Gujarat High Court: Contractors Must Approach State Tribunal, Not Arbitral Act, for Municipal Disputes

The Gujarat High Court has held that contractors in dispute with the municipality must approach the tribunal established under the Gujarat Public Works Contracts Disputes Arbitration Tribunal Act, 1992, instead of the procedure provided under the Arbitration and Conciliation Act, 1996.

The Bench noted that the State Act is a special law and therefore prevails over the general 1996 Act.

The decision came amid a surge in pending municipal contract disputes, clarifying that the Court cannot intervene where a specific statutory mechanism exists for resolution.

[GPC Infrastructure Limited v Gandhinagar Municipal Corporation]