STATE OF U.P vs M/S COMBINED CHEMICALS COMPANY PVT.LTD.

The Supreme Court addressed whether the acceptance letter dated 16.11.1985 constituted a binding agreement under the arbitration clause in the tender document. The Court held that the acceptance letter, along with the tender conditions, formed a valid contract, allowing the respondent to invoke arbitration as per Clause 16. The Court also ruled that the Arbitrator's decision was not vitiated by any patent error of law, thereby upholding the award made by the Arbitrator and the trial Court's order to make it a rule of the Court.