UNION OF INDIA Vs. HIND GALVANIZING AND ENGINEERING CO PVT LTD
HIGH COURT OF CALCUTTA
UNION OF INDIA
HIND GALVANIZING AND ENGINEERING CO. PVT. LTD
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T.K.Basu, J. -
(1.)THIS is an appeal arising out of the judgment and order passed by Salil K. Roy Chowdhury, J., dated the 20th August, 1971, dismissing an application for stay of a suit under Section 34 of the Arbitration Act, 1940.
(2.)ALTHOUGH the facts have been fully noted by the learned trial judge, they may be briefly recorded.
The appellant Union of India accepted a tender of the respondent with regard to the supply of G, T. Steel tubes of particular specifications. The contract constituted by such acceptance of the tender contained the usual arbitration clause. The contract also contained a Price Increased Clause. The respondent preferred a claim against the appellant based on this clause relating to the increase in the price of steel. Out of this claim, the appellant allowed only a portion. Thereafter a notice under Section 80 of the Civil Procedure Code was served on the appellant for the balance of the claim and a suit was instituted in this Court on the 27th January, 1970 praying for a decree for Rs. 16,46,080.58P. being Suit No. 67 of 1970. The Writ of summons was duly served on the appellant. The suit appeared in the Warning list of Undefended Suits, on the 17th February, 1971, 3rd March, 1971 and 17th March, 1971. On the 19th March, 1971 when the suit appeared in the Peremptory list of the Undefended suits; learned Counsel appeared before the learned Judge and asked for an adjournment. The minutes of the order made on the date is material and may be set out:
"Order dated the 19th March, 1971 Cor. K. L. Roy, J., Mr. P. K. Sen prays for adjournment. Mr. Bhaskar Sen for the plaintiff submits. The Cor. adjourned for a fortnight. All costs thrown away to be costs in the cause, so far as the plaintiff is concerned."
(3.)THE suit again appeared in the list on the 1st April, 1971 when the following order was made:
"Order dated 1st April, 1971 of K. L. Roy, J. Mr. N. C. Roy Chowdhury mentions and asks for an adjournment on the ground that the respondent will make an application under Section 34 of the Arbitration Act, 1940. Mr. Bhaskar Sen for the plaintiff opposed. THE Cor. adjourned till 8th of April, 1971."
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