RAJASTHAN RAJYA VIDYUT UTPADAN NIGAM LTD., JAIPUR Vs. M/S NATIONAL BUILDING CONSTRUCTION LTD.
LAWS(RAJ)-2001-3-143
HIGH COURT OF RAJASTHAN
Decided on March 16,2001

Rajasthan Rajya Vidyut Utpadan Nigam Ltd., Jaipur Appellant
VERSUS
M/S National Building Construction Ltd. Respondents

JUDGEMENT

- (1.) This misc. appeal is preferred against the order of Additional District Judge No.3, Kota whereby the award dated 16.8.93 passed by the Arbitrator has been made rule of court and the same has been challenged by Rajasthan State Electricity Board now substituted by the name of Rajasthan Rajya Vidyut Utpadan Nigam (hereinafter to be called as "Nigam").
(2.) A contract was entered into between the Nigam and National Building Construction Ltd. (hereinafter to be called as "company") to construct/ erect RCC chimney for Kota Thermal plant. the agreement was signed on 6.11.79 and the work was to be completed upto October, 1980. There arose certain disputes between the parties. The Nigam was asked to appoint the Arbitrator under the clause of Arbitration agreement. The claim and counter claim were filed before the Arbitrator. The Arbitrator had passed the award on 26.8.93 allowing the claim for an amount Rs. 18,33,167.22. The counter claim of Nigam was also accepted to the tune of Rs. 3,67,665.00. The Arbitrator had awarded the amount Rs. 14,65,502.00 after adjustment with the interest of 12% per annum from 5.6.90 to 26.8.93, thereafter the simple interest at the rate of 6% pa till payment or the date of decree, whichever is earlier.
(3.) The award of the Arbitrator was challenged before the Civil Court i.e. District Judge under Section 14 and 17 of the Arbitration Act. The objections were filed by the Nigam to the effect that the Arbitrator had committed misconduct. Vide impugned order dated 21.8.99 the objections were dismissed and the award was made rule of court. The Nigam has come up to challenge the award as well. The challenge is being made on the following grounds : 1. The Arbitrator had not given speaking award on each clause of claim, whereas the Arbitration clause emphasise the need of making speaking award, 2. The clause-wise objections have not been discussed and that court has given sketchy and superficial findings for making the award Rule of Court; 3. The award of escalation on account of labour charges could not have been claimed after 31.10.80. ;


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