The court ruled that arbitrations involving separate contracts must not be merged, ensuring each dispute is adjudicated independently to uphold procedural fairness.

JUDGMENT

S.G. Chattopadhyay, J. - The present Appeal under Section 37 of The Arbitration and Conciliation Act, 1996 ('the Arbitration Act' hereunder) arises from the judgment and order dated 04.01.2021 passed by the District Judge, West Tripura, Agartala in case No. Civil. Misc. (Arbitration) 17 of 2018 whereby the learned District Judge in an application filed under Section 34 of the Arbitration Act set aside the arbitral award dated 28.07.2018 passed by the sole Arbitrator in the arbitral proceedings arising out of contract No.9010011736 dated 29.03.2010 between Smt. Namita Pal, claimant appellant and Oil and Natural Gas Corporation Ltd. (ONGC)-respondent.

2. Pursuant to the written agreement between the parties, ONGC hired 4 buses from the appellant for the period from December 2009 to June 2013. When the bills were submitted by the appellant for payment of her dues, a huge amount was deducted by ONGC from those bills arbitrarily without offering any opportunity of hearing to the appellant. As a result, a dispute cropped up between the parties with regard to payment of hiring charges to the appellant. A reference was made in terms of clause 28 of agreement No. 9010011736 dated 29.03.2010 for arbitration. Accordingly, the sole Arbitrator was appointed on 24.06.2016 and the dispute between the parties was referred to the sole arbitrator for adjudication.

3. Husband of the appellant namely Swapan Kumar Paul who was also a registered contractor entered into four different agreements with ONGC and rented different types of vehicles to ONGC under those agreements. After Sri Paul submitted the bills claiming hiring charges, ONGC made similar deductions from his bills mostly by reducing the Kilometers run by those vehicles. As a result, dispute also arose between Swapan Kumar Paul and ONGC arising out of contract No. 9010014028 dated 16.03.2011, 9010014069 dated 22.03.2011, 9010016874 dated 07.12.2012 and 9010018962 dated 18.12.2013.

4. A reference was also made for adjudication of the disputes arising out of the aforesaid 04 contracts executed between ONGC and said Swapan Kumar Paul. Since the facts and circumstances of all the 5 disputes were identical and parties were also same, the sole Arbitrator with the consent of the parties disposed the matters by a common award dated 28.07.2018 which reads as under:

'AWARD(S)

In view of the foregoing discussions, the instant five arbitral proceedings succeed and the claims of the Claimants in all the five matters are allowed in full. The Respondent-ONGC shall pay the Claimants:

(i) The sum of Rs.6,87,563.09 in Matter No.1, arising out of Contract No.9010014028 dated 16/03/2011

(ii) The sum of Rs.26,72,500/- only in Matter No.2, arising out of Contract No.9010014069 dated 22/03/2011

(iii) The sum of Rs.7,66,357.30 only in Matter No.3, arising out of Contract No.9010016874 dated 7/12/2012;

(iv) The sum of Rs.2,63,822.07 only in the Matter No.4, arising out of Contract No.9010018962 dated 18/12/2013; and

(v) The sum of Rs.8,52,406.86 only in Matter No.5, arising out of contract No.9010011736 dated 29/03/2010.

The Respondent shall also pay the Claimants interest on the amounts so awarded in the aforesaid five matters at the rate of 12% per annum from 14.03.2016 till this date, in the facts and circumstances contended by the latter.

The sums so directed to be paid by these arbitral awards in all these five matters shall also carry interest @18% p.a from this date to the date of payment.

For the reasons amply and appallingly indicated above, the Claimants shall also get costs of these proceedings in all five matters. Since no statement/account had been submitted on behalf of the Claima