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HIGH COURT OF JAMMU AND KASHMIR
M/S G. AHMAD PHARMACEUTICALS RAJBAGH – Appellant
Versus
STATE OF JK AND OTHERS (HEALTH DEPTT.) – Respondent
JUDGMENT :
01. The Respondent No.4-Purchase Officer, Government Dental College & Hospital, Srinagar, vide No. Md.Supdt./GDC&H/1046-54 dated 26th of September, 2012, placed a supply Order for purchase of two Compressors for Ventilators from M/S Air Liquide Medical Systems, 5 Rue Georges Bess CE-80, 92182 Antony Cedex, France, with certain description of their components and with an intended use of supplying medical air to the Ventilators in ICU machine, as per the following terms and conditions:
1. The shipment should be effected only after receiving the clear written confirmation order from the department;
2. You shall have to deposit the bank guarantee of 10% of the equipment value in favour of the consignment valid for 36 months;
3. The delivery period of the equipment to be completed within 6-8 weeks from the date of the receipt of the order by you;
4. The equipment shall have the comprehensive warranty up to the time of 36 months from the date of installation;
5. 100% payments will be payable in the Indian rupees only, to your local Indian agent;
6. The machine shall be installed through your local agent;
7. CMC will be 14% first year with the escalation of 10% every year;
8. While maki
The court ruled that without proof of compliance with the supply order's conditions, the Petitioner's claims for payment could not be upheld, allowing for resolution in civil court.
The court upheld the respondent's right to withhold payments due to the petitioner's failure to fulfill supply obligations, emphasizing that contractual disputes should be resolved through appropriat....
A supplier is entitled to payment for goods supplied under a valid work order, regardless of procedural lapses by the issuing authority.
A party cannot unilaterally terminate a commercial contract due to delay unless an express termination clause exists. Furthermore, statutory tax liabilities remain binding, and a party who acknowledg....
The impugned order violated principles of natural justice and tender conditions, leading to its setting aside by the court.
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