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Supreme Court of India 2023-10-10 disposed

LIMITED vs ROYAL CONSTRUCTION

Bench: 2 — Aniruddha Bose, Vikram Nath

In Brief

National Projects Construction Corporation Limited (NPCCL) and Royal Construction Company Private Limited (RCCPL) disputed an arbitrator's award of Iraqi Dinars for earthwork in Iraq. The award specified conversion only to US Dollars as per their 1982 agreement, which contained no provision for Indian Rupee payment. The High Court referred the question of when to convert USD to INR to the Supreme Court. The Court held that since the agreement and award stipulated foreign currency payment only, no conversion to Indian Rupees was required or permitted. Payment must be in foreign currency; the parties may voluntarily agree to accept rupees, but courts cannot alter the award's terms. Both appeals were disposed of accordingly.

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Arbitration International Commercial Contracts Currency Conversion Enforcement of Awards

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