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K. VINOD CHANDRAN, PARTHA SARTHY
Astitva Advertisement Private Limited, through its Director Om Prakash Tiwari, S/o. Muneshwar Tiwari – Appellant
Versus
Bihar Urban Infrastructure Development Corporation Ltd. , through its Managing Director – Respondent
JUDGMENT :
(K. Vinod Chandran, CJ.)
The petitioner, a contractor who had been entrusted with a work, challenge the Notice Inviting Tender (NIT) issued by the respondent authority, the Bihar Urban Infrastructure Development Corporation Ltd., (‘BUIDCO’ for short) to award the same work but for a different period.
2. The period of contract of the petitioner is over, however, the petitioner’s challenge is based on the recommendation granted by the Bid Evaluation Committee to allow extension of the petitioner’s contract for two years since its operation remained suspended during the pandemic period. It is also an admitted position that the petitioner has invoked the arbitration clause in the agreement.
3. We have heard Mr. Ashar Mustafa learned Counsel appearing on behalf of the petitioner and Mr. Lalit Kishore, learned Senior Counsel appearing on behalf of the respondent- BUIDCO.
4. The petitioner was granted the contract as per Annexure-P/2 for the period 2017-22. The petitioner, according to the submission made, has also paid the entire premium amounts due as per the contract; despite the petitioner having not been able to operate it during the pandemic period. The work awarded to the pe
The court ruled that a contractor cannot claim an extension of a contract as a matter of right after its expiration, and disputes must be resolved through arbitration.
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The contract was subject to approval by the Competent Authority, and the approval was necessary for the extension of the contract.
The discretion of public authorities in contract renewals must align with contractual terms and not amount to arbitrary action, ensuring transparency and fairness in public procurement.
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Termination of contract - Force majure - The termination was automatic by efflux of time within the purview of the Indian Contract Act, 1872. Thus, the futile prayers for extension, even if produced ....
Writ jurisdiction inapplicable to purely contractual disputes absent public law element, proven arbitrariness, or mala fides; disputed facts and arbitration clause require relegation to alternative f....
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