Mahanagar Gas Ltd. v. Babulal Uttamchand and Co.
Case brief
What is this about?
The High Court partly allowed an appeal against the confirmation of an arbitral award. The Court reduced the costs payable by the appellant to 20 lakhs. Regarding interest, the Court allowed it at 12% per annum from the date of the claim till the date of the award only for the amount related to work done (not loss of profit), holding that the latter was based on estimates lacking evidence.
What did the court decide?
Costs reduced to Rs. 20 lakhs. Interest on work done amount payable from date of claim at 12% p.a. Interest on loss of profit payable only from date of award at 12% p.a. Rate from award to payment rem