# In the matter of The Board of Trustees of Chennai Port Trust vs. SICAL Logistics Ltd.

> HC judgment dated 2025-03-24. Citation: TCN-2025-HC-00030. The case involves a dispute arising from a contract dated 26.02.1998 between the Board of Trustees…

- **Court:** HC
- **Order date:** 24 Mar 2025
- **Citation:** TCN-2025-HC-00030
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/high-courts-new-delhi/the-board-of-trustees-of-chennai-port-trust-vs-sical-logistics-ltd-abeb9c75

## Summary

### Background

The case involves a dispute arising from a contract dated 26.02.1998 between the Board of Trustees of Chennai Port Trust (petitioner) and M/s.SICAL Logistics Ltd. (respondent) concerning the handling of a berth in Chennai Port Trust. The respondent claimed the contract was frustrated due to an order by the Hon'ble Division Bench of the High Court, dated 11.05.2011, prohibiting the handling of dusty cargo (coal and iron ore) in Chennai Port with effect from 01.10.2011. The respondent filed an arbitral claim seeking various reliefs, including a declaration that the contract was unenforceable, a refund of monies paid, and rendering of accounts. The petitioner disputed the respondent's contentions and filed a counter claim seeking to direct the respondent to perform their

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## Facts

The Board of Trustees of Chennai Port Trust (petitioner) and M/s.SICAL Logistics Ltd. (respondent) entered into a contract on 26.02.1998 for handling a berth in Chennai Port Trust. The contract's subject matter was the licensing of the berth for a period of 20 years. The respondent claimed the contract was frustrated due to an order passed by the Hon'ble Division Bench of the High Court on 11.05.2011, in W.P. No.11747 of 2002, prohibiting the handling of dusty cargo (coal and iron ore) in Chennai Port with effect from 01.10.2011. The respondent filed an arbitral claim seeking a declaration that the contract was unenforceable, a refund of monies paid, and rendering of accounts. The petitioner disputed the respondent's contentions and filed a counter claim seeking to

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## Issues and analysis

### Issue 1: Whether the Arbitral Tribunal's decision to reject the petitioner's counter claim and hold the …

**Ratio:** The Arbitral Tribunal, based on the evidence available on record, rejected the counter

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**Reasoning:** The Arbitral Tribunal, comprising of three Members, viz., two Former Judges of this Court

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**Interpretation:** The Arbitral Tribunal's decision was based on an assessment of the evidence

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**Application:** The Arbitral Tribunal's decision was applied to the specific facts of the case,

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## Parties

- **Judges:** ABDUL QUD…
- **Appellants:** The Board of…
- **Respondents:** M/s.SICAL…

## Timeline

- **1998-02-26 — Contract…**: Contract entered into between the Board of Trustees of Chennai Port Trust and M/s.SICAL…
- **2011-05-11 — High Court…**: Order passed by the Hon'ble Division Bench of the High Court in W.P. No.11747 of 2002…

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