B. G. SHIRKE CONSTRUCTION TECHNOLOGY PVT. LTD vs ARMY WELFARE HOUSING ORGANISATION & ANR.

Judgment text excerpt

* IN THE HIGH COURT OF DELHI AT NEW DELHI % Reserved on : 28.02.2025 Pronounced on : 30.05.2025 + O.M.P. (COMM) 205/2021, I.A. 13899/2021, I.A. 986/2022 & 987/2022 B. G. SHIRKE CONSTRUCTION TECHNOLOGY PVT. LTD ..... Petitioner Through: Mr. Rajiv Kapoor, Advocate. Versus ARMY WELFARE HOUSING ORGANISATION & ANR. ..... Respondent Through: Mr. A.K. Tiwari and Mr. Rahul Burmani, Advocates. CORAM: HON'BLE MR. JUSTICE MANOJ KUMAR OHRI JUDGMENT 1. The present petition has been filed raising objections under Section 34 of the Arbitration & Conciliation Act, 1996 (hereafter, the „A&C Act‟) against the award dated 19.04.2021 (hereafter, the „impugned award‟) delivered by the Arbitral Tribunal comprising of Sole Arbitrator (hereafter, „AT‟) to the limited extent of impugning the part of the Award discussing the base rates for Labour component. 2. The impugned award came to be delivered in the context of contract agreement No. AWHO/BANGALORE/08/2009 dated 01.06.2010 which Signature Not Verified Signed By:GAUTAM O.M.P. (COMM) 205/2021 Page 1 of 9 ASWAL Signing Date:30.05.2025 04:07:39 came to be executed in consequence of a Public Tender invited by the respondent for „Work of Construction of Residential accommodation for A WHO at Kanamangala, (Part A), Bangalore‟. The petitioner submitted its bid on 13.04.2010. It was awarded the work on 04.05.2010 and the same was to be completed within a period of thirty months. The work was completed on 10.10.2015 after two extensions. The petitioner issued a „No Claim Certificate‟ on 14.11.2018. After receipt of final payment, the petitioner invoked the arbitration clause on 25.11.2019 in relation to its escalation claim under Clauses 172 of the GTC. 3. Clause 127 pertained to escalation on account of labour component of the contract price and Cl