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2025 Supreme(Online)(KER) 803

HIGH COURT OF KERALA
A. K. Jayasankaran Nambiar, Easwaran S., JJ
M/S.BHAGEERATHA ENGINEERING LTD. – Appellant
Versus
STATE OF KERALA – Respondent


Advocates:
SRI.G.P.SHINOD, SRI.MANU V., SRI.GEORGE THOMAS, SRI.K.V.MANOJKUMAR, SR. GOVERNMENT PLEADER

JUDGMENT :

(Easwaran S., J.)

The appeal arises from the order of the District Court, Thiruvananthapuram dated 22.6.2010 in O.P(Arb.) No.238/2006 by which the award of the arbitral tribunal was set aside.

2. Facts of the case

The appellant is a contractor who came out successful in competitive bidding for execution of the works (1) Kerala State Transport Project–RMC-01-periodic renewal of Thaikkad- Kottarakkara Road, (2) KSTP-RMC-03-periodic renewal of Thodupuzha-Kalur-Ounukal Road, (3) KSTP-RMC-08-periodic renewal of Kozhikkode-Mavoor Road and (4) KSTP-RMC-12 periodic renewal of Quilandy-Thamarassery Road.

3. In respect of Road Maintenance Contract-01 (RMC-01), notice of procedure was issued on 28.5.2002 and the original date of completion was on 27.5.2003. An amount of Rs.8,01,89,947/- was fixed and the same was revised to Rs.6,25,66,956.79. The 1st extension period was approved with liquidated damages upto 31.7.2003 and the 2nd extension of time was approved with liquidated damages upto31.10.2003.

4. In respect of RMC-03, notice issued to proceed was given on 28.5.2002 and it was completed on 27.5.2003. The original contract amount was Rs.3,93,96,479/- and the revised contract rate wa

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