UP STATE ELECTRICITY BOARD versus SEARSOLE CHEMICALS LTD.
Since the arbitrators considered all relevant materials and applied their mind, the award cannot be said to exceed the contract and should not be reopened in appellate proceedings; the view taken by the arbitrators prevails where two views are possible.
- Parties
- Appellant: U.P. State Electricity Board; Respondent: Searsole Chemicals Ltd.
- Jurisdiction
- India
- Judgment Date
- 21 February 2001
- Procedural Posture
- Civil Appeal / Supreme Court Appeal Against High Court Judgment
- Outcome
- Appeal dismissed
- Legal Topics
- Interference With Arbitral Award, Supply of Electricity, Compensation for Power Interruption, Contractual Liability and Provisos
Case Brief
Summary, issues, holding and outcome
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Parties
U.P. State Electricity Board
Appellant
Searsole Chemicals Ltd.
Respondent
Procedural Posture
Civil Appeal / Supreme Court Appeal Against High Court Judgment
Legal Issues
- 1 Whether the arbitral award granting refund and compensation for interruption in power supply is within the scope of the agreement
- 2 Whether damages are excluded under the proviso in clause 1 of the agreement in the circumstances pleaded
- 3 Whether High Court and Supreme Court should interfere with the award
Ratio Decidendi
Since the arbitrators considered all relevant materials and applied their mind, the award cannot be said to exceed the contract and should not be reopened in appellate proceedings; the view taken by the arbitrators prevails where two views are possible.
Court Disposition
Appeal dismissed
Orders
- Appeal stands dismissed
- Parties to bear their own costs
Full Case Text
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