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P.K. Ramaiah And Company vs Chairman & Managing Director, National ... on 1 October, 1993

11. In the instant case, as noticed above, the appellant gave an unconditional declaration and/or certificate to the effect that he has received payment in full and final settlement of the claims and no other claim in respect of the work in question is recoverable from or payable by the respondents. Not only that, after receipt of the amount, the appellant treated the contract as completely terminated, withdrew the security money also which was paid by different cheques. Thus, in my opinion, the decision of the Apex Court in the cases of P.K. Ramaiah (supra) and National Steels Ltd. (supra), fully apply in the facts and circumstances of the present case. In that view of the matter, the appellant having acknowledged the settlement and having received the amount in full and final settlement of the claim, the contract came to an end and no arbitrable dispute exists for reference to arbitration. The learned Court below has, therefore, rightly come to the conclusion that the arbitration clause does not exist and the application for invoking the arbitration clause is not maintainable.
Supreme Court of India Cites 6 - Cited by 120 - Full Document

Union Of India & Anr vs L.K. Ahuja & Co on 5 April, 1988

The Calcutta High Court merely followed the statement of law laid in Ahuja and Co. case. It is not shown to us that the Chief Construction Manager was competent to acknowledge the liability or an authority to refer the dispute for arbitration. So neither his letter binds the respondent nor operates as an estoppel. Admittedly the full and final satisfaction was acknowledged by a receipt in writing and the amount was received unconditionally. Thus there is accord and satisfaction by final settlement of the claims. The subsequent allegation of coercion is an afterthought and a device to get over the settlement of the dispute, acceptance of the payment and receipt voluntarily given. In Russell on Arbitration, 19th Edn. p. 396 it is stated that "an accord and satisfaction may be pleaded in an action on award and will constitute a good defence." Accordingly, we hold that the appellant having acknowledged the settlement and also accepted measurements and having received the amount in full and final settlement of the claim, there is accord and satisfaction. There is no existing arbitrable dispute for reference to the arbitration. The High Court is, therefore, right in its finding in this behalf. The appeal are dismissed but in the circumstances without costs.
Supreme Court of India Cites 14 - Cited by 87 - S Mukharji - Full Document
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