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Arbitral awards on prolongation costs, GST reimbursement,...

Arbitral award review under Section 34 stays narrow where delay, GST, wage escalation and ECC findings rest on a plausible contractual view.

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Indian Laws May 15, 2026 Case Laws HC
Arbitral awards on prolongation costs, GST reimbursement, minimum-wage escalation, Environmental Compensation Charges and taxes were upheld under Section 34 because the tribunal had adopted a plausible view on the contract, delay attribution and quantification of damages. The court treated the prolongation-cost methodology as a permissible estimate based on record and industry practice, and refused re-appreciation of evidence. It also sustained reimbursement for GST introduced during the extended period, held that a minimum-wage escalation bar could not defeat compensation for employer-caused delay, and accepted ECC as an additional charge not clearly barred by the exclusion clause. The majority award was treated as binding, and no patent illegality or perversity was shown.

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Acts Income Tax