M/s. Motilal Agarwala vs. State of West Bengal & Anr. [2025 INSC 1062]

Delivery of award to authorised representative not connected with arbitration does not amount to valid service

RELEVANT PARAGRAPH

12. Having heard the learned counsel appearing for the parties and having gone through the materials on record, the only question that falls for our consideration is whether the delivery of the true/xerox copy of the Arbitral Award duly signed by the Arbitrator to an authorised representative of the State on 12.11.2013 would constitute delivery upon the respondent herein in accordance with Section 31(5) of the Act 1996?

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21. What exactly constitutes a “party”, in the context of Government, has been interpreted by this Court in Union of India vs. Tecco Trichy Engineers & Contractors, reported in (2005) 4 SCC 239. In the said decision, this Court held that in order to constitute an effective service, a copy of an award, where such party is the Ministry of a particular Department, is to be delivered to a person who has the knowledge and is the best person to understand and appreciate an award and more particularly, to take decision for its challenge. We are of the view that the authorised representative of the State could not have taken the final decision to challenge the award. It is only the Secretary of the concerned Department or the Executive Engineer, who could be said to be the competent authority to take a decision as to whether the award could be challenged or not.

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