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Supreme Court of India 2021-09-06 allowed

Union of India & Ors vs Puna Hinda

Bench: 3 — Hemant Gupta

In Brief

A road construction contractor claimed Rs 31.57 crore for unpaid work under a contract with the Union of India for a road project in Arunachal Pradesh. The High Court allowed the contractor's writ petition, directing payment based on a Joint Survey Report. The Supreme Court held that purely contractual disputes with no public law character cannot be adjudicated by writ courts when the contract contains an agreed dispute resolution mechanism. The Court found no express acceptance of the survey report by competent authority. The passage of time does not crystallize payment rights; such disputes must be resolved through the contractual forum (arbitration), not by writ courts, as they lack technical expertise in measurements and construction matters. Appeal allowed and writ petition dismissed.

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Contract Law Public Law Writ Jurisdiction Arbitration Government Contracts Civil Procedure

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