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ARTICLE · 27 MARCH 2023

Dispute Resolution And Arbitration Update

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The Respondent was awarded a contract dated December 16, 1971 for construction of a 3 km missing link on NH-6 from Kanjipani to Kuntala (Project). The Project was supposed to be completed...

IndiaLitigation, Mediation & Arbitration
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Background facts

  • The Respondent was awarded a contract dated December 16, 1971 for construction of a 3 km missing link on NH-6 from Kanjipani to Kuntala (Project). The Project was supposed to be completed within one year i.e., before December 15, 1972. The contract amount was INR 4,59,330 (Contract Amount).
  • However, there was a delay in completing the Project and the Project was only completed on August 30, 1977. The Respondent was paid a sum of INR 3,36,465 upon completion of the Project in August 1977.
  • On July 25, 1989 the Respondent issued a notice to the Appellant demanding the remaining balance of the Contract Amount due and payable to the Respondent. The Appellant responded to the notice and stated that the Respondent had been paid for his work. Evidently, there was a dispute between the parties regarding the amount payable to the Respondent.

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