J. Kodanda Rami Reddy vs State Of A.P. & Ors

The Supreme Court held that the revised GOM No. 160 dated 1.6.1987 clarifies that all claims above Rs. 50,000 must be adjudicated in a Civil Court, thus superseding any prior arbitration provisions for such claims. The court emphasized that the intention of the government was to prevent contractors from misinterpreting the arbitration process for higher claims. Consequently, the appellant's petition for arbitration was dismissed, affirming the jurisdiction of civil courts for claims exceeding the specified amount.