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IN THE HIGH COURT OF KARNATAKA, AT DHARWAD
SURAJ GOVINDARAJ
Globaltech Enviro Experts Pvt. Ltd. – Appellant
Versus
Managing Director Belagavi Smart City Limited – Respondent
| Table of Content |
|---|
| 1. background of the petitioner and tender process. (Para 1 , 2 , 3 , 4 , 5 , 6) |
| 2. petitioner's arguments against the tender rejection. (Para 7) |
| 3. key legal question: can the employer reject the lowest bid? (Para 10 , 12) |
| 4. court’s affirmation of the employer's right to reject. (Para 14) |
| 5. conclusion: petition dismissed. (Para 15) |
ORDER :
SURAJ GOVINDARAJ, J.
1. The Petitioner is before this Court seeking for the following reliefs:
a. Issue a Writ of Mandamus or any other appropriate Writ, Order, or Direction directing Respondent No. 1 to issue the Letter of Intent (LoI) and consequential Work Order in favour of the Petitioner, being the duly qualified L1 bidder (Annexure-G), in accordance with Section 13(3) of the KTPP Act and Rule 26(2) of the Rules, 2000;
b. Declare the contemplated cancellation or any action arising out of the Board Meeting dated 05.06.2025 as void and unenforceable, having been undertaken without valid reasons or due process, in violation of Section 14(1) of the KTPP Act;
c. Direct the Respondents through an injunction to refrain from floating or processing any fresh tender-whether in whole or in fragmented scope-covering the same or substantially si
An employer may reject the lowest tender bid if justified by comparative analysis with benchmark bids, without creating a vested right for acceptance.
The procuring entity has the discretion to cancel tenders and re-invite bids without prior communication of reasons; judicial review is limited to assessing arbitrariness or statutory violations in p....
Lowest bidder has no vested right to contract; authority may cancel tender for valid reasons like cartel without malice; tender conditions not judicially reviewable unless arbitrary.
Cancellation of tender where L-1 bid within 5% limit, suspecting cartel without evidence, and inconsistent with prior awards exceeding limit, held arbitrary, violative of Article 14 warranting judici....
Section 14 of Act reads as general rejection of tenders.
The rejection of bids by public authorities must adhere to the principles of fairness, reasonableness, and non-arbitrariness as mandated by Article 14 of the Constitution of India.
The court emphasized the need for fairness and transparency in the tender process and held that the principles of judicial review apply to prevent arbitrariness or favoritism in the exercise of contr....
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