Arbitral award against a sub-contractor was upheld with interest from date of award till payment under Section 31(7)(b); the commercial appeal challenging that direction was dismissed.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
IN THE HIGH COURT OF KARNATAKA AT BENGALURU
DATED THIS THE 5TH DAY OF FEBRUARY, 2024
PRESENT
THE HON'BLE MR. P.S. DINESH KUMAR, CHIEF JUSTICE
AND
THE HON'BLE MR. JUSTICE T.G. SHIVASHANKARE GOWDA
COMMERCIAL APPEAL NO.108 OF 2021 (AA)
BETWEEN:
Digitally signed by ANUSHA V Location: HIGH COURT OF KARNATAKA
M/S. EDUCATIONAL CONSULTANTS INDIA LTD, (A GOVT. OF INDIA ENTERPRISE) 18-A, SECTOR 16-A NOIDA-201 301, U.P REPRESENTED BY ITS DEPUTY MANAGER (PROJECTS) …APPELLANT
(BY SHRI. S. KRISHNASWAMY, ADVOCATE)
AND:
(BY SHRI. Y.N. PRAKASH, ADVOCATE FOR SHRI. Y.K. NARAYANA SHARMA, ADVOCATE FOR C/R1)
THIS COMMERCIAL APPEAL IS FILED UNDER SECTION 13(1A) OF THE COMMERCIAL COURT ACT, 2015 R/W SECTION 37 OF THE ARBITRATION AND CONCILIATION ACT, PRAYING TO SET ASIDE THE JUDGMENT AND DECREE DATED 22.06.2019 PASSED BY THE LXXXII ADDL. CITY CIVIL AND SESSIONS
NC: 2024:KHC:4850-DB COMAP No. 108 of 2021
JUDGE, BENGALURU DISMISSING THE COM.A.S. NO.05/2009 FILED THE APPELLANT CONFIRMING THE AWARD OF THE LEARNED ARBITRATOR, BY ALLOWING THE APPEAL AND DISMISSING THE AWARD PASSED BY THE 2ND RESPONDENT ARBITRATOR AND GRANT SUCH OTHER RELIEFS IN THE INTEREST OF EQUITY AND JUSTICE.
THIS COMMERCIAL APPEAL, COMING ON FOR ORDERS , THIS DAY, CHIEF JUSTICE , DELIVERED THE FOLLOWING:
JUDGMENT
This commercial appeal by appellant in COM.AS.No.5/2009 is directed against the judgment and decree dated June 22, 2019 passed by LXXXII Additional City Civil and Sessions Judge, Bengaluru.
NC: 2024:KHC:4850-DB COMAP No. 108 of 2021
the date of award till the date of payment. After contest, the said application was allowed and additional award passed. Appellant challenged the entire award before the Commercial Court under Section 34 of the Arbitration and Conciliation Act, 19961 . By the impugned judgment, Commercial Court has dismissed the petition. Hence, this appeal.
1 ‘the Act’ for short
2 AIRONLINE 2023 ALL 443 (para 10)
NC: 2024:KHC:4850-DB COMAP No. 108 of 2021
perused records.
is that it has no grievance with regard to the award taken exemption with regard to the payment of interest from the date of award till the date of payment.
“31. Form and contents of arbitral award.
(1) xxx (2) xxx (3) xxx (4) xxx (5) xxx (6) xxx (7) xxx (a) xxx (b) A sum directed to be paid by an arbitral award shall, unless the award otherwise directs, carry interest at the rate of two per cent higher than the current rate of interest prevalent on the date of award, from the date of award to the date of payment.”
interest. In that view of the matter, the solitary contention
NC: 2024:KHC:4850-DB COMAP No. 108 of 2021
urged by the appellant does not merit consideration and other contentions are not relevant for adjudication of this appeal.
deposited before this court.
No costs.
Sd/-
CHIEF JUSTICE
Sd/-
JUDGE
AV
List No.: 1 Sl No.: 33
1 issue framed by the court
Whether interest could be awarded from the date of award till date of payment under Section 31(7)(b) of the Arbitration and Conciliation Act.
Colour shows how this judgement treated each authority
Bundel Khand Engineering Works Vs. Mahendra Singh ArbitratorRelied on
AIRONLINE 2023 ALL 443 (para 10)
4 provisions across 2 enactments
M/S. Educational Consultants India Ltd
M/S. Vinyasa Engineers Pvt. Ltd.
Sri. P. Ravindranathan (Arbitrator)
P.S. Dinesh Kumar
T.G. Shivashankare Gowda
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
