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1999 (1) TMI 542

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..... Mayurbhanj. Relevant parts of Clauses 11 and 23 of the agreement provide as follows : II. The Engineer-in- Chief shall have power to make any alterations or addition to the original specifications, drawings, designs and instructions that may appear to him to be necessary or advisable during the progress of the work, and the contractor shall be bound to carry out the work, in accordance with any instructions which may be given to him in writing signed by the Engineer-in-Charge, and such alteration shall not invalidate the contract and any additional work which the contractor may be directed to do in the manner above specified as part of the work, shall be carried out by the contractor on the same conditions in all respects on which he agr .....

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..... te Public Works Department unconnected with the work at any stage nominated by the Chief Engineer concerned. If there be no such Superintending Engineer, it should be refereed to the sole arbitration of Chief Engineer concerned. It will be no objection to any such appointment that the arbitrator so appointed is a government servant. The award of the arbitrator so appointed shall be final, conclusive and binding on all parties to this Contract. 2. The disputes which arose between the parties were referred to arbitration. The arbitrator gave his award on 25-6-1980. A decree in terms of this award was passed by the Court after rejecting the objections raised by the Appellants. This decision has been confirmed by the High Court in appeal. .....

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..... r provides that if the contractor commences such additional work or incurs any expenditure in respect of it before the rate are determined as specified in that clause, then the rate or rates shall be as fixed by the Engineer-in-Charge. In the event of a dispute, the decision of the Superintendent Engineer of the circle will be final. Under Clause 23, except as otherwise provided in the contract, all disputes are arbitrable as set out in that clause. The finality of rates, therefore, under Clause 11 is a provision to the contrary in the contract which is excluded from Clause 23. 5. This Court in the case of Prabartak Commercial Corporation Ltd. v. Chief Administrator Dandakaranya Project AIR 1991 SC 957 considered the interrelationship be .....

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