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IN THE HIGH COURT OF DELHI
Suresh Kumar Kait, J.
Patel Engineering Limited - Appellant
Versus
Himachal Pradesh Power Corporation Limited - Respondent
O.M.P.(MISC.)(COMM.) 137 of 2021
Decided On : 10-09-2021




The court upheld the extension of the arbitral tribunal's mandate to allow for proper resolution of disputes, supporting procedural fairness in arbitration.

Headnote:(A) Arbitration and Conciliation Act, 1996 - Section 29A(4) - Extension of mandate of the arbitral tribunal - Petition filed seeking extension for preparing and announcing the arbitral award due to volume of records; respondent consented to extension. (Paras 3-8)

(B) Contract - Parties entered a contract regarding construction project; disputes led to formation of arbitral tribunal to resolve issues. (Paras 4-5)

Facts of the case:
The appellant, a civil engineering company, had a contract with the respondent for a hydropower project and sought an extension for the tribunal to deliver the award after the original timeline had lapsed.

Findings of Court:
The court extended the mandate of the arbitral tribunal until 30.09.2021 to prepare and announce the award.

Issues: The issue was whether the court should extend the time for the arbitral tribunal to announce its award.

Ratio Decidendi: The court reasoned that as arguments were concluded and both parties consented, extending the mandate was appropriate for proper resolution of the dispute.

Result: Petition allowed.

Table of Content
1. disposal of petition and application. (Para 2 , 9)
2. extension of arbitral tribunal mandate. (Para 3 , 4)
3. arguments concerning award timeline extension. (Para 5 , 7)
4. court's decision on extension granted. (Para 8)

JUDGMENT (Oral)

IA No. 11544/2021 (u/S 151 CPC)

1. Exemption is allowed subject to all just exceptions.

2. Application is disposed of.

O.M.P.(MISC.)(COMM.) 137/2021

3. The present petition filed under Section 29 A(4) of the Arbitration and Conciliation Act, 1996 has been filed seeking extension of mandate of the arbitral tribunal adjudicating the disputes between the parties.

4. Pertinently, petitioner, a leading Civil Engineering and Construction company and respondent-a public limited company had entered into a Contract dated 09.09.2009 with regard to a project for construction of diversion barrage, power intake, desanding arrangements and gates & hoisting arrangements complete in all respects for Sawra Kuddu Hydroelectric Project (111 MW) located in District Shimla, Himachal Pradesh. During execution of project certain disputes arose between the parties, for resolution of which an arbitral tribunal was constituted on 25.03.2019.

5. According to petitioner, the period of arbitral tribunal was thereafter extended for 18 months and the said period expired on 24.09.2020. Further submitted that arguments were concluded and Award was reserved on 22.04.2021, however, since the record is voluminous, therefore, further extension is sought for the Arbitral tribunal to prepare and announce the award.

6. Notice issued.

7. Mr. Anand Prakash, learned Standing Counsel appearing on behalf of respondent, accepts notice and submits that there is no objection if the time for making the award is extended.

8. Considering that the proceedings and arguments before the Arbitral tribunal have already concluded, I hereby extend the mandate and time of the Arbitral Tribunal upto 30.09.2021 for preparing and pronouncing the Award.

9. With aforesaid, the present petition and pending application are accordingly disposed of.

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