NTPC LIMITED vs AADHAR STUMBH TOWNSHIP PVT LTD

Judgment text excerpt

$~20 * IN THE HIGH COURT OF DELHI AT NEW DELHI Date of Decision: 19.03.2025 + ARB.P. 1580/2024 NTPC LIMITED .....Petitioner Through: Mr. Adarsh Tripathi, Mr. Vikram Singh Baid, Mr. Ajitesh Garg, Advs. versus AADHAR STUMBH TOWNSHIP PVT LTD .....Respondent Through: Mr. Vivekanand, Adv. CORAM: HON'BLE MR. JUSTICE JASMEET SINGH : JASMEET SINGH, J (ORAL) 1. This is a petition filed under Section 11 (5) & (6) of the Arbitration and Conciliation Act, 1996, (“Act 1996”) seeking a direction to appoint a Presiding/Third Arbitrator. 2. Brief facts are that the petitioner is a company engaged in the generation of electricity. The petitioner invited bids for “Construction of Office-cum-Residential Complex for ER-1HQ at Patna and a Letter of Award (“LOA”) was issued in favour of the respondent being the lowest bidder. On 25.01.2018, a Contract Agreement was signed between the parties which contains an arbitration clause as Clause 7.3 and the same is extracted below:- “7.3 Arbitration 7.3.1 If the Engineer-in-Charge and/or ESC fails to arrive at a settlement between the parties as mentioned at GCC Sub-Clause 7.1 & 7.2 above, either party may give a notice to the other party of its intention to commence arbitration, as hereinafter provided, Digitally Signed ARB.P. 1580/2024 Page 1 of 15 By:DEEPANSHU MALASI Signing Date:02.04.2025 11:22:43 as to the matter in dispute, and no arbitration in respect of this matter may be commenced unless such notice is given. Such notice of intention to commence arbitration shall be given within a period of thirty (30) days from the date of notification of the decision of the Engineer-in-Charge or thirty (30) days from the date of termination of ESC proceedings (applicable only in case where ESC has been constituted). 7.3.2 Any dispute or difference in re