Back
IN THE HIGH COURT OF ORISSA AT CUTTACK
HARISH TANDON, CJ., MURAHARI SRI RAMAN
Jalaram Transport – Appellant
Versus
Mahanadi Coalfields Limited – Respondent
| Table of Content |
|---|
| 1. demand for penalty after significant delays. (Para 1 , 2) |
| 2. arguments regarding procedural fairness and contract terms. (Para 4 , 5) |
| 3. court analysis on penalties, contract obligations, and natural justice. (Para 6 , 7 , 8) |
| 4. quashing of penalty demand and orders for recovery. (Para 9 , 10) |
JUDGMENT :
1. The petitioner challenges the notice of demand dated 12th November, 2023 issued by opposite parties-MCL to recover a sum of Rs.9,15,980.70 from the running contract of the petitioner under NIT-843 dated 25th February, 2022 of Ananta OCP, Jagannath Area on account of penalty.
2.1. It is stated in the petition that after a lapse of ten years, the impugned demand is raised without assigning any reason therefor, nor adhering to the principle of natural justice. It is averred in the writ petition that Clause 6.2 of the General Terms and Conditions (GTC) of the Contract clearly provides that the penalties shall be calculated on a monthly basis and in order to give an opportunity to the contractor to make up the shortfall in succeeding three months within the stipulated time of completion and on fulfilling the said shortfall, the said penalty shall be released. On the basi
An authority must adhere to contract terms, including timely communication of penalties and an opportunity to rectify, or face quashing of arbitrary demands.
Point of law: Stated simply, 'unjust enrichment' means retention of a benefit by a person that is unjust or inequitable. 'Unjust enrichment' occurs when a person retains money or benefits which in ju....
Point of Law : Commercial Vehicles - Toll plazas/posts/barriers - Collection of Toll Tax – Whether rights of petitioner is violated - Conduct of parties is governed by the Contract Agreement and the ....
Public authorities must act fairly and cannot arbitrarily terminate contracts without justification, reinforcing the legitimacy of expectations within public-private partnerships.
State actions in contractual relationships must adhere to principles of fairness and non-arbitrariness as mandated by Article 14 of the Constitution of India.
The court reaffirmed that contractual disputes with an arbitration clause are not maintainable under Article 226 unless exceptional circumstances arise, emphasizing lawful forfeiture of security for ....
(1) Disputes arising out of purely contractual obligations cannot be entertained by High Court in exercise of extra-ordinary writ jurisdiction.(2) A wrong doer ought not to be permitted to make profi....
Parties to a contract must adhere to its terms despite unforeseen circumstances like force majeure, and disputes arising from such a contract should be resolved through contractual mechanisms, not ju....
An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers
Please visit our Training & Support
Center or Contact Us for assistance
Scan Me!
India’s Legal research and Law Firm App, Download now!
For Daily Legal Updates, Join us on :
Back to top
