APHC010598232024 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI ARBITRATION APPLICATION NO: 4 of 2025 Bench Sr.No:-33 [3441] A. Chennarao Reddy ...Applicant Vs. Directorate Of Contract Management and Others ...Respondent(s) ********** Advocate for Applicant: Mr. B. S. Reddy Advocate for Respondents: Mr. O. Udaya Kumar CORAM :THE CHIEF JUSTICE DHIRAJ SINGH THAKUR DATE : 23rd January 2026 P C : The present application has been filed under Section 11 of the Arbitration and Conciliation Act, 1996 (hereinafter referred to as “the Act”) for appointment of an Arbitrator to adjudicate upon the disputes arising out of and in connection with Work Order, dated 05.01.2012. 2. The petitioner claims that although some amount has been received on account of execution of works as per the Work Order supra, yet the payments were received in protest and some amounts are due details whereof mentioned elaborately in the arbitration application. It is stated that disputes have arisen between the parties on account of non-payment of the amount due, the same are required to be resolved through the mechanism of arbitration. 2 HCJ Arb_appl_4_2025 3. Clause 70 of the General Conditions of Contract (GCC) deals with the issue of arbitration, which reads thus: “70. Arbitration: All disputes, between the parties to the Contract (other than those for which the decision of the C.W.E. or any other person is by the Contract expressed to be final and binding) shall, after written notice by either party to the Contract to the other of them, be referred to the sole arbitration of an Engineer officer to be appointed by the authority mentioned in the tender documents. Unless both parties agree in writing such reference shall not take place until after the completion or alleged completion of the Work or termination or determination of the Contract under Condition Nos.55, 56 and 57 hereof. Provided that in the event of abandonment of the Works or cancellation of the Contract under Condition Nos. 52, 53, or 54 hereof, such reference shall not take place until alternative arrangements have been finalized by the Government to get the Works completed by or through any other Contractor or Contractors or Agency or Agencies. ..” Although clause 70 of the GCC envisages appointment of a sole Arbitrator by the authority mentioned in the tender document, yet the said clause cannot be permitted to be given effect to in terms of the ratio of the judgment of the Apex Court in Perkins Eastman Architects DPC vs. HSCC (India) Limited1. 4. It is not out of place here to mention that the applicant vide communication, dated 20.12.2024, waived the applicability of Section 12(5) of the Act of 1996 and gave liberty to the Department to appoint an Arbitrator from its panel/extended panel as it deemed fit. Despite such a waiver, no arbitrator was appointed and hence the present application. 1 (2020) 20 SCC 760 3 HCJ Arb_appl_4_2025 5. Objections have not been filed despite repeated opportunities granted to the non-applicant in this regard. Be that as it may, the disputes having arisen between the parties, the same are required to be resolved through the mechanism of arbitration. 6. The Arbitration Application is, accordingly, allowed. Justice Dr. V. R. K. Krupa Sagar, former Judge of the High Court of Andhra Pradesh, is appointed as an Arbitrator, who shall enter upon the reference and render the Award within the statutory period. The parties shall be free to file detailed claims and counter-claims, before the learned Arbitrator. The learned Arbitrator shall also be entitled to claim the fee in consultation with the parties. Pending miscellaneous applications, if any, shall stand closed. No costs. A copy of this order be communicated to the learned Arbitrator on the address mentioned herein below: Justice Dr. V. R. K. Krupa Sagar, D.No.4-5-3/5, Chaitanya School backside, Navabharath Nagar, IV Line, First Cross Road, Ring Road, Guntur. Ph. No. 9848764234 DHIRAJ SINGH THAKUR, CJ akn 4 HCJ Arb_appl_4_2025 HON’BLE MR.JUSTICE DHIRAJ SINGH THAKUR, CHIEF JUSTICE Arbitration Application No: 4 of 2025 DATE : 23.01.2026 AKN 111