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2025 Supreme(HP) 432

IN THE HIGH COURT OF HIMACHAL PRADESH, SHIMLA
HON'BLE MS. JUSTICE JYOTSNA REWAL DUA
Union of India – Appellant
Versus
B.S. Ranbir and Co. – Respondent


Advocates:
Advocate Appeared:
For the Appellants :Mr. Balram Sharma, Deputy Solicitor General of India with Mr. Rajiv Sharma, Advocate.
For the Respondent:Mr. Shubham Sood, Advocate.

JUDGMENT :

Jyotsna Rewal Dua, J.

Arbitral award passed in favour of respondent No.1 on 15.10.2015 was upheld by the learned District Judge, Kangra at Dharamshala on 08.12.2023. Objections preferred against the award under Section of 34 of the Arbitration and Conciliation Act, 1996 (in short ‘the Act’) were dismissed. Feeling aggrieved, the appellants have now taken recourse to Section 37 of the Act and have assailed the order passed by the learned District Judge Kangra at Dharamshala dated08.12.2023 and Arbitral Award dated 15.10.2015, whereunder, claim preferred by respondent No.1 was allowed to the extent indicated therein.

2. The case

2(i) A Contract agreement was executed between the appellants and respondent No.1 for ‘Provision of OTM accommodation for Postal Unit at Palampur, District Kangra’ for an amount of Rs.3,94,96,923.36/-. Stipulated period of completion of work was 18 months with given date of completion as 16.07.2015. The work extended beyond the period of 18 months. Clause No.48 of the Contract Agreement provided mechanism of reimbursement/refund on variation in prices. Respondent No.1 claimed escalation amounting to Rs. 2,25,498.00/- in Running Account Receipt (RAR) da

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