F.C.I. vs M/S. CHANDU CONSTRUCTION

The Supreme Court upheld the arbitration award of Rs. 8,23,101/- in favor of the claimants, affirming that the contract terms included the cost of materials, specifically sand, as part of the work scope. The Court clarified that the claimants were entitled to additional payment for supplying sand, as the original tender only covered labor costs. The judgment emphasized the binding nature of the arbitration agreement and the arbitrator's authority to interpret contract terms under the Arbitration and Conciliation Act, 1996.