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Patna High Court

Arjun Engicon Pvt. Ltd.versusEast Central Railway through Deputy Chief Engineer (Construction)/East Central Railway, Mugalsarai

Decided
Disposal
DISMISSED

Holding

The Court held that the 6‑month‑10‑day delay could not be condoned and dismissed the application for condonation, resulting in the dismissal of the appeal.

Summary

Arjun Engicon Pvt. Ltd. filed a commercial appeal against East Central Railway but delayed filing the appeal by 6 months and 10 days beyond the deadline prescribed under Section 13(1‑A) of the Commercial Courts Act, 2015. The appellant sought condonation of this delay, citing confusion over the respondent's alleged assurance to pay a principal award with interest. The Court examined the Supreme Court’s decision in Government of Maharashtra v. Borse Brothers (2021) 6 SCC 460, which holds that delays beyond the statutory period may be condoned only as an exception and only when the party acted bona‑fide without negligence. Finding the appellant’s reasons vague and the delay excessive, the Court dismissed the condonation application and consequently dismissed the appeal. The appeal could not proceed further.

Issues considered

  • Whether the Court can condone a delay of 6 months and 10 days in filing an appeal under Section 13(1‑A) of the Commercial Courts Act, 2015.
  • Whether the appellant acted bona‑fide and without negligence to justify condonation.
  • Whether the appeal should be allowed to proceed despite the untimely filing.

Legislation cited

Subjects

  • condonation of delay
  • commercial appeal
  • Section 13(1‑A)
  • Commercial Courts Act
  • bona fide
  • Supreme Court precedent
  • Arbitration Act

Judgment

                      IN THE HIGH COURT OF JUDICATURE AT PATNA
                                  COMMERCIAL APPEAL No.4 of 2024
                 ======================================================
                 Arjun Engicon Pvt. Ltd. J-117, P.C. Colony, P.S. Kankarbagh, District Patna-
                 800020, through its Director Ravi Bhushan, Male, aged about 50 years, S/o
                 Late Arjun Singh, resident of J-117, P.C. Colony, Kankarbagh, P.S.
                 Kankarbagh, District Patna.
                                                                               ... ... Appellant
                                                    Versus
                 East Central Railway through Deputy Chief Engineer (Construction)/East
                 Central Railway, Mugalsarai P.S. Mugalsarai, District Chandauli (U.P.).
                                                                            ... ... Respondent
                 ======================================================
                 Appearance :
                 For the Appellant      :       Mr. Shailendra Kumar Singh, Advocate
                 For the UOI            :       Mr. Bindhyachal Rai, Senior Counsel
                 ======================================================
                 CORAM: HONOURABLE MR. JUSTICE RAJEEV RANJAN PRASAD
                         and
                         HONOURABLE MR. JUSTICE PRAVEEN KUMAR
                                       ORAL ORDER

                 (Per: HONOURABLE MR. JUSTICE RAJEEV RANJAN PRASAD)

5   02-02-2026                 I.A. No. 1 of 2026 in Commercial Appeal (DB) No.

                   4 of 2024

                               This interlocutory application has been filed seeking

                   condonation of delay of 6 months and 10 days in filing of the

                   present appeal.

                               2. The reasons for delayed filing of the appeal are

                   stated in paragraphs ‘5’ and ‘6’ of the application which we

                   reproduce hereunder for a ready reference:-

                                            “5. That the appellant has not filed appeal
                                            within limitation period due to the
                                            respondent authority has discuss the issue
                                            and assurance to pay Principal Award
                                            Amount with interest. But therefore the
                                            respondent authority has refused to pay
                                            (As per Award).
                                            6. That therefore the appellant has
Patna High Court COMMERCIAL APP No.4 of 2024(5) dt.02-02-2026
                                         2/4




                                  approached before learned Advocate and
                                  file handed over to file appeal.”


                     3. Apparently, getting confused with the language of

         paragraph ‘5’, we called upon learned counsel for the appellant

         to explain as to what would be the actual translation of the

         statements made in paragraph ‘5’ of the application. At this

         stage, learned counsel submits that there are typographical and

         grammatical errors which he could not correct while filing the

         application. We regret that such an application is coming from

         the office of a public undertaking.

                     4. Be that as it may, it appears on perusal of the

         records that in the present appeal, the impugned order was

         passed on 21.07.2023. An application for getting certified copy

         of the impugned order was filed on 27.07.2023 whereafter the

         notification regarding requirement for folio was made on

         03.08.2023, the folios were supplied on 04.08.2023 and the

         certified copy of the impugned order was delivered on

         04.08.2023. In this way, altogether 9 days were taken in supply

         of the certified copy of the impugned order. In terms of Section

         13(1-A) of the Commercial Courts Act, 2015 (hereinafter

         referred to as the ‘Act of 2015’), the appeal was required to be

         presented on or before 30.09.2023. This appeal has been

         presented for the first time on 10.04.2024, therefore, there is a
Patna High Court COMMERCIAL APP No.4 of 2024(5) dt.02-02-2026
                                         3/4




         delay of 6 months and 10 days.

                     5. It is no longer a res integra that Section 13(1-A) of

         the Act of 2015 does not provide for any provision empowering

         the Court to condone the delay in filing of an appeal. This aspect

         of the matter has been well discussed by the Hon’ble Supreme

         Court in the case of Government of Maharashtra (Water

         Resources Department) Represented by Executive Engineer

         Vs. Borse Brothers Engineers & Contractors Private Ltd.

         reported in (2021) 6 SCC 460. Having considered the entire

         scheme of Section 37 of the Arbitration and Conciliation Act,

         1996 and the Act of 2015, their Lordships of the Hon’ble

         Supreme Court observed in paragraph ‘63’ of the judgment as

         under:-

                               “63. Given the aforesaid and the object of
                               speedy disposal sought to be achieved
                               both under the Arbitration Act and the
                               Commercial Courts Act, for appeals filed
                               under Section 37 of the Arbitration Act
                               that are governed by Articles 116 and 117
                               of the Limitation Act or Section 13(1-A)
                               of the Commercial Courts Act, a delay
                               beyond 90 days, 30 days or 60 days,
                               respectively, is to be condoned by way of
                               exception and not by way of rule. In a fit
                               case in which a party has otherwise acted
                               bona fide and not in a negligent manner, a
                               short delay beyond such period can, in the
                               discretion of the court, be condoned,
                               always bearing in mind that the other side
                               of the picture is that the opposite party
                               may have acquired both in equity and
                               justice, what may now be lost by the first
          Patna High Court COMMERCIAL APP No.4 of 2024(5) dt.02-02-2026
                                                   4/4




                                         party’s inaction, negligence or laches.”


                               6. Keeping in view the aforementioned position in law

                   and the mandate of the Hon’ble Supreme Court in paragraph

                   ‘63’ of the judgment in case of Borse Brothers (supra), we are

                   of the considered opinion that this inordinate delay of 6 months

                   and 10 days is not fit to be allowed. The delay is such that it has

                   definitely given rise to some right to the other side. The reasons

                   shown in paragraph ‘5’ of the interlocutory application are

                   completely vague, it leads nowhere. The appellant is unable to

                   show that it has otherwise acted bonafide and the delay is not

                   because of any negligence on its part. In this view of the matter,

                   we dismiss the application seeking condonation of delay.

                               7. I.A. No. 1 of 2026 stands dismissed.

                               8. As a result of dismissal of the application seeking

                   condonation of delay, the appeal cannot proceed and is

                   dismissed accordingly.



                                        (Rajeev Ranjan Prasad, J)


                                             (Praveen Kumar, J)
lekhi/-

U


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