Supreme Court of India
Union of India v. M/s. Krafters Engineering & Leasing (p) Ltd.
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.
6 Supreme Court benches have cited this judgment.
What the Court ordered
For the aforesaid reasons, we set aside the award of the arbitrator granting interest in respect of the amount payable to the contractor under the contract as well as the order of the learned Single Judge and the Division Bench of the High Court E confirming the same.
Judgment, page 16
From the headnote
Arbitration Act, 1940 - Jurisdiction of arbitrator to award interest when contract prohibits it - Held: In such a case, arbitrator cannot award interest for the amount payable to the contractor under the contract - However, where there is no prohibition as regards the grant of interest, arbitrator has the power to award interest pendente lite - On facts, the bar under clause 1.15 of the General Conditions of the Contract between o the parties prohibiting payment of interest on amount payable to contractor under the contract, is absolute and interest cannot · be awarded without rewriting the
Authorities it was built on
- 1991 Secretary, Irrigation Department, Government of Orissa and Ors. Etc. Etc. v. G. C. Roy Etc. Etc.
- 2001 Executive Engineer, Dhenkanal Minor Irrigation Division, Orissa, Etc. Etc. v. N.C. Budharaj (dead) by Lrs. Etc. Etc.
- 2010 Sree Kamatchi Amman Constructions v. The Divisional Railway Manager (works), Palghat & Ors.
- 2009 Sayeed Ahmed & Co. v. State of Up & Ors.
- 1995 The Board of Trustees for the Port of Calcutta v. Engineers-de-space-age
- 2009 M/s. Madnani Construction Corporation (p) Ltd v. Union of India & Others
- 2009 Union of India v. Saraswat Trading Agency & Ors.
Where later benches applied it
- 2012 Tehri Hydro Dev. Corpn. Ltd.& Anr. v. Jai Prakash Asso. Ltd.
- 2025 M/s Ferro Concrete Construction (india) Pvt. Ltd. v. The State of Rajasthan
- 2024 Pam Developments Private Limited v. The State of West Bengal & Anr.
- 2018 Reliance Cellulose Products Ltd. v. Oil and Natural Gas Corporation Ltd.
- 2014 Union of India v. M/s. Concrete Products & Const. Co. Etc.
- 2016 Union of India v. M/s. Amblca Construction
Of those, 1 relied on · 4 referred to · 1 mentioned
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