Disposed¶23

M/S Kbg Engineers v. Delhi Tourism and Transportation Development Corporation Ltd.

Delhi HC12 Feb 2025O.M.P.(MISC.)(COMM.)/141/2025

Case brief

AI extract

What is this about?

Arbitration mandate extension after expiry under S.29A(4)&(5) A&C Act 1996; Delhi HC order 12.02.2025 (Subramonium Prasad J) in O.M.P.(MISC.)(COMM.) 140/2025 & 141/2025, KBG Engineers v. Delhi Tourism and Transportation Development Corporation Ltd; relies on Rohan Builders (India) Pvt. Ltd. v. Berger Paints India Ltd., 2024 SCC OnLine SC 2494; mandate extended till 31.10.2025 with effect from 01.02.2025; petitions disposed.

What did the court decide?

Extension of the mandate of the Arbitral Tribunal till 31.10.2025 with effect from 01.02.2025; exemption applications allowed subject to all just exceptions; petitions disposed of along with pending applications. ¶23

M/S Kbg Engineers Vs Delhi Tourism and Transportation Development… — Arbitration | Delhi HC (2025)

What the court decided

AI extract

Outcome

¶23

Issue for consideration

Whether the mandate of the Arbitral Tribunal (Sole Arbitrator) should be extended under Section 29A(4) & (5) of the Arbitration & Conciliation Act, 1996 so that the arbitrator can complete the arbitration and pronounce the award. +1 more

¶18

Court's answer

As the matter was at an advanced stage, the Court extended the mandate of the Arbitral Tribunal till 31.10.2025 with effect from 01.02.2025 so that the award could be pronounced without any further extension.

¶22

Ratio / Principle

Although the previously extended mandate had lapsed on 31.01.2025, the Court granted a fresh extension commencing 01.02.2025, thereby treating the out-of-time application as maintainable in line with the Apex Court ruling it cites in Rohan Builders (India) Private Limited v. Berger Paints India Limited.

¶22

Key takeaways

The exemption applications I.A. 3641/2025 (in O.M.P.(MISC.)(COMM.) 140/2025) and I.A. 3642/2025 (in O.M.P.(MISC.)(COMM.) 141/2025) were allowed subject to all just exceptions.ratio¶15

Detailed headnote1 paragraphs

Delhi High Court (Subramonium Prasad, J.), order dated 12.02.2025 disposing O.M.P.(MISC.)(COMM.) 140/2025 and 141/2025 filed by M/s KBG Engineers against Delhi Tourism and Transportation Development Corporation Ltd under Section 29A(4) & (5) of the Arbitration & Conciliation Act, 1996 for extension of the mandate of the Sole Arbitrator, Mr. Satyam Thareja, Advocate (appointed 28.07.2022 in ARB.P. 577/2022; mandate extended by mutual consent till 31.07.2024 and by order dated 02.08.2024 till 31.01.2025), the matter being at the final-hearing stage. Relying on the Apex Court ruling in Rohan Builders (India) Private Limited v. Berger Paints India Limited, 2024 SCC OnLine SC 2494, that Section 29A(4)/(5) extension applications remain maintainable even after expiry of the statutory period, the Court extended the mandate till 31.10.2025 with effect from 01.02.2025 so that the award could be pronounced without further extension; exemption applications (I.A. 3641/2025, I.A. 3642/2025) were allowed subject to just exceptions.

¶1

$~48, 49

¶2

IN THE HIGH COURT OF DELHI AT NEW DELHI

¶3

- O.M.P.(MISC.)(COMM.) 140/2025 M/S KBG ENGINEERS .....Petitioner

¶4

Through: Mr. Avinash Trivedi, Mr. Rahul Aggarwal, Advs.

¶5

versus

¶6

DELHI TOURISM AND TRANSPORTATION DEVELOPMENT CORPORATION LTD .....Respondent Through: Mr. Mayank Bamniyal, Advocate.

¶7

- O.M.P.(MISC.)(COMM.) 141/2025

¶8

M/S KBG ENGINEERS .....Petitioner

¶9

Through: Mr. Avinash Trivedi, Mr. Rahul Aggarwal, Advs.

¶10

versus

¶11

DELHI TOURISM AND TRANSPORTATION DEVELOPMENT CORPORATION LTD .....Respondent Through: Mr. Mayank Bamniyal, Advocate.

¶12

CORAM: HON'BLE MR. JUSTICE SUBRAMONIUM PRASAD

¶13

O R D E R % 12.02.2025 I.A. 3641/2025 (Exemption) in O.M.P.(MISC.)(COMM.) 140/2025

¶14

I.A. 3642/2025 (Exemption) in O.M.P.(MISC.)(COMM.) 141/2025

¶15

Allowed, subject to all just exceptions.

¶16

O.M.P.(MISC.)(COMM.) 140/2025

¶17

O.M.P.(MISC.)(COMM.) 141/2025

¶18

These petitions under Section 29A (4) & (5) of the Arbitration & Conciliation Act, 1996 has been filed seeking extension of mandate of the Arbitral Tribunal for making the arbitral award.

¶19

This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 19/02/2025 at 12:08:54

¶20

Material on record discloses that vide Order dated 28.07.2022 this Court in ARB.P. 577/2022 appointed Mr. Satyam Thareja, Advocate, as the Sole Arbitrator to adjudicate on the disputes between the parties. By mutual consent, the mandate of the Tribunal was extended till 31.07.2024. The mandate of the learned Arbitrator was further extended till 31.01.2025 by this Court vide Order dated 02.08.2024. It is stated that the matter is at the stage of final hearing. The Petitioner has, therefore, approached this Court for extension of time for making the award.

¶21

The Apex Court in Rohan Builders (India) Private Limited v. Berger Paints India Limited, 2024 SCC OnLine SC 2494, has held that an application for extension of the time period for passing an arbitral award under Section 29A(4) read with Section 29A(5) is maintainable even after the expiry of the twelve-month or the extended six-month period, as the case may be.

¶22

In view of the fact that the matter is at the advance stage, this Court is inclined to extend the mandate of the Arbitral Tribunal till 31.10.2025 with effect from 01.02.2025 so that the Award can be pronounced and no further extension of time would be required by the Tribunal.

¶23

The petitions are disposed of along with the pending applications, if any.

¶24

SUBRAMONIUM PRASAD, J

¶25

FEBRUARY 12, 2025 Rahul

¶26

M/S Kbg Engineers v. Delhi Tourism and Transportation Development Corporation Ltd.

Case brief

What is this about?

What did the court decide?

M/S Kbg Engineers v. Delhi Tourism and Transportation Development Corporation Ltd.

Case brief

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What did the court decide?

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What the court decided

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