UNION OF INDIA vs M/S. BHARAT ENTERPRISE

The Supreme Court examined whether the respondent contractor's claim for payment, made after a significant delay and accompanied by affidavits and undertakings, was valid for arbitration. The court analyzed the contractual obligations, the conduct of the parties, and the timing of the claims and payments. It held that the respondent's revocation of affidavits and the subsequent invocation of arbitration were justified, and the arbitration clause was validly invoked. The court emphasized the importance of timely claims and adherence to contractual procedures in arbitration disputes.