M/S. RAMESHWAR LAL MANA RAM Vs. STATE OF RAJASTHAN
LAWS(RAJ)-2013-11-138
HIGH COURT OF RAJASTHAN
Decided on November 08,2013

M/s. Rameshwar Lal Mana Ram Appellant
VERSUS
State of Rajasthan And Ors. Respondents

JUDGEMENT

Govind Mathur, J. - (1.) A work -order was granted in favour of the applicant on 18.09.1997 for construction of a building to be utilized as Pump Station near canal. Due to certain unavoidable reasons some delay occurred in completion of work, which as a matter of fact was required to be accomplished before 10.05.1999. Suffice to mention that as per Clause 45 and Clause 45 -A of the agreement arrived between the parties the liability with regard to variance in labour and raw material cost was to be born by the respondents. The applicant by submitting several representation claimed for escalated cost of labour and other raw -material but of no consequence. Ultimately a notice dt. 04.03.2009 (Annex. 17) was served upon the respondents with a request to appoint an independent arbitrator to resolve the dispute existing. On being not getting any positive response, this application is preferred. It is asserted by learned counsel for the applicant that in the agreement arrived at between the parties a clause for arbitration exists and, therefore, to resolve the dispute about right of the applicant to have escalated cost of labour and raw material utilized deserves to be adjudicated by arbitral proceedings.
(2.) A reply to the application has been filed on behalf of the respondents accepting that an agreement was executed between the parties and as per that the applicant was required to construct building for installation of pump station prior to 10.05.1999, but failed to do so. The applicant as per the respondents is not entitled for price variation in view of Clause 45 -B of the condition of contract. Heard rival submissions.
(3.) IT is not in dispute that a work -order was issued in favour of the applicant in pursuant to a contract which is having an arbitration clause for redressal of grievance of either parties by arbitral proceedings. The issue as to whether the applicant is entitled for variation in price or not in light of Clause 45 -B of the contract is required to be adjudicated by an arbitrator and not by this Court.;


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