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2009 (2) TMI 229 - HC - CustomsArbitration award - Interpretation of contractual terms - Held that:- The parties clearly understood that the benefit of reduction in customs duty on the additional 32 units would be to the respondent' account. It is obvious that the parties were aware of the fact that the customs duty on the additional 32 units would be lower than the units agreed to be supplied under the earlier contract otherwise it was illogical for the respondent's to have offered a lower unit price of ₹ 20,45,000/- per CFT with the condition that the price variation clause on account of customs duty shall not be applied. In our view, the learned Single Judge has rightly affirmed the award of the arbitrator on the above grounds. The arbitrator, in our view, had correctly analyzed the terms of the contract and, therefore, we see no reason to interfere with the judgment of the learned Single Judge dated 23rd March 1998 and the award dated 24th November 1995. Accordingly, the appeal is dismissed.The Registry is directed to release the bank guarantee furnished by the respondent, not later than six weeks from the date of the filing of the application moved for this purpose by the respondent.
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