U.P. STATE ELECTRICITY BOARD vs SEASOLE CHEMICALS LTD.

The Supreme Court upheld the arbitration award of Rs. 24,00,000 for losses due to interruptions in power supply, emphasizing that the supplier's liability for damages is limited by the agreement's proviso. The Court clarified that interruptions caused by factors beyond the supplier's control do not incur liability, but the arbitrators found negligence on the part of the supplier. The Court affirmed the lower courts' decisions, rejecting the appellant's claims that the award exceeded the agreement's scope.