NATIONAL BUILDING CONSTRUCTION CORPORATION LTD Vs. M/S J.R.CONSTRUCTION
LAWS(DLH)-2020-2-100
HIGH COURT OF DELHI
Decided on February 13,2020

NATIONAL BUILDING CONSTRUCTION CORPORATION LTD Appellant
VERSUS
M/S J R CONSTRUCTION Respondents

JUDGEMENT

Hima Kohli, J. - (1.) The appellant/National Building Construction Corporation (in short "NBCC") has filed FAO(OS)(COMM) 273/2019 against the judgment dated 30.07.2019, passed by the learned Single Judge in OMP(COMM) 157/2017 whereby a petition filed by it under Section 34 of the Arbitration and Conciliation Act, 1996 (in short "A&C Act") directed against the Arbitral Award dated 06.12.2016, has been dismissed.
(2.) Fao(Os)(Comm) 280/2019 has been filed by the appellant/NBCC, being aggrieved by an order dated 08.08.2019, passed by the learned Single Judge partly allowing OMP(COMM) 171/2017 against the Arbitral Award dated 06.12.2016, on the aspect of pendente lite interest awarded in respect of Claim No.17 and holding that only post-award simple interest @ 12% could have been granted to the respondent. At the same time, the Award was sustained on the remaining aspects on the ground that the judgment dated 30.07.2019, passed by the same Bench in OMP(COMM) 157/2017, subject matter of FAO (OS) (COMM) 273/2019, would cover the present case as well. As the pleas taken to assail the impugned judgment are similar, both the appeals are being taken up together for a decision. For the sake of convenience, we propose to refer to the facts narrated in FAO (OS) (COMM) 273/2019.
(3.) On 24.10.2005, the appellant/NBCC issued a Letter of Award (LoA) in favour of the respondent/contractor for construction of a Link Road in Mizoram, abutting the Indo-Bangladesh Border. The length of the road was 17.81 kms. The contract value was for a sum of Rs.881.61 lakhs. The contract was to commence on 03.11.2005 and conclude on 03.06.2006. On 01.11.2007, in a joint meeting conducted by the appellant/NBCC, the respondent/contractor and BT Construction, it was agreed that a 10 kms. stretch of the road initially awarded to the respondent/contractor, would be handed over to BT Construction. The respondent/contractor took a stand that the work in respect of this stretch of road having been awarded to BT Construction, it was excluded from the subject contract. Between the years 2007 to 2009, the respondent/contractor continued executing parts of the subject contract. Difficulties in completion of the work finally led to a foreclosure of the subject contract. On 30.11.2010, joint measurement of the work executed was carried out by the respondent/contractor and BT Construction.;


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