LAWS(CAL)-2017-12-25

KOLKATA METROPOLITAN DEVELOPMENT AUTHORITY Vs. HINDUSTAN CONSTRUCTION CO LTD

Decided On December 01, 2017
KOLKATA METROPOLITAN DEVELOPMENT AUTHORITY Appellant
V/S
HINDUSTAN CONSTRUCTION CO LTD Respondents

JUDGEMENT

(1.) . These appeals under Section 37 of the Arbitration and Conciliation Act, 1996, as amended by the Amendment Act 3 of 2016 (in short "the Act of 1996"), at the instance of the same respondent in the arbitral proceedings, have been filed against the orders both dated July 18, 2017 passed by the same learned Arbitrator, in the arbitral proceedings arising out of A.P. 956 of 2016 and A.P. No. 957 of 2016. By the impugned orders, the learned Arbitrator allowed the applications filed by the respondent in these appeals, the claimant, under Section 16 of the Act of 1996 and refused to consider the counter-claims of the present appellant, the respondent in the arbitral proceedings. In both the appeals, the appellant has also filed separate applications for stay of operation of the respective impugned orders passed by the learned Arbitrator, as well as stay of the respective arbitral proceeding.

(2.) . The facts giving rise to both the arbitral proceeding, between the same parties in these appeals are identical and the question that falls for consideration in both the appeals is common. Accordingly, both the appeals are disposed of by this common judgement.

(3.) . Since the facts relevant for deciding these appeals are identical, arising out of the same contract, it would be suffice to discuss the facts relating to the appeal A.P.O. No. 501 of 2017. The brief facts necessary for present purposes are that by an agreement dated February 12, 2010 entered into between the parties (hereinafter referred to as "the contract"), the appellant awarded a contract in favour of the respondent for construction of the elevated road corridor from Park Circus to E.M. Bypass near Parama Island . Clause 41.1 of the Special Terms and Conditions of the said contract contained an arbitral agreement for adjudication of the disputes, if any between the parties which might arise in connection with, or arising out of the execution of the contract. Since clauses 41.1 and 41.2 of the Special Terms and Conditions of the said contract has a bearing on the issue involved in this appeal the said clause is extracted hereinbelow.