Patil Construction and Infrastructure Limited vs. Union of India (Ministry of Road Transport & Highways) & Anr.
Background
The dispute arose from a 2018 EPC contract for rehabilitating a stretch of state highway in Maharashtra. The arbitral tribunal's legal time limit to decide the case expired on 20 September 2025, even though proceedings were at an advanced stage, so the contractor sought a 6-month extension.
Decision Breakdown
The government respondent raised no objection. Finding the arbitration genuinely advanced and both sides in agreement, the Court extended the sole arbitrator's mandate by 6 months, backdated to 20 September 2025, treating the gap period as regularised.
Lesson Learnt
Arbitration has a statutory time limit, but courts can extend it where the case is progressing and neither side objects: this prevents a near-finished arbitration from collapsing on a technicality.