Supreme Court of India

Food Corporation of India v. M/s. Chandu Construction and Anr.

Neutral citation
Reported as [2007] 4 S.C.R. 1160
Bench T Arun Cha Iterjee and D.K. Jain JJ.
Decided 10 April 2007

INSC stands for INDIAN SUPREME COURT. A neutral citation scheme assigned by the Court itself, so a judgment can be cited without depending on a commercial law reporter. INSC is the neutral citation scheme assigned by the Supreme Court, so a judgment can be cited without depending on a commercial law reporter.

What the Court ordered

We are of the view that the arbitrator was not justified in ignoring the express terms of the contract merely on the ground that in another contract for a similar work, extra payment for material was provided for.

Judgment, page 10

From the headnote

I Arbitration Act, 1940-s. 30-Power of Court to set aside award given by arbitrator-Held: Court can interfere with award when arbitrator misconducted himself or the proceedings-On facts, arbitrator disregarded the agreement between the parties ignoring the clear stipulation in the contract-In the process, the arbitrator misdirected and misconducted himself-Thus, award on the face of it being beyond his jurisdiction is illegal, and is set aside. s. 3()_ (a)-'Misconduct by arbitrator-Connotation of-Held: "Misconduct" also comprehends or includes actions by arbitrator which on the face of award

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