challenging arbitral awards under Section 34 of the A&C Act, emphasizing the principles of public policy and fundamental In....
The court emphasized the requirement for the arbitrator to assign reasons in support of the award and the limited scope of interference by the court in arbitration awards.
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