Messrs ALSTOM POWER GENERATION through Ashfaq Ahmad vs PAKISTAN

' SYED ZAHID HUSSAIN, J.---The petitioner is a contractor for the project known as Ghazi Brotha Hydro Power Project, who was awarded contract for the supply and commissioning of Control, Instrumentation SCADA and Telecommunications. Some disputes appear to have cropped up between the parties which eventually gave rise to the present petition with the prayer that "the respondents may graciously be directed to act justly, fairly, reasonably and in a manner that advances public policy embodied in law and to fulfil their obligations stipulated in clause 50.3 of the contract and enter into good faith negotiations with the petitioner for amicable settlement of disputes between them through ADR."

2. It is evident from the various interim orders passed that the matter was elaborately dealt with by my learned brother Umar Ata Bandial, J. It has now come before me due to the non-availability of the learned Bench.

3. At the outset, today the learned counsel for the respondents has urged that though there are serious objections to the competency and maintainability of the petition, yet he has instructions to state that the respondent-WAPDA has no objection "to enter into good faith negotiations for mutual amicable settlement of dispute out of Court". He has indeed produced a copy of the letter No, GM&PD/GBHP/ CONT/63W/2102, dated 25-5-2007 addressed to him by WAPDA which is to the effect that "It is to inform you that WAPDA is ready to resolve the matter amicably".

4. The learned counsel for the petitioner has welcomed such a move and has, with the able assistance of his associate, cited precedents that such an approach to the matter for amicable settlement, as visualized by clause 50.3 of the contract, is the best suited mode of dispute resolution.; In support of his contention, reference has been made by him to Cable and Wireless PLC ("C&W") (Claimant) and IBM United Kingdom Ltd. ("IBM") (Defendant) (2002) EWHC 2059 (Comm.Ct.), Channel Tunnel Group Ltd. And another v. Balfour Beatty Construction Ltd. And others (1993) 1 All ER, Waqqas Limited v. Province of Punjab 1988 CLC 1865; Board of Intermediate and Secondary Education, Multan through Secretary v. Fine Star and Company, EngineerS and Contractors 1993 SCM R 530 and an interim order of this Court dated 26-7-2006 in Writ Petition No,7791 of 2006. It is suggested by the learned counsel that keeping in view the subject-matter of dispute, the Chairman, WAPDA may himself oversee the proceedings and keep vigil. The crux of the precedents is the preference of the parties to resort to amicable means for dispute resolution in such-like matters. Such clauses as to negotiations etc. For amicable resolutions of disputes are finding place in almost all commercial contracts. The Courts are also expected to encourage the parties to adopt such modes in view of provisions of S.89-A and Order X, R.1(1-A) of the Code of Civil Procedure, 1908. It is now a universally accepted method being followed as a less-expensive less time consuming, less cumbersome and ultimately a fruitful and beneficial mode, commonly known as ADR (Alternative Dispute. Resolution).

' Since the essence of the prayer in the petition has been acceded to, the same has borne fruit and is disposed of accordingly.