Arbitration – Collaboration & Tripartite Agreements with Veritable Party
The High Court rejected Section 11 petition of the appellant – Collaborator for arbitration for want of privity of contract.
The crux lies in the bid document providing for qualification requirements for bidders and provides for eligibility through collaborations.
The respondent no.2 contractor had collaboration with the appellant Collaborator for design, supply of certain equipment / materials and successful operation vide their Deed of Joint Undertaking dated 22.2.2010 executed in favour of the Employer.
When the contractor went into liquidation, the respondent no.2 called upon the collaborator for performance of the contractor as per DJU. Not only that but the subsequent tripartite agreement dated 5.4.2016 between the respondent no.1, respondent no.2 and the appellant provided for payments directly to the Collaborator.
This is how the appellant – Collaborator had become inseparable part of the contract and its execution as also veritable party to the arbitration clause between the respondent nos.1 and 2.
Moreover, section 21 notice of the employer specifically invoked arbitration on the basis of the DJU and joint & several responsibilities of the contractor and collaborator to complete the project.
Comments on the post of Anoop Kumar and the Judgment dated 8.5.2026 of the Supreme Court of India in SLP (Civil) No.33128 of 2025 of Elecon Engineering Company Limited Vs. Bhartiya Rail Bijlee Company Limited and others
