2024 Supreme(Cal) 696
IN THE HIGH COURT OF CALCUTTA CIRCUIT BENCH AT JALPAIGURI
AMRITA SINHA, J.
M/s Roxy Enterprises – Appellants
Versus
The State of West Bengal & Ors. – Respondents
WPA 585 of 2023
Decided on : 02-02-2024
Advocate Appeared:
For the Appellant : Mr. Narendra Nath Das, Adv. Mr. Pragyadip Roy Basunia, Adv. Mr. Jagesh Chandra Roy, Adv. Ms. Tanushri Roy, Adv. Mr. Madhab Kumar Roy, Adv.
For the Respondent: Mr. Hirak Barman, Adv. Mr. Momenur Rahman, Mr. Bikramaditya Ghosh, Adv.
The importance of formal contract execution and the need for evidence in resolving factual disputes in contractual matters.
Headnote:
Work Order Dispute - West Bengal Panchayat Act, 1973 - Section 171
Fact of the Case:
The petitioner was awarded a work order for road repair, but due to lockdown and disputes with forest authority, the work could not be completed within the stipulated time. The Zilla Parishad terminated the contract and issued a debarment notice.
Finding of the Court:
The court found that the petitioner failed to resume work after the lockdown and raised bill for incomplete work. The court also noted the lack of formal contract execution and unresolved factual disputes.
Issues: Dispute over completion of work, termination of contract, and debarment. Maintainability of the writ petition was also raised.
Ratio Decidendi: The court held that without formal contract execution, the petitioner cannot rely on clauses in the model document. Unresolved factual disputes and lack of evidence prevented conclusive adjudication in the writ proceeding.
Final Decision: The writ petition was dismissed, but the petitioner was not barred from seeking relief from the competent forum.
JUDGMENT :
Amrita Sinha, J.
1. The writ petition arises out of a dispute which arose on account of non completion of work in terms of the work order issued in favour of the petitioner by the Alipurduar Zilla Parishad.
2. In response to a notice inviting pre qualification-cum-tender (two cover system) published by the Alipurduar Zilla Parishad, the petitioner submitted its bid in respect of the work of repair of road from Salkumarhat near Dijarajghat to Bhandani temple via Bangdaki Forest under Salkumar II GP of Alipurduar I PS within Alipurduar Zilla Parishad. Time period for completion of the work was mentioned as 120 days.
3. The terms and conditions mentioned in the subject notice laid down that the successful tenderer will have to execute an agreement on a Non Judicial Stamp paper worth Rs. 100/-. Time and cost over-run will not be permitted. In case of any work not being completed by the contractor within the stipulated time frame, necessary penal measure in the tune of deduction of an amount as decided by the Artha-Sanstha-Unnayan-O-Parikalpana Sthayee Samity of Alipurduar Zilla Parishad will be imposed. Running payment of work will be made to the agency as per availability of fund and as per norms.
4. The bid submitted by the petitioner, being the lowest, was accepted and a letter of acceptance dated 14th February, 2020 was issued by the Executive Engineer (P & RD), Alipurduar Zilla Parishad in favour of the petitioner. The petitioner was to complete the formalities within seven working days from the date of issue of the letter before issue of work order. An agreement of requisite Non Judicial Stamp paper worth Rs. 100/-was to be executed along with other formalities to be completed.
5. The Executive Engineer (P & RD), Alipurduar Zilla Parishad issued work order in favour of the petitioner vide memo dated 3rd March, 2020. The petitioner was requested to take up the work within seven days from the date of issue of the letter in right earnest in consultation with the engineer and complete the same in all respect within stipulated time. Payment was to be made by the respective head of account by the appropriate authority of the Zilla Parishad.
6. The petitioner has averred in the writ petition that the petitioner received the site partially after inauguration by the authorities on 16th March, 2020 but the work could not start due to the lockdown imposed by the Government. Letter was issued by the petitioner for handing over of the site on 13th May, 2020 and the petitioner received the site in an incomplete mode on 18th May, 2020. The work was done by the petitioner on oral direction by the authority on account of the lockdown and the extension thereof from time to time. Due to the restricted mode of performing the work on account of the pandemic situation, the petitioner was unable to complete the work within the stipulated time period. Running account bill in respect of the portion of the work that was concluded was raised by the petitioner in December, 2020. Part payment of the running accounts bill was made and the petitioner requested for payment of the balance amount of the running account bill.
7. A portion of the work to be performed by the petitioner fell within the forest authority. The same being a reserved forest area prior permission/ approval from the forest authority was required to be taken. A tussle cropt up between the forest authority and the Zilla Parishad due to which the Zilla Parishad directed the petitioner to stop proceeding with the work for settling the dispute with the forest department. A considerable period of time was consumed for settlement of the dispute.
8. As the petitioner failed to conclude the work, the Assistant Engineer of the Zilla Parishad vide communication dated 17th March, 2021 requested the petitioner to resume the said work within five days. Direction for resumption of work was issued by the Executive Engineer of the Zilla Parishad once again on 26th November, 2021. Despite repeated com