Case Law Analysis
|Bombay High Court
Section 34 Arbitration Act | No Additional Compensation for Work Within Tender Scope, Even Under Extended Timeline or Without-Prejudice Offer : Bombay HC
The Bombay High Court upholds that hydro testing, air pressure checks, and repairs performed under a pipeline contract were fully encompassed by the original tender scope, rejecting claims for extra payment despite prolonged timelines and a without-prejudice settlement offer. This clarifies that contractors cannot seek incremental compensation merely because discovery of defects required more intensive methods - a critical precedent for infrastructure and energy sector contracts.