The purpose of Section 9 of the Arbitration and Conciliation Act, 1996 is to protect the interest of parties for a limited period and limited purpose, and arbitral proceedings must commence within the stipulated time.

ORDER :

Heard. By way of instant petition, petitioner has prayed for following reliefs: -

a) Directing the respondent to release running payments.

b) Directing the respondent to hand over clear and hindrance free site for execution of the work.

c) Further restraining the respondent from initiating any action under clause 2&3, whereby imposing compensation and damages and also restraining the respondent from making recovery by forfeiting security, security deposits and from the pending payments under Agreement No. 160/2018-19 for the work (Providing L.I.S Horticulture Land from Changawati Khad to G.P. Kalbog Nagan and Ram Nagar) of the petitioner with the state of Himachal Pradesh till the determination of right and liabilities of the arbitration proceedings pertaining to No.160/2018 for the work.”

2. On 21st April, 2022 the following order was passed in the instant petition:-

“On 07.04.2022, this Court passed the following orders :-

Learned Additional Advocate General has placed on record instructions dated 6.4.2022.

Let the petitioner provide clear roadmap with regard to the time schedule in which it would complete work in question as the same is already overdue.

In the meanwhile, respondents are directed to process 10th running bill submitted by the contractor. List on 21.4.2022.

In the meanwhile, petitioner is given liberty to submit the sites where it is facing certain hindrances/difficulties in the execution of the work to this Court as well as to the concerned authorities.”

In compliance to the aforesaid orders, the petitioner contractor has filed a supplementary affidavit setting out therein certain hindrances/difficulties being faced by him in the execution of the work in question. The State has responded to this affidavit by placing on record the instructions dated 21.04.2022.

I have gone through the affidavit filed by the petitioner as also the response of the State. I really feel that none of the so-called hindrances is of such magnitude that would prevent the execution of the work in any way and insofar as the little hindrances are concerned, the same can be resolved on the spot.

Shri B.B. Gupta, Executive Engineer, Jal Shakti Vibhag, Jubbal, is present in person and assures this Court that as and when the petitioner would point out the hindrances, the same shall be redressed promptly by the respondents since the petitioner undertakes to complete the work preferably within three months from today.

Taking into account the nature of the work and further the fact that the monsoon would be approaching in the month of July, I deem it proper to direct the petitioner contractor to complete the work in its entirety by 15th July, 2022 and file a comprehensive compliance report on or before the next date of hearing.

List on 21.07.2022.

In the meanwhile, it is expected that payment of 10th running bill of the petitioner-contractor which has already been processed by the Department shall be released to the petitioner-contractor within a period of two weeks from today i.e. on or before 06.05.2022, that of course, is subject to the petitioner starting the work at the war-footing.”

3. The petitioner was directed by aforesaid order to complete the work in its entirety by 15th July, 2022 and file a comprehensive compliance report on or before 21.07.2022. However, two applications came to be filed before 21.07.2022. The first being OMP No. 450 of 2022 was filed on behalf of the petitioner and second being OMP No. 453 of 2022 filed on behalf of the respondent through Superintending Engineer, Jal Shakti Vibhag, Circle Rohru. Petitioner submitted his own reasons for not being able to complete the work in compliance to order dated 21.04.2022, the respondents alleged the non-compliance of order dated 21.04.2022 for reasons attributable solely to the petitioner. As per the petitioner, he had made all endeavour to complete the work on or before 15.07.2022, but it was on account of defaults of respondent that the work could not be completed. In nutshell, th