JUDGEMENT
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(1.)The respondent/DDA invited tenders for providing RCC bored
cast-in-situ pile foundation including pile caps and grade beams
(Block 1 & 2) for a project for construction of multi-storeyedflats
at Motia Khan, for which the petitioner was a successful tenderer,
accepted vide letter dated 27.12.1984 at a negotiated amount of
Rs.47,04,054/-. The work had to be completed within four months
calculated from the 10th day after the date of issue of the award
letter. It is a case of the appellant that all necessary arrangements
were made for due execution of the work, especially keeping in
mind the tight completion schedule. However, the respondent is
alleged to have failed to make available the site. Thus, the
appellant called upon DDA vide letter dated 11.02.1985 to do
various acts.
"i) To remove the building materials of another
contractor lying in the block No.1.
ii) To remove the huge malba filth and other
rubbish material lying at the site of both the blocks.
iii) To put restriction on labourers, residents of
jhuggies and the people of the trucks for using the
site for natural coarses and thus creating the foul
conditions, it was even difficult to take up the layout work.
iv) The site being highly undulated with heaps of
garbage, malba, refuge etc. requests were made to
you even during your site inspection for the
clearance of the site which was creating
obstructions in our work.
v) The discrepancy in the drawing were also
pointed out to the Department."
(2.)The aforesaid hindrances are stated to have not been removed
resulting in a meeting being held on 15.02.1985, the discussions of
which were reduced into writing by the appellant in its letter dated
07.03.1986. The time period stipulated for work was expiring and
thus the appellant called upon the respondent to compensate it for
the losses suffered and in case the work was to be now executed,
the same would be at market rate and on the respondent fulfilling
the contractual obligations. The respondent vide their letter dated
05.03.1986 informed all the plans being approved by the Urban Art
Commission so that the work of piling could be started. The
appellant informed that the layout out drawings had still not been
issued as per the letter dated 13.03.1986 and despite the appellant
installing a test pile at site in January, 1985, the pile load was not
conducted under the directions of the respondent and thus seeking
clarifications in that behalf. The respondent, however, sought to put
the blame on the appellant vide their letters dated05.04.1986 and
10.04.1986 which were replied to by the respondent on 10.04.1986
followed by letters dated 13.05.1986 and 18.09.1986.
(3.)The respondent issued a show cause notice to the appellant dated
21.05.1988 replied to on 25.05.1988 but the contract was
ultimately cancelled by the respondent on 14.07.1988. In view of
the arbitration clause contained in the agreement inter se the
parties, the disputes were referred to the sole arbitration of Sh.
S.Nagarajan where various claims were made. It appears that an
award dated 27.01.1992 was published which was assailed before
the Delhi High Court and was set aside and the matter was referred
afresh for arbitration to Justice V.S.Aggarwal (Retd.) vide order
dated 08.09.2006. The learned Arbitrator made and published the
award dated 22.09.2008.
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