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IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
HEMANT M.PRACHCHHAK
State of Gujarat – Appellant
Versus
Gayatri Construction Co. – Respondent
JUDGMENT :
HEMANT M. PRACHCHHAK, J.
1. The present First Appeal is filed under Section 96 of the CIVIL PROCEDURE CODE , 1908 read with Section 41 of the CPC at the instance of the appellants – State Authorities being aggrieved and dissatisfied with the judgment and decree dated 30.09.1999 passed by the learned Civil Judge (S.D.), Valsad (herein after referred to as “the trial court”) in Special Civil Suit No. 160 of 1991, whereby, the learned Judge partly allowed the suit and directed the appellants to pay Rs.6,73,970/- plus Rs.25,048/- interest total amount Rs.6,99,018/- to the respondent herein and also directed to pay 12% interest on Rs.6,73,970/- from the date of the suit till realization of the decreetal amount.
2. Brief facts leading to the present appeal are as under :-
2.1 That, the respondent was an Engineer and Contractor carries on their business activities in the name and style of M/s Gayatri Construction Co. and they were registered with the Public Works Department and were also approved by various other departments of the State. That, the Executive Engineer, Navsari (R&B) Division, appellant herein had invited the tenders publicly for the work of constructing B.C.K. Sec
State authorities are liable for breach of contract when failing to fulfill terms, allowing for the contractor to claim due payments and interest, subject to evidentiary support and stipulations.
A party's failure to perform crucial contractual obligations constitutes a fundamental breach, thereby entitling the other party to seek compensation, with appropriate adjustments on interest rates b....
Interest awarded by the trial court must be just and reasonable; the appellate court reduced the interest rate from 12% to 9%, upholding the damage assessment.
The court upheld the trial Court's decree for recovery of contract payments, emphasizing the contractor's timely completion of work and the defendants' failure to prove claims of substandard work.
The court upheld the plaintiff's claims for withheld payments under the contract, establishing entitlement based on completed work despite defendants' claims of substandard quality and modified the i....
The court clarified that interest disputes related to contracts should be resolved in civil courts, not through writ petitions, and that the learned Single Judge's order fixing interest at 12% lacked....
A party may recover damages for breach of contract when the other party fails to fulfill its contract obligations, particularly regarding timely supply of materials.
The court upheld the trial court's dismissal of the plaintiffs' suit for damages due to insufficient evidence and the contractor's failure to complete the work as per the contract.
Point of law: When the appeal is presented in terms of Section 96 CPC and when this Court is considering this appeal not only as a last Court of fact but also in terms of law, it is open for the appe....
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