P. Sam Koshy,J. - (1.)The present is an Arbitration Application under Sections 14 and 15 read with Section 11(6) of the Arbitration and Conciliation Act, 1996 (in short, the Act, 1996).
(2.)The applicant, who is basically a contractor, was awarded with a contract for supply and stacking of machine crushed, stone, ballast in Cess and in depot between CWA and KLOD. Based upon the contract which was awarded, an agreement was executed between the applicant and the respondents on 29.10.2010. The contract value was Rs.5,09,87,359.50/-and the stipulated period of work was 18 months inclusive of rainy season.
(3.)During the course of execution of contract, some dispute arose between the parties. It is said that initially the applicant invoking Section 53 of the Indian Contract Act terminated the contract with a request to the respondents to release the security deposit and bank guarantees and also for release of the payment for the supply made to the respondents. Subsequently, it is said that the respondents issued a 7 days notice on 19.11.2013 for completion of work order and again 48 hours notice on 05.12.2013 and finally terminated the contract on 11.12.2013 forfeiting the security deposit and performance guarantee.