M/S. KLASSIC CONSTRUCTION (PVT.) LTD. vs M/S. ARMY WELFARE HOUSING ORGANISATION

The Supreme Court addressed a dispute arising from a construction contract between a contractor and the Army Welfare Housing Organisation, governed by Clause 131 which mandates arbitration for unresolved disputes. The Court directed the respondent to submit a panel of three names for the appointment of a sole arbitrator, in compliance with its earlier order dated 17.05.2006. The Court emphasized the binding nature of the arbitrator's award as stipulated in the contract, ensuring adherence to the arbitration process outlined therein.