https://www.taxtmi.com/caselaws?id=756029 Section 74 of the Indian Contract Act, 1872 does not permit compensation for liquidated damages unless legal injury or loss is shown. In a dispute over delayed delivery of transformers, the arbitral tribunal found that only a small portion of supplies was delayed, the employer had not proved any loss, and timely delivery had ceased to be of essence. The Delhi High Court declined interference with the arbitral award and the Section 34 order, holding that liquidated damages operate only as an upper limit on reasonable compensation and that a new factual basis raised without pleadings could not be entertained. The refund claim was therefore sustained. en-us Mon, 26 Feb 2024 00:00:00 +0530 Fri, 26 Jul 2024 09:06:26 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=756029 Section 74 of the Indian Contract Act, 1872 does not permit compensation for liquidated damages unless legal injury or loss is shown. In a dispute over delayed delivery of transformers, the arbitral tribunal found that only a small portion of supplies was delayed, the employer had not proved any loss, and timely delivery had ceased to be of essence. The Delhi High Court declined interference with the arbitral award and the Section 34 order, holding that liquidated damages operate only as an upper limit on reasonable compensation and that a new factual basis raised without pleadings could not be entertained. The refund claim was therefore sustained. Case-Laws Indian Laws Mon, 26 Feb 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=756029