NDLI: Union of India Vs. Manraj Enterprises

Content Provider	Supreme Court of India
e-ISSN	30484839
Language	English
Access Restriction	NDLI
Subject Keyword	1996 – ss. 34 37. Arbitration and Conciliation Act
Content Type	Text
Resource Type	Law Judgement
Jurisdiction	India
Case(s) Referred	Referred Case 0 Referred Case 1 Referred Case 2 Referred Case 3 Referred Case 4 Referred Case 5
Case Type	Appeal
Court	Supreme Court of India
Disposal Nature	Appeal Allowed
Headnote	Interest: Interest pendente lite – Award of interest by arbitrator contrary to clause 16(2) of the General Conditions of Contract – Correctness of – Dispute related to work contract – Arbitrator awarded pendente lite and future interest at the rate of 12% and 18% respectively on the entire awarded amount except for the earnest money deposit and security deposit – Said order upheld by the High Court – On appeal, held: Once the contractor agrees that he shall not be entitled to interest on the amounts payable under the contract, including the interest upon the earnest money and the security deposit as mentioned in clause 16(2) of the agreement/contract between the parties, the arbitrator in the arbitration proceedings has no power to award interest, contrary to the terms of the agreement/contract between the parties and contrary to clause 16(2) – Expression “amounts payable to the contractor under the contract” cannot be read in conjunction with “earnest money deposit” or “security deposit” – It has to be read independently and disjunctively to earnest money deposit and security deposit as the word used is “or” and not “and” between “earnest money deposit”, “security deposit” and “amounts payable to the contractor under the contract” – Thus, the principle of ejusdem generis is not applicable – Furthermore, even if the Government would have been awarded interest, the same also was not permissible and could have been a subject matter of challenge – There cannot be an estoppel against law – Arbitrator erred in awarding pendente lite and future interest on the amount due and payable to the contractor under the contract and the same was erroneously confirmed by the High Court, thus, the order passed by both the High Courts and the award passed by the arbitral tribunal set aside – Arbitration and Conciliation Act, 1996 – ss. 34, 37.
Judge	Hon'ble Mr. Justice M.R. Shah
Neutral Citation	2021 INSC 754
Petitioner	Union Of India
Respondent	Manraj Enterprises
SCR	[2021] 7 S.C.R. 413
Judgement Date	2021-11-18
Case Number	6592

Sl.	Authority	Responsibilities	Communication Details
1	Ministry of Education (GoI), Department of Higher Education	Sanctioning Authority	https://www.education.gov.in/ict-initiatives
2	Indian Institute of Technology Kharagpur	Host Institute of the Project: The host institute of the project is responsible for providing infrastructure support and hosting the project	https://www.iitkgp.ac.in
3	National Digital Library of India Office, Indian Institute of Technology Kharagpur	The administrative and infrastructural headquarters of the project	Dr. B. Sutradhar bsutra@ndl.gov.in
4	Project PI / Joint PI	Principal Investigator and Joint Principal Investigators of the project	Dr. B. Sutradhar bsutra@ndl.gov.in Prof. Saswat Chakrabarti will be added soon
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6	Contents and Copyright Issues	Queries related to content curation and copyright issues	content@ndl.gov.in
7	National Digital Library of India Club (NDLI Club)	Queries related to NDLI Club formation, support, user awareness program, seminar/symposium, collaboration, social media, promotion, and outreach	clubsupport@ndl.gov.in
8	Digital Preservation Centre (DPC)	Assistance with digitizing and archiving copyright-free printed books	dpc@ndl.gov.in
9	IDR Setup or Support	Queries related to establishment and support of Institutional Digital Repository (IDR) and IDR workshops	idr@ndl.gov.in

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