Point of Law: It is clear that when an instrumentality of the State acts contrary to public good and public interest, unfairly, unjustly and unreasonably, in its contractual, constitutional or statutory obligations, it really acts contrary to the constitutional guarantee found in Article 14 of the Constitution.

ORDER :

J.B.PARDIWALA, J.

1. Pursuant to our order dated 17.08.2021, Mr. Zala, the Chief Officer of the Halvad Nagarpalika is personally present in the Court today. We are happy to note some positive developments in the matter. Mr. Zala, the Chief Officer, tenders a cheque of the amount of Rs.1 Crore drawn on the HDFC Bank, Halvad, State of Gujarat dated 24th August, 2021 in favour of the Maruti Enterprise, i.e, the writ applicant. The cheque of the amount of Rs.1 Crore bearing No.000003 duly signed by the Chief Officer of the Halvad Nagarpalika is being handed over to Mr. Gautam Joshi, the learned counsel appearing for the writ applicant in the open Court.

2. Mr. Zala pointed out that the amount due and payable by the Nagarpalika to the writ applicant is to the tune of Rs.3 Crore and odd. It is not in dispute that in the past, an amount of Rs.89 Lakh was paid to the writ applicant by the Nagarpalika. Today, an amount of Rs.1 Crore is being paid. That means, that on an average, an amount of Rs.1,89,00,000/- has been paid to the writ applicant. So far as the balance amount is concerned, it is understood between the parties that they shall sit together and arrive at a particular figure. Once the figure is arrived at of a particular amount, the same shall also be paid by the Nagarpalika to the writ applicant. Mr. Zala pointed out that the balance amount shall be paid to the writ applicant by 15th October, 2021. Mr. Zala further pointed out in the form of a request that the writ applicant may be asked to complete some work at the shopping center like electricity fixtures, colour etc. Mr. Joshi, the learned counsel appearing for the writ applicant, has assured this Court that the needful shall be done and he shall speak to his client to undertake the necessary work.

3. We are happy to note that the dispute has finally been resolved. If the dispute would not have been resolved and the parties would have gone to the civil court, then probably, it would have taken many more years. We appreciate the efforts put in by Mr. Niral Mehta, the learned counsel appearing for the Nagarpalika as well as the efforts put in by Mr. Zala, the Chief Officer of the Nagarpalika in bringing around an amicable settlement. We want both the sides to file short affidavit. We want the Nagarpalika to file a short affidavit stating that the amount of Rs.1 Crore has been paid to the writ applicant by way of a cheque dated 24th August, 2021 which has been tendered today and the balance amount shall be worked out sitting across the table and that amount shall also be paid by 15th October,2021. We want the writ applicant also to file an affidavit that he shall undertake the work of electrical fixtures and colour and complete the same at the earliest.

4. The affidavits shall be filed by next week and those affidavits shall be placed on the record of the case.

5. In view of the aforesaid, we could have closed this matter today. However, considering the importance of the issue, we would like to dictate a detailed order explaining the position of law as to what should the Writ Court do in the litigations like the one on hand.

6. On 29th July, 2021, this Court passed the following order;

“1. We have heard Mr. Gautam Joshi, the learned senior counsel assisted by Ms. Kitty Mehta, the learned advocate appearing for the writ-applicant; Mr. Niral Mehta, the learned counsel appearing for the Halvad Nagarpalika and Mr. Ayan Patel, the learned AGP appearing for the State of Gujarat.

2. We called upon Mr. Joshi, the learned senior counsel to make good his case so far as the maintainability of the present writapplication is concerned. We are saying so because this litigation arises from a contract between a private individual and a municipality.

3. The writ-applicant has to recover a particular amount for the work he has completed as assigned to him by way of contract. However, it appears that there are orders passed in the present matter by the Co-ordinate Benches of this Court recording