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IN THE HIGH COURT OF JAMMU & KASHMIR AND LADAKH AT SRINAGAR
SANJEEV KUMAR
State of J&K through Chief Secretary, New Secretariat, Srinagar/Jammu – Appellant
Versus
Kamal Krishan Chibber. S/O: Noralta Singh – Respondent
JUDGMENT :
1. The challenge in this application filed under Section 34 of the Jammu and Kashmir Arbitration and Conciliation Act, 1997 [“the Act”], by the then State of Jammu and Kashmir and Ors. (now Union Territory) is thrown to an arbitral award dated 30th December, 2018, passed by sole arbitrator Mr. G.M. Dar, former District and Sessions Judge, in the arbitration matter titled “Kamal Krishan Chibber Vs. State of Jammu and Kashmir and Ors.” whereby the learned arbitrator has held the respondent-Contractor entitled to the following amounts: -
| Amount | Head |
| 25,75,036/- | Payment on account of restoration work. |
| 50,000/- | Payment on account of earnest money. |
| 8,10,000/- | Payment on account of security deposit. |
| 21,43,536/- | Payment on account of escalation. |
| 76,865/- | Payment on account of final bill. |
2. The respondent-Contractor has been held entitled to the aforesaid amount along with interest @6% per annum from the date of filing of the arbitration petition before the Hon’ble Chief Justice till the date of award and 18% per annum after one month of passing of the award till the final payment of the award amount. The petitioners herein are also obligated to pay an amount of Rs. 1.00 lacs as arbitrator’s
Claims in arbitration must be filed within the limitation period; time-barred claims render an arbitral award illegal and against public policy.
Point of law : learned Arbitrator in his discretion can award pendentelite and future interest from the date of award till realization of the awarded amount because the terms of the contract did not ....
The judgment emphasizes the limited scope of interference with arbitral awards and the principle that courts should not interfere with arbitral awards unless there is a patent illegality or violation....
The main legal point established in the judgment is that the court should not interfere with an arbitral award unless the arbitrator's conclusions are arbitrary, capricious, or perverse. The court's ....
Arbitration awards may be set aside if contrary to public policy or fundamental legal principles, emphasizing the importance of adhering to contractual terms regarding extensions and compensations.
The court emphasized that arbitral awards should not be interfered with solely based on disagreements with findings, affirming the limited grounds for appeal under Section 34 of the Arbitration Act.
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