INDIAN OIL CORP.LTD. vs M/S SPS ENGINEERING LTD.

The Supreme Court addressed the arbitration proceedings initiated by the respondent after the Indian Oil Corporation Limited terminated the contract under Clause 7.0.9.0 of the General Conditions of Contract, citing inadequate progress on the project. The Court held that the arbitrator has the jurisdiction to consider the claims and counterclaims made by both parties under the Arbitration and Conciliation Act, 1996, specifically Section 11, which pertains to the appointment of an arbitrator. The Court emphasized that the claims must be clearly articulated in the counter-claim, and any amendments should align with the original prayer for relief.