JUDGMENT :

C.S. Sudha, J.

Has the Arbitrator misconducted himself by travelling beyond his jurisdiction in awarding escalation costs and interest in the absence of an escalation clause in the agreements executed between the parties, is the question that needs to be answered by us in this case.

2. The appellants and the respondent herein are the respondents and claimant respectively in the proceedings before the Arbitrator. The parties shall be referred to as described in the said proceedings. This appeal is against the judgment dated 23.3.2010 in O.P.(Arb.) No.138/1994 on the file of the Principal Sub Judge, Thiruvananthapuram. A brief narration of the facts leading to the judgment and decree of the court below:-

3. The claimant, a registered 'A' class contractor of PWD, in response to a tender notification issued by the second respondent for the work of 'Kallada Irrigation and Tree Crop Development Project -Left Bank canal formation of Poovathoor Distributory', bid in the auction and was awarded the contract, pursuant to which, he entered into an agreement dated 25.4.1986 with the respondents. The entire works as per the agreement was to be completed by 23.1.1987. The Probable Amount