R.V. Raveendran, J. - (1.) Leave granted.
(2.) The Indian Oil Corporation Limited, the Appellant herein, awarded an infrastructure work relating to drinking water system for its Paradip Refinery project to the Respondent on 17.10.2000 and followed by a formal agreement dated 18.1.2001. The period stipulated under the contract for completion of the work was 13 months from the date of issue of the order dated 17.10.2000 and the contract value was Rs. 16,61,17,473/-. The Appellant terminated the contract on 29.10.2002 alleging that the Respondent contractor though required to complete the work within 13 months, had achieved a progress of hardly 15.94% till 30.4.2002 and notified the Respondent that the work will be got completed through an alternative agency, at the risk and cost of the Respondent under Clause 7.0.9.0 of the General Conditions of Contract.
(3.) In view of the said termination, the Respondent raised certain claims against the Appellant and invoked the arbitration agreement contained in the General Conditions of Contract and filed an application under Section 11 of the Arbitration and Conciliation Act, 1996 (Act for short) before the Delhi High Court for appointment of an arbitrator. The Designate of the Chief Justice of the High Court, by order dated 17.3.2003, appointed a retired High Court Judge as the arbitrator.;