National Highways Authority of India vs KMC Construction Ltd.

Judicial Analysis Court Copy Headnote Facts Arguments Court observation

DELHI HIGH COURT
VIBHU BAKHRU
National Highways Authority of India – Appellant
Versus
KMC Construction Ltd. – Respondent

Table of Content
1. overview of arbitral tribunal's award. (Para 4 , 5)
2. parties' arguments against the arbitral award. (Para 7 , 8 , 9 , 10 , 11 , 12 , 13)
3. evaluation of claim no. 1 and engineer's role. (Para 14 , 15 , 16 , 17 , 18 , 19)
4. interpretation of clause 52.3 and entitlement for additional overheads. (Para 23 , 24 , 25 , 26 , 27)
5. assessment of kmc's claim regarding idling charges. (Para 31 , 32 , 34 , 35 , 36 , 39)
6. conclusion regarding the reasonableness of interest rates. (Para 44)

JUDGMENT

Vibhu Bakhru, J.

1. The petitioner (hereafter `NHAI') has filed the present petition under Section 34 of the Arbitration and Conciliation Act, 1996 (hereafter `the A&C Act') impugning an Arbitral Award dated 24.09.2019 (hereafter `the impugned award') rendered by an Arbitral Tribunal constituted by three members (hereafter `the Arbitral Tribunal').

2. NHAI challenges the impugned award to the limited extent that it allows KMC's claims for certain extra items (E-2, E-4, E-12, E-16, R2-05, CD-02 & 03) forming part of Claim No. 1 and to the extent that it allows KMC's Claim Nos. 12, 14 and 22.

3. Briefly stated the facts that are necessary to address the controversy are state

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DELHI HIGH COURTVIBHU BAKHRUNational Highways Authority of India – AppellantVersusKMC Construction Ltd. – Respondent

DELHI HIGH COURT
VIBHU BAKHRU
National Highways Authority of India – Appellant
Versus
KMC Construction Ltd. – Respondent