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IN THE HIGH COURT OF JUDICATURE AT BOMBAY
SHREE CHANDRASHEKHAR, CJ., GAUTAM A. ANKHAD
Diti Developer – Appellant
Versus
City and Industrial Development Corporation of Maharashtra Ltd. – Respondent
Headnote: Read headnote
JUDGMENT :
PER, GAUTAM A. ANKHAD, J.
The petitioner has filed this writ petition challenging the order dated 20th August 2025, whereby the respondent rejected the petitioner’s bid in respect of Plot No. 8A, Sector-13, Kalamboli, Navi Mumbai (in short, “the plot”).
2. The brief facts relevant for this petition are as follows:
(a) Pursuant to an advertisement issued by the respondent, the petitioner submitted its bid for allotment of the plot. The petitioner deposited Rs.1.50 crores towards Earnest Money Deposit (in short, “EMD”) on 23rd July 2024. An auction was conducted, in which the petitioner’s bid of Rs. 1,70,098/- per sq mt was declared as the highest bid for the plot. However, the allotment letter was not issued. Upon enquiry, the petitioner learnt that the respondent had decided to withhold the issuance due to certain pending litigation, which ultimately
No vested right is established from bid submission; rejection of bid is valid when corporation ensures public interest and current market rates prevail.
The principle that the highest bid does not guarantee acceptance in tender processes, and the authority's discretion must be exercised based on relevant commercial considerations and adherence to pro....
The highest bidder does not have an indefeasible right without acceptance of the bid and issuance of an allotment letter. The refusal of the bid must be free from arbitrariness or favoritism, and the....
(1) Allotment of Industrial Plot – Ordinarily, when large areas of industrial land are auctioned, overall price would be separately assessed as compared to smaller plots – Merely because selling pric....
The DDA's right to withdraw any plot from auction or reject any bid without assigning any reason is not untrammelled or unrestricted. It must be exercised in a fair and reasonable manner and cannot b....
A letter of intent signifies acceptance of a bid, forming a binding contract. Subsequent withdrawal due to administrative reasons must be justifiable and non-arbitrary under contractual principles.
The authority's right to reject bids without assigning reasons and the absence of an LoI indicating no privity of contract were the main legal points established in the judgment.
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