INDIAN OIL CARPORATION vs M/SMETRO BUILDERS(ORISSA)PVT. LTD

Judgment text excerpt

$~16 * IN THE HIGH COURT OF DELHI AT NEW DELHI Date of Decision: 02.04.2026 + O.M.P. (COMM) 246/2016 INDIAN OIL CARPORATION .....Petitioner Through: Mr. V. N. Koura, Mr. Aditya Sharma and Mr. Shaurya Dahiya, Advocates versus M/SMETRO BUILDERS(ORISSA)PVT. LTD .....Respondent Through: Mr. Akhil Sachar, Ms. Sunanda Tulsyan, Ms. Shweta Pattanaik, Ms. Babita Rawat, Ms. Kashish Maheshwari and Ms. Gulnar Arora, Advocates CORAM: HON'BLE MR. JUSTICE HARISH VAIDYANATHAN SHANKAR % JUDGEMENT (ORAL) HARISH VAIDYANATHAN SHANKAR, J. 1. The present Petition, filed under Section 34 read with Sections 28 and 31 of the Arbitration and Conciliation Act, 19961, assails the Arbitral Award dated 20.11.20142, in respect of Claim No. 2, rendered by the learned Sole Arbitrator in the arbitral proceedings titled “Metro Builders (Orissa) Pvt. Ltd. v. Indian Oil Corporation Limited.” 2. By the Impugned award, the learned Arbitrator has allowed the claims preferred by the Respondent in respect of Claim No. 2, along 1 Act 2 Impugned Award Signature Not Verified Digitally Signed By:VARNIKA O.M.P. (COMM) 246/2016 Signing Date:06.04.2026 Page 1 of 24 18:20:17 with interest at the rate of 9% per annum, payable after the expiry of two months from the date of the award until the date of payment. 3. Learned counsel for the Petitioner, at the outset, confines the challenge to a singular, yet foundational ground that the Impugned Award is ex facie contrary to the express terms of the Contract. In support thereof, reliance is placed upon Clauses 4.3.5.0, 4.3.5.1, 4.3.5.2 and 4.3.6.0 of the General Clauses of the Contract3, forming part of the Agreement dated 26.07.20064, which are reproduced herein below: “4.3.5.0 Within 7 (seven) days of the occurrence of any act, event or omission which, in the opinion of th