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ARUP KUMAR GOSWAMI, N. K. CHANDRAVANSHI
A. S. Advertisers Through Ashish Agrawal S/o. Shri Satya Narayan Agrawal – Appellant
Versus
Municipal Corporation Bhilai, Through Commissioner – Respondent
JUDGMENT :
Arup Kumar Goswami, J.
Heard Mr. Anup Majumdar, learned counsel for the petitioner. Also heard Ms. Fouzia Mirza, learned senior counsel assisted by Mr. Sakib Ahmed, learned counsel for the respondents.
2. By filing this writ petition under Article 226 of the Constitution of India, the petitioner has prayed for setting aside and quashing the order dated 08.09.2021, whereby, the contract entered into with the petitioner in connection with installation, operation and maintenance of traffic signals and unipoles was cancelled and all signals and boards erected by the petitioner were directed to be removed within a period of three days.
3. The case presented in the writ petition, in short, is that the petitioner, which is a partnership firm, is engaged in the business of advertisement and it had responded to a tender issued by the Municipal Corporation, Bhilai, (for short, ‘the Corporation’), inviting bids for installation of traffic signals at various locations under the Municipal area, Zone No. 2, of the Corporation.
4. The Corporation, by an order dated 08.02.2021, offered the petitioner to provide services for installation of traffic signals and unipoles. Consequent thereto, th
The importance of fair and reasonable actions by the State, the need for public auction in granting state largesse, and the significance of complying with the terms and conditions of agreements.
A public authority cannot cancel a contract arbitrarily without valid reasons, especially when the contract was executed within the authority's term.
Government can cancel contracts within lawful scope; absence of irreparable injury negates injunction applications.
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