Bombay HC Upholds Award of Morya Infrastructure in Road Development BOT Contract Dispute & Toll Collection
The respondent was given the tender work of improvement and development of the road under BOT scheme with the concession period of 13 years and 6 months.
The work was completed on 24.5.2004 and the respondent was permitted to collect toll from 1.7.2004 to 30.6.2016 with the obligation to maintain the road.
Clause 3.4.17 provide for the settlement of disputes by the panel of three Arbitrators.
On 30.6.2014, the notice to stop toll collection was issued.
On 26.6.2014 the appellant settled the claim for Rs.67.79 lakhs and paid the said amount to the respondent by way of buy back price.
On 30.6.2014, the respondent issued notice of arbitration under Clause 3.4.17 of the agreement. However, there was no response. The High Court appointed the Sole Arbitrator.
The Arbitral Award for Rs.596.60 lakhs with @12.10% per annum interest was passed.
The Commercial Court dismissed section 34 petition of the appellant.
Judgment dated 31.1.2026 of the High Court of Bombay, Bench at Aurangabad, in Commercial Arbitration Appeal No.1 of 2023 of State of Maharashtra Vs. Morya Infrastructure Pvt Ltd Beed.

