SANJAYA KUMAR MISHRA, ANANDA SEN
Romenjit & Co. through its Proprietor Mahendra Nath Mahato, S/o. Jyotindra Nath Mahato – Appellant
Versus
State of Jharkhand – Respondent
| Table of Content |
|---|
| 1. petitioner's testimony of tender process. (Para 1 , 2) |
| 2. state's position on tender clause violation. (Para 3 , 6) |
| 3. importance of adhering to notice procedures. (Para 4 , 5) |
| 4. natural justice and reasonable time to execute contracts. (Para 7 , 8) |
| 5. court's final order and remedy granted. (Para 9 , 10) |
ORDER :
Ananda Sen, J.
1. By filing this writ petition, petitioner has prayed to set aside the Memo No.2731 dated 17.11.2022, issued by the Block Development Officer (Annexure 4), whereby he has cancelled the Tender No.NIT/01-2022-23 allotted in favour of the petitioner and has forfeited the earnest money deposited by the petitioner. Further prayer has been made by the petitioner to set aside the fresh tender, which has been issued.
During course of argument, learned counsel for the petitioner submits that the petitioner is confining his prayer only to the extent of refund of the earnest money, deposited by the petitioner, which has been forfeited pursuant to Annexure 4.
2. Learned counsel for the petitioner argues that the petitioner participated in NIT No.01/2022-23, which was floated for repairing of Gram Panchayat Bhawan, Kashmar and Odia for Rs.685000/- and directi
The court held that forfeiture of earnest money without prior notice violates principles of natural justice, and a reasonable timeframe must be given for executing tender agreements.
Forfeiture of earnest money is justified due to bidder's misrepresentation and breach of tender conditions.
The NIT stipulated that tenderers who resile before the validity period shall be liable for forfeiture of EMD. The action of the respondents in seeking change of the rate offered bid amounted to resi....
The main legal point established in the judgment is that the contract stood concluded upon acceptance of the bid, and the subsequent signing of documents was only for formal documentation. The court ....
Bidders in a tender process must adhere to the terms and conditions outlined in the auction documents; failure to comply justifies cancellation of bids and forfeiture of earnest money.
The timing of offer acceptance and withdrawal in relation to EMD forfeiture is crucial in determining the applicability of tender clauses and the entitlement to EMD return.
The main legal point established in the judgment is that the forfeiture of earnest money deposit must be reasonable and in compliance with the tender conditions, and the court's decision was influenc....
Effective acceptance occurs upon dispatch, making a concluded contract binding; additional penalty clauses imposed post-acceptance invalidate forfeiture claims without proof of actual loss.
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