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2025 Supreme(Raj) 794

HIGH COURT OF RAJASTHAN (JODHPUR BENCH)
MR. JUSTICE MUNNURI LAXMAN, J
M/s  Vishnu Electricals - Appellant 
Versus
State of Rajasthan - Respondent
CW / 2450 / 2025
Decided On : 12-02-2025

Advocates:
Advocate Appeared:
Mr. Rishabh Tayal, Mr. Jitendra Singh, Mr. Avin Chhangani, Ms. Apeksha Chhangani

A contractor is obligated to inspect and assess the condition of machinery before contract commencement, and failure to do so does not justify non-compliance with contractual obligations.

Headnote:

(A) Contract Law - Principles of Contractual Obligations - The petitioner challenged the rescission of a maintenance contract due to non-commencement of work, citing failure to hand over machinery as the reason for delay. The court found that the petitioner was obligated to inspect the machinery prior to contract commencement. (Paras 3, 9, 13)

(B) Natural Justice - The court held that the termination of the contract was executed after providing sufficient opportunity to comply with the terms, thus adhering to principles of natural justice. (Paras 10, 13)

Facts of the case:
The petitioner was awarded a contract for maintenance but claimed non-commencement was due to the respondents' failure to hand over machinery. The contract was rescinded after notices were issued for non-compliance.

Findings of Court:
The court found that the petitioner had an obligation to inspect the machinery before the contract commenced and was at fault for not doing so.

Issues: The main issues were whether the petitioner was at fault for the delay in commencing work and whether the termination of the contract was justified.

Ratio Decidendi: The court ruled that the petitioner was responsible for assessing the machinery condition before contract commencement and could not claim non-commencement solely based on the respondents' failure to hand over the machinery.

Result: Stay petition and writ petition dismissed.

Table of Content
1. court's ruling on responsibility (Para 13)
2. dismissal of petitions (Para 14)

Order :

Stay Petition No.2493/2025:

1. Heard learned counsel for both the parties on the stay petition.

2. The present writ petition has been filed challenging the corrigendum dated 02.07.2024, issued in respect of Notice Inviting Tender (NIT) in pursuance of E-Tender No.030/2024-2025 whereby the work of comprehensive maintenance of Central Air Conditioning System at Serial No.2 of the e-tender, which was scheduled for depositing online from 24.06.2024 to 04.07.2024 and to be opened on 04.07.2024 was postponed for sale till 09.7.2024 and opened on 10.07.2024 with the condition mentioned in the corrigendum.

3. The main grievance of the petitioner is that the petitioner was the successful bidder and a work order for comprehensive maintenance of Central Air Conditioning System and its machinery was also issued to the petitioner. Subsequently, when the maintenance work of the machinery was not commenced, by the impugned order dated 03.01.2025, the contract was rescinded.

4. Learned counsel for the petitioner has vehemently submitted that the contract of maintenance could not be commenced on account of failure on the part of the respondents in handing over the possession of the machinery, maintenance of which was given to the petitioner by the aforesaid contract. He submitted that there were several correspondence made between the petitioner and the respondent to hand over the machinery but the same were not handed over to the petitioner. Hence, the maintenance work could not be completed in terms of the contract.

5. It is also submitted by learned counsel for the petitioner that notice dated 08.10.2024, 17.12.2024 and the third notice dated 25.12.2024 were issued to the petitioner by Project Director, RSRDC Ltd. Unit Elect. Jodhpur, prior to 03.1.2025, requesting the petitioner to give information regarding taking over the work of maintenance of Air Conditioning System and its commencement within a period of two days, failing which they shall propose to terminate the contract. In respect of it, the petitioner addressed a letter dated 27.12.2024 i.e. within two days, expressing his willingness to complete the contract. He, therefore, submits that the contract was improperly rescinded, which requires interference of this Court.

6. A prayer was made for issuance of fresh NIT issued subsequently to the work order vide order dated 03.01.2025.

7. Learned counsel for the petitioner also submitted that the letter addressed by the respondent in the month of December, 2024 also shows that a direction was given to the previous contractor, who was in-charge of the machinery, however, no such handover was made, as such the work of maintenance could not be commenced. With regard to delay attributed to the petitioner for the work, petitioner’s submission is that the respondents alone are responsible for the delay on account of failure to hand over the site or the system.

8. On the other hand, learned counsel for the respondents submitted that the additional condition of NIT mentioned in the impugned corrigendum, is that prior to continuance of the work, the bidder is required to inspect and assess the present condition of machinery.

9. It is also submitted that the work order was issued on 20.09.2024 and the stipulated date of commencement of work was 01.10.2024 and the work was to be completed till 30.09.2025 and there was much time for the petitioner to ask for handing over the machinery but the same was not done. After the commencement of the contract, the petitioner started making letter correspondence seeking handing over of the machinery. According to him, the condition of the machinery should have been inspected prior to entering into the contract. Having agreed to enter into the agreement, the petitioner cannot contend that he is not under obligation to maintain machinery.

10. Learned counsel for the respondents also submitted that before cancelling the

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