Arbitration award passed rejecting the duly filed counter claim is set aside

Chennai Water Desalination Ltd Vs Chennai Metropolitan Water Supply and Sewerage Board (Madras High Court)

Held that impugned award set aside as the same was passed rejecting the counter claim, which was duly filed within the time limit, as being time barred.

Facts-

A contract was entered into between the petitioner (contractor) and the respondent. After certain disputes arose between the parties, the petitioner invoked the Arbitration Clause and the disputes were referred to arbitration. The Arbitral Tribunal passed an award rejecting the claims made by the respondent, including a claim for Liquidated Damages, on the ground that they were time barred. Further, the counter claims made by the petitioner were also rejected by the Tribunal as being barred by limitation. The petitioner challenged the arbitral award before the Madras HC u/s. 34 of the Arbitration and Conciliation Act, 1996 (A&C Act), on the ground that the counter claims made by it were not barred by limitation.

Conclusion-

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