Judgment

MATHEW, J.-This appeal, by certificate, is directed against a judgment and decree of the High Court of Jammu and Kashmir where a Division Bench of the High Court allowed an appeal filed by the State of Jammu and Kashmir from a decree for recovery of money in favour of the plaintiff-appellant.

2. The appeal was originally disposed of ex-parte as the respondents did not appear before this Court to contest the appeal. Subsequently, on the motion of the respondents, the decree was set aside. That is how the appeal has come up for hearing again.

3. The facts of the case lie in a short compass. The appellant offered to supply milk to the S.M.H.S. Hospital, Srinagar, in pursuance to a tender notice issued by the Superintendent of the hospital at the rate of Rs.15.90 per maund The offer was accepted on March 20, 1961, and the agreement was for supply of milk from April 1, 1961, to March 31, 1962. A formal contract recording the agreement between the parties was drawn up on May 17, 1961. One of the conditions in the agreement was that if milk became a controlled article during the period of the agreement, the contractor shall be paid at the controlled rate for the supply of the articl