Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | Section 34 Arbitration and Conciliation Act1996 Public policy of India |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Allowed |
Headnote | Arbitration and Conciliation Act, 1996 - s. 34 - Application for setting aside of arbitral award - Award of contract in favour of respondent by appellant-Corporation whereby vessal handed over to respondent for carrying modernization and upgradation work - Vessal could not be returned to the appellant on the stipulated date - Payment made by appellant - Deduction of certain amount towards excess engagement charges, change in tax law, correction for price charges inclusive of income tax - Disputes between parties, referred to arbitral tribunal - Tribunal holding that delay post 21.10.2001 could not be attributed to the respondent, that the deduction towards excess engagement charges from 01.11.2001 to 22.03.2002 by the appellant not justified as also deduction on account of taxes - Petition u/s.34 by the appellant that the award in conflict with the 'public policy of India u/s. 34(2)(b)(ii) - Dismissed by the Single Judge of the High Court however, partly allowed by the Division Bench by deleting pendente lite and future interest from the award made - On appeal, held: If the arbitrators on facts proved before them fail to draw an inference which ought to have been drawn or if they have drawn an inference which is untenable resulting in miscarriage of justice, the award would be open to challenge - On facts, arbitraton erred in holding the appellant- Corporation responsible for the delay post 21.10.2001, resulting in miscarriage of justice - They also failed to appreciate and draw inferences that logically flow from such proved facts - Out of the period of 4 months and 22 days which the arbitrators have attributed to the appellant, period of 56 days reduced - Deductions made by the appellant for the said period upheld - Award made by the arbitrators modified to that extent. |
Judge | Honble Mr. Justice T.S. Thakur |
Neutral Citation | 2014 INSC 596 |
Petitioner | Oil & Natural Gas Corporation. Ltd. |
Respondent | Western Geco International Ltd. |
SCR | [2014] 12 S.C.R. 1 |
Judgement Date | 2014-09-04 |
Case Number | 3415 |
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