ANANT RAJ AGENCIES Vs. DELHI DEVELOPMENT AUTHORITY AND ANR
HIGH COURT OF DELHI
ANANT RAJ AGENCIES
Delhi Development Authority And Anr
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(1.) The respondent had awarded a contract to the petitioner for construction of MIG houses in various sectors of Rohini. Disputes arose between the parties and in view of the arbitration clause, the Engineer Member, DDA, being the designated authority, was appointed the arbitrator. There were certain changes in the arbitrator and finally Mr. C. Banerjee, Chief Engineer, was appointed the Arbitrator who made and published his award dated 22.09.1997.
(2.) The respondent aggrieved by the same filed the present objections to the same.
(3.) It is necessary to note before embarking on consideration of the various pleas of the learned Counsel for the respondent that it can not be seriously disputed that the scope of scrutiny of this Court is not to re-appraise the evidence before the Arbitrator. In view thereof, to the extent the claims are based on appreciation of evidence, the same cannot be re-scrutinized by this Court as that would amount to this Court sitting as a Court of appeal. This is not permissible. It is not for this Court to interfere with an award merely on the basis that the Court would come to a different conclusion on the material available before the Arbitrator. It is only in the eventuality of the award being perverse that such interference is called for as observed by a Division Bench of this Court in DDA v. Bhagat Construction Co. Pvt. Ltd. and Anr. 2004 (3) Arb. LR 481. In fact the Apex Court has observed that in the absence of an award being absurd, reasonableness is not a matter to be considered by the Court. The judgment in Food Corporation of India v. Joginderpal Mohinderpal and Anr. can be usefully referred to for this purpose. The Supreme Court has in fact observed in Sudarsan Trading Co. v. Govt of Kerala that so long as the view taken by the arbitrator is plausible though perhaps not the only correct view, the award cannot be examined by the Court.;
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