The court affirmed that the force majeure clause allows for the extension of a Train Side Vending License due to non-operation during the Covid-19 pandemic.

ORDER :

Venkateswarlu Nimmagadda, J.

1. Both these writ petitions are filed under Article 226 of the Constitution of India by different petitioners, claiming identical relief, as such, I find it expedient to decide both the writ petitions by common order, since the issue involved in all the writ petitions is one and the same.

W.P.No.28631 of 2024

2. This writ petition is filed challenging the action of Respondent Nos.2 & 3 in issuing the impugned order vide IRCTC/SCZ/ZO(CATG)/104/2021/ZO/SCZ dated 16.10.2024 directing the petitioner herein to stop the operations i.e. Train Side Vending (TSV) License to manage on Board Catering Services on SC-DHNE Section (including GDW-RC Sub-section) over South Central Railway from 16.12.2024, without considering the request of the petitioner for extension of license for period of contract in which petitioner’s services were non-operational due to Covid-19 Pandemic, as arbitrary, illegal, unjust, contrary to principles of natural justice and violative of petitioner’s right guaranteed under Articles 14 & 19(1)(g) of the Constitution of India .

3. The brief facts of the case are that the petitioner’s firm is engaged in the business of Food Catering Services. The 2^nd respondent issued E-Tender No.IRCTC/SCZ/1/NIT-14/TSV/2019/01 dated 10.08.2019 for Train Side Vending (TSV) License to manage on Board Catering Services on SC-DHNE Section for 5 years. The 3^rd respondent issued a Letter of Award dated 16.10.2019 in favour of the petitioner. Thereafter, an agreement dated 26.10.2022 was entered into between the petitioner and the 2^nd respondent and providing TSV services as per the terms of the Agreement.

4. While things stood thus, due to the onset of Covid-19 Pandemic, the 2^nd respondent vide letter dated 20.03.2020 cancelled all the trains and closed catering/vending services across all sections in the country till 31.03.2020. Following the instructions, the petitioner had shut down all catering operations. However, the respondent imposed force majeure clause and did not renew the TSV License of the petitioner on the ground that the services were non- operational due to Covid-19.

5. The respondents have extended the contract period to various other licensees in the country by invoking the force majeure clause and that the period of contract was extended for the period that the services were non- operational due to Covid-19. Since the period of license was getting expired by 21.11.2024, the petitioner submitted letter dated 10.07.2024 to the respondents requesting to extend the License Period by another 2 years. The petitioner was under an impression that the period of license would be extended for a further period of 2 years on par with other licenses throughout the country. Instead of considering the extension of petitioner’s license, the 3^rd respondent issued proceedings IRCTC/SCZ/ZO(CATG)/104/2021/ZO/SCZ dated 16.10.2024 directing the petitioner herein to stop all operations from16.12.2024 in the said TSV section and surrender all the materials and records pertaining to the said tender. Challenging the proceedings IRCTC/SCZ/ZO(CATG)/104/2021/ZO/SCZ dated 16.10.2024, the present writ petition is instituted.

6. Respondent Nos.2 & 3 filed counter affidavit and vacate stay petition in I.A.No.3 of 2024 denying material allegations. In Paragraph No.6, it is submitted that, the period of license is for 5 years in terms of Clause 5.1 of Section -1 of General Information in E-Tender dated 10.08.2019. The tenure of the license shall be five years from the d