PANDEY AND CO BUILDERS PVT LTD Vs. STATE OF BIHAR
LAWS(SC)-2006-11-47
SUPREME COURT OF INDIA (FROM: PATNA)
Decided on November 10,2006

PANDEY AND CO. BUILDERS PVT. LTD. Appellant
VERSUS
STATE OF BIHAR Respondents

JUDGEMENT

- (1.) Leave granted.
(2.) The parties hereto entered into a contract in terms whereof Appellant herein undertook a contract for execution of canal repair work for Rs. 11,33,421.00. An additional agreement was entered into by and between the parties. The said contract contained an arbitration clause being Clause 23 of the contract.
(3.) Disputes and differences having arisen between the parties, Appellant invoked the said arbitration clause. The Superintending Engineer of the Circle who was the named Arbitrator entered into reference. There being alleged undue delay in conclusion of the proceedings of the arbitral tribunal, a notice was served by Appellant purported to be in terms of Sections 14 and 15 of the Arbitration and Conciliation Act, 1996 (for short "the 1996 Act"). The named Arbitrator retired and his successor did not proceed with the reference for a long time. Another notice was issued by Appellant asking the then incumbent of the office of Superintending Engineer to proceed with the arbitration. He, however, instead of proceeding with the arbitration sought for directions in this behalf from his superior officers. On 23.8.2002, he expressed his inability to continue with the proceedings. A notice under Sec. 14 of the 1996 Act was again served. A proposal was made thereunder to nominate another independent person as an Arbitrator. The Irrigation Department of the State of Bihar asked the Superintending Engineer to conclude the arbitration proceedings within three months by an office order dated 20.01.2002.;


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