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DELHI HIGH COURT
VIBHU BAKHRU
Gail (India) Limited – Appellant
Versus
Bansal Infratech Synergies Limited – Respondent
| Table of Content |
|---|
| 1. introduction of contract disputes and arbitration initiation (Para 1 , 2 , 3 , 4) |
| 2. claims raised by the respondent (Para 5) |
| 3. gail's contestation of respondent's claims (Para 7 , 8) |
| 4. analysis of ncc and mrs validity (Para 9 , 10 , 11 , 12 , 13 , 14) |
| 5. examination of risk and cost claims (Para 15 , 16 , 17 , 18) |
| 6. interest on delayed payments (Para 19 , 20) |
| 7. assessment of coercion claims (Para 21 , 22 , 23) |
| 8. findings on coercion in ncc and payment (Para 24 , 25 , 26 , 27 , 28) |
| 9. context of similar disputes (Para 29 , 30) |
| 10. final dismissal of petition (Para 31) |
JUDGMENT
Vibhu Bakhru, J. GAIL (India) Limited (hereinafter `GAIL') has filed the present petition impugning an arbitral award dated 10.12.2020 (hereinafter `the impugned award') rendered by an Arbitral Tribunal constituted by Justice (Retd.) Badar Durrez Ahmed as the Sole Arbitrator. The said award was rendered in respect of disputes that had arisen between the parties in connection with the contract for `Civil and Structural and U/G Piping Works for LLDPE/HDPE' at GAIL's Petrochemical Complex-II at Pata, Uttar Pradesh (hereinafter `the Project').
2. GAIL had appointed Engineers India Limited (EIL) as
The No Claim Certificate was invalid due to coercion, allowing the party to assert claims under the contract notwithstanding the issuance of such certificate.
The Arbitral Tribunal's decision to award refunds related to price reductions and bank charges was upheld, demonstrating the limited grounds for court interference under the Arbitration and Conciliat....
The termination of a contract can be deemed wrongful if it is primarily due to the actions of the party seeking termination and if the party fails to provide essential documentation or withholds paym....
The court reaffirmed the need for parties to substantiate claims with primary evidence in arbitration proceedings while respecting the arbitrator's discretion unless a clear patent illegality is prov....
The main legal point established in the judgment is that the decision of the arbitral Tribunal is entitled to substantial discretion in awarding interest, and the court does not sit as the first appe....
The Arbitral Tribunal has considerable discretion in evaluating evidence and interpreting contract clauses, and its decision cannot be interfered with unless found to be patently illegal or in confli....
The Arbitral Tribunal's decision falls within its jurisdiction and does not amount to patent illegality, as it was based on a plausible interpretation of the exclusionary clause in the contracts and ....
The main legal point established is that the issuance of a No Claim Certificate (NCC) under economic duress can invalidate its validity and preclude the claimant from raising any claim in connection ....
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.
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.
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