Law:

Section:

Constitution of Pakistan (1973)-- Art. 185 (3) Examination of points argued Need for Contract of construction work between parties providing for reference to arbitration disputes "arising out of or relating to the contract ¬Certain deviations made entailing work outside agreed specification wherefore petitioner declining to pay extra payment Dispute referred to arbitration Petitioner's objection overruled and award made rule of Court Petitioner seeking leave to appeal on two points (i) disputed extra items not covered by schedule and could not be referred to arbitrator. (ii) assuming extra items covered by arbitration clause, , costs for extra items should have been on scheduled rates and not on special rates Held, points argued need examination, leave granted. JUDGMENT MUHAMMAD GUL, J. The petitioner and the respondent herein entered into an agreement in writing on 28th January, 1960 by which the latter undertook certain construction work in connection with the Fouji Sugar Mill at Tando Mohammad Khan at a total cost of Rs. 1,75,000. The contract provided for reference to arbitration in the event of an disputes between the parties "arising out of or relating to the contract". The construction work was to be carried out according to the specifications in schedule attached to the agreement. It appears however, that in the course of the execution of the contract, certain deviations were made which entailed work outside the agreed specifications for which the respondent claimed extra payment, but which the petitioner declined to pay under the arbitration clause, the dispute was initially referred to Mr. Riazul Haq as the sole arbitrator who on 12th September, 1966 gave an award for Rs.…

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