Rajagopalan, O.C.J.—Sri M. N. Varma (hereinafter referred to as the contractor) entered into a contract with the Government of India to construct huts in the Avadi camp for the use of the military authorities. It was what was known as a lump sum contract. The amount was over Rs. 20 lakhs. The works were completed in 1945. Disputes about the quantum still payable to the contractor were referred to arbitrators in accordance with clause 35 of the contract between the contractor and the Government. Since the two arbitrators differed they referred the questions at issue between the parties to an umpire. The award of the umpire Sri C. G. Modi, dated 29th July, 1953, ran:

“The Union of India, the opponents, do pay to the claimant Shri Mangaldas N. Varma the sum of Rs. 6,05,000 (rupees six lakhs and five thousand only) in respect of the claim. I do further award that the opponents do pay to the claimant Rs. 20,000 (rupees twenty thousands only) for costs of this reference.”

Though the arbitration proceedings were at Bombay, Avadi, it should be remembered, ay within the territorial jurisdiction of the District Court of Chingleput. The contractor preferred O.P. No. 38 of 1953 to the District J

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