Himachal Pradesh High Court
M/S. Hill Construction And Engineering ... vs State Of H.P And Another on 5 April, 2018
Author: Vivek Singh Thakur
Bench: Vivek Singh Thakur
IN THE HIGH COURT OF HIMACHAL PRADESH, SHIMLA Arb. Case No. 95 of 2017 .
Decided on: 5.4.2018 M/s. Hill Construction and Engineering Co. ...Petitioner.
Versus State of H.P and another ...Respondents.
Coram The Hon'ble Mr. Justice Vivek Singh Thakur, Judge.
Whether approved for reporting?
For the petitioner: Mr. Sumeet Raj Sharma, Advocate.
For the respondents: Mr. Shiv Pal Manhans, Additional Advocate General with Mr. Raju Ram Rahi and Mr. Amit Dhumal, Deputy Advocate Generals for the respondents State.
Vivek Singh Thakur, Judge. (Oral) This petition has been filed under Section 11(6) of the Arbitration and Conciliation Act, 1996 (in short the Act) for appointment of Arbitrator to adjudicate the dispute arising out of agreement executed between parties with respect to work awarded to the petitioner vide award letter ::: Downloaded on - 07/04/2018 22:58:42 :::HCHP 2 No.KNRIrrigPeoEAITenderAward/2013768086 dated 22.3.2013 for construction of FIS from Lambidhar to Pangi .
in Gram Panchayat Pangi, Tehsil Kalpa, District Kinnaur.
Agreement contains arbitration clause 25 for settlement of disputes by arbitration.
2. The petition has been filed on the ground that respondentsState is not making payment of work executed by the petitioner and the department has also failed to provide site and to take decision on the layout of Nalla crossing, resulting into delay in completion of work. It is alleged that the work has prolonged on account of breach of respondentsdepartment rendering infrastructure and labour of petitioner idle causing damages to the petitioner.
Entitlement for refund of security amount and interest @ 14% per annum on the amount withheld by the respondents department has also been claimed. The petitioner has also placed on record notice dated 19.6.2017 (Annexure P2) served upon respondentdepartment for appointment of arbitrator to resolve the dispute between the parties.
::: Downloaded on - 07/04/2018 22:58:42 :::HCHP 33. This petition is contested by the respondents department by stating in the reply that the petitioner had .
miserably failed to specify the dispute in its letter dated 19.6.2017 and, therefore, the petitioner is not entitled to seek appointment of an arbitrator. However, in the reply, it is claimed that the petitionercompany has not deployed the labour and equipment at the site of the work resulting into abnormal delay in executing the work and further that the petitionercompany, despite request of respondents department, is not executing the work as per the specifications and terms of the agreement/award and now, lame excuse is being made to cover its inactions.
4. From the contents of the petition as well as from the reply, it is evident that there is dispute between the petitioner and the respondentsdepartment on certain issues arising out of the agreement executed between them having the arbitration clause for resolving the dispute between them and respondentsdepartment has failed to appoint arbitrator in response to the notice dated 19.6.2017 served ::: Downloaded on - 07/04/2018 22:58:42 :::HCHP 4 upon the respondentsdepartment.
5 During hearing on previous date, parties were .
given time to exchange the names being suggested by them to each other for appointment as Arbitrator, but parties have not arrived at consequence.
6. Therefore, I appoint Hon'ble Mr. Justice A.K. Goel, Judge (retired) as Arbitrator with direction to enter into reference within a period of two weeks from receipt of this order and to make a reasoned speaking award in terms of arbitration agreement, in accordance with law, on the basis of material placed before him during proceedings. He shall be entitled for fee as per Schedule of the Act.
7. Registry of this Court is directed to immediately supply copy of this order to Justice A.K.Goel, Judge (retired.) Petition is allowed in the aforesaid terms.
(Vivek Singh Thakur) Judge April 5, 2017 (mamta ) ::: Downloaded on - 07/04/2018 22:58:42 :::HCHP