TMI Blog2008 (8) TMI 798X X X X Extracts X X X X X X X X Extracts X X X X ..... us First Appeal No.717 of 2004 whereby and whereunder the objection filed by the appellant herein under Section 34 of the Act was held to be barred by limitation. 3. Bereft of all unnecessary details, the fact of the matter is as under : The parties hereto entered into a contract of construction of an indoor stadium on or about 21.5.1993. The said contract contained a clause pertaining to resolution of dispute between the parties by the Superintending Engineer, PWD, Gulbarga contained in clause 30 of the contract, which reads as under : The decision of the Superintending Engineer of the Gulbarga Circle for the time being shall be final, conclusive, and binding on all parties to the contract upon all questions relating to the meaning of the specifications, designs, drawings and instructions herein before mentioned and as to the quality of workmanship or material used on the work, or as to any other question, claim, right, matter, or thing whatsoever, in any way arising out of, or relating to the contract, esigns, drawings, specifications, estimates, instructions, orders or those conditions or otherwise concerning the works or the execution, or, failure to execute the same, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed person in the dispute raised by the parties to the agreement. The matters which are specified under clauses 23 and 24 in Bharat Bhushan Bansal case were necessarily not required to arise out of the contract, but merely claims arising during performance of the contract. Clause 30 of the agreement in the present case did provide for resolution of the dispute arising out of the contract by the Superintending Engineer, Gulbarga Circle, Gulbarga. For that reason, the case relied upon by the learned counsel for the respondent is distinguishable. 16. Once clause 30 is constituted to be a valid arbitration agreement, it would necessarily follow that the decision of the arbitrator named therein would be rendered only upon allowing the parties to adduce evidence in support of their respective claims and counter-claims as also upon hearing the parties to the dispute. For the purpose of constituting the valid arbitration agreement, it is not necessary that the conditions as regards adduction of evidence by the parties or giving an opportunity of hearing to them must specifically be mentioned therein. Such conditions, it is trite, are implicit in the decision-making process in the arbitra ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the impugned judgment, stating : The learned counsel for the respondent has drawn our attention to the decision reported in AIR 2001 SC 4010 in the case of UNION OF INDIA v. M/S POPULKAR CONSTRUCTIONS COMPANY. In the said decision, the Apex Court has clearly laid down that the provisions of Section 5 of Limitation Act are not applicable to an application filed challenging the award under Section 34 and as such there was no scope for assessing sufficiency of the cause for the delay beyond and period prescribed in the proviso to Section 34. In the light of this judgment and in the facts and circumstances of the case as adverted to above, we are of the clear view that the petition filed before the Court below under Section 34 was clearly barred by time and the findings arrived at and conclusions reached by the Court below while dismissing the petition on the ground, does not call for any interference as it does not suffer from any infirmity in law. Dr. M.P. Raju, learned counsel appearing on behalf of the appellant, would contend that the earlier decision of this Court in Union of India v. M/s. Popular Constructions Company [AIR 2001 SC 4010], whereupon reliance has been pl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ments are overlapping each other on the same area then the courts should be cautious in interpreting those provisions. It should not exceed the limit provided by the statute. The extent of exclusion is, however, really a question of construction of each particular statute and general principles applicable are subordinate to the actual words used by legislature. Referring to Popular Construction (supra) and National Aluminimum Co. Ltd. v. Pressteel Fabrications (P) Ltd. [(2004 (1) SCC 540], it was held : 25. Therefore, in the present context also it is very clear to us that there are no two opinions in the matter that the Arbitration and Conciliation Act, 1996 does not expressly exclude the applicability of Section 14 of the Limitation Act. The prohibitory provision has to be construed strictly. It is true that the Arbitration and Conciliation Act, 1996 intended to expedite commercial issues expeditiously. It is also clear in the Statement of Objects and Reasons that in order to recognise economic reforms the settlement of both domestic and international commercial disputes should be disposed of quickly so that the country s economic progress be expedited. The Statement of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Gwalior be transferred to the Bombay High Court. The application will be decided on merits expeditiously. Parties are at liberty to urge all the contentions before that Court. There cannot be any doubt whatsoever that in terms of sub-section (2) of Section 34 of the Act, an arbitral award may be set aside only if one of the conditions specified therein is satisfied. Sub-section (3) of Section 34 provides for the period of limitation within which an application under Section 34 of the Act is to be filed. The proviso appended thereto empowers the court to entertain an application despite expiry of the period of limitation specified therein, namely, three months. No provision, however, exists as regards application of Section 14 of the Limitation Act. This Court, as noticed hereinbefore in Western Builders opined that sub-section (2) of Section 29 thereof would apply to an arbitration proceedings and consequently Section 14 of the Limitation Act would also be applicable. We are bound by the said decision. Once it is held that the provisions of Section 14 of the Limitation Act, 1963 would apply, it must be held that the learned Trial Judge as also the High Court has committed an er ..... X X X X Extracts X X X X X X X X Extracts X X X X
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