After Nearly 19 Years Of Dwarka Contract Work, Delhi HC Orders Nagaland PWD To Preserve Records And Give Contractor Copies

In brief

The question

Whether the Court should direct preservation of the contractual records relevant to the parties’ disputes pending arbitration.

The court held

The Court directed the Respondents to preserve all relevant measurement books, running account bills, payment records, “leisure extracts,” final measurements and other contractual documents, and not to alter, destroy or tamper with them.

It also directed

The Respondents were also directed to permit inspection and furnish copies within four weeks.

The Court expressed no opinion on the parties’ disputes and left all rights and contentions open for the Arbitral Tribunal; the petition was disposed of accordingly.

01Facts

The Petitioner was awarded a contract on 3 August 2007 for construction of staff quarters at Dwarka, New Delhi.

p. 1

Although the stipulated completion period was 18 months, the work allegedly continued for approximately 19 years due to delays attributable to the Respondents

p. 1

A Closure-cum-Financial Settlement Agreement was executed on 23 March 2026; the Petitioner alleged it was obtained under economic duress and without reconciliation of accounts.

pp. 1–2

The Petitioner further alleged that the Respondents refused to provide relevant records, relying on the agreement.

p. 1

The Petitioner sought preservation and production of contractual records under Section 9 of the Arbitration and Conciliation Act, 1996, read with Section 151 of the Code of Civil Procedure, 1908.

p. 1

The Petitioner disputed receipt of the full settlement amount, while the agreement provided that mutual release and discharge would take effect only upon full payment.

p. 3

02Issues

i.Whether the Court should direct preservation of the contractual records relevant to the parties’ disputes pending arbitration.

p. 1, 3

ii.Whether the Court should determine the validity of the Closure Agreement or the Petitioner’s monetary claims in this Section 9 petition.

p. 3

03Law Applied

The petition was brought under Section 9 of the Arbitration and Conciliation Act, 1996, read with Section 151 of the Code of Civil Procedure, 1908.

p. 1

The Court applied the principle that interim measures may be granted to preserve relevant material and safeguard the efficacy of arbitral proceedings; disputes concerning the validity of the settlement agreement and the parties’ monetary claims were left for determination by the Arbitral Tribunal.

p. 3

Provisions in the judgment · 2 · Linked ones open on LawLens

Arbitration and Conciliation Act, 1996 Section 9

Code of Civil Procedure, 1908 Section 151

04Reasoning

The Court found a prima facie case for preserving the relevant records, given the Petitioner’s allegations that the settlement had not been fully paid and that the Respondents were withholding contractual documents.

p. 3

Preservation was necessary to protect the effectiveness of the arbitral proceedings.

p. 3

The Court therefore declined to determine the settlement agreement’s validity or the monetary claims, leaving those matters to the Arbitral Tribunal.

p. 3

05Holding

p. 3

The Respondents were also directed to permit inspection and furnish copies within four weeks.

p. 3

The Court expressed no opinion on the parties’ disputes and left all rights and contentions open for the Arbitral Tribunal; the petition was disposed of accordingly.

pp. 3–4

LawLens.Delhi High Court

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