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2026 Supreme(Online)(Ker) 16841

IN THE HIGH COURT OF KERALA AT ERNAKULAM
ZIYAD RAHMAN A.A., J
ABDUL RAHMAN T.A. – Appellant
Versus
STATE OF KERALA – Respondent


Advocates:
For the Appellants/Petitioners: SHRI.DEEPU THANKAN, SMT.UMMUL FIDA, SMT.VINEETHA BOSE, SMT.CINDIA S.
For the Respondents: SHRI.E.C.BINEESH, SC

Table of Content
1. performance guarantee terms of the contract. (Para 1)
2. court upholds the eligibility for reduced guarantee under pandemic relief. (Para 2 , 3)

JUDGMENT

The petitioner is an A class contractor, who was entrusted with the work based on Ext.P1 letter of acceptance dated 05.10.2023 for executing the work named “KIIFB-PWD016-31--Construction of Vellayani bridge connecting Poonkulam and Kakkamoola in Thiruvananthapuram District- General civil works”. As part of the tender conditions, the petitioner is supposed to deposit 5% of the contract value as the performance guarantee. According to the petitioner, insisting for performance guarantee @ 5% is not legally sustainable, in view of Exts.P2 to P4 Government Orders, by which, the performance guarantee was reduced to 3% of the contract value. As the respondents were not prepared to accept performance guarantee of 3% of the contract value, the petitioner has approached this Court seeking the following reliefs:

“a) Issue a writ of mandamus any other appropriate writ order or directions directing the second respondent to permit the petitioner to execute the agreement with respect of the work namely KIIFB-PWD016- 31--Construct

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