IN THE HIGH COURT OF JUDICATURE FOR MADHYA PRADESH
AT JABALPUR
BEFORE
HON'BLE SHRI JUSTICE RAVI MALIMATH,
CHIEF JUSTICE
&
HON'BLE SHRI JUSTICE PURUSHAINDRA KUMAR KAURAV
ON THE 22nd OF MARCH, 2022
WRIT PETITION NO.4484 of 2022
Between:-
M/S R.N. VYAS SONS, A PROPRIETORSHIP
FIRM, THROUGH ITS PROPRIETOR/
AUTHORIZED
SIGNATORY,
MR.
SANKALP VYAS, S/O LATE SHRI S.D.
VYAS, AGED ABOUT 32 YEARS, HAVING
ITS REGISTERED ADDRESS AT-VYAS
VILLA, DESHBANDHUPURA, ITARSI,
MADHYA PRADESH-461111.
.....PETITIONER
(BY SHRI SIDDHARTH SHARMA- ADVOCATE)
AND
1.
WEST CENTRAL RAILWAY, THROUGH ITS
CHIEF COMMERCIAL MANAGER, WEST
CENTRAL RAILWAY, JABALPUR (MADHYA
PRADESH).
3.
SENIOR
DIVISIONAL
COMMERCIAL
MANAGER, DRM OFFICE, BHOPAL (MADHYA
PRADESH)
....RESPONDENTS
(BY SHRI CHANDRA MOHAN TIWARI-PANEL LAWYER)
W.P. No.4484 of 2022
- 2 -
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- (Heard through Video Conferencing)
This appeal coming on for admission this day, Hon'ble Shri
Justice Purushaindra Kumar Kaurav, passed the following:
The petitioner in the instant petition has challenged
communication dated 11.01.2022 (Annexure-P-6), made by the
Divisional Commercial Manager to Station Manager, West Central
Railway, Itarsi and Vidisha (M.P.), wherein, it has been stated that
the validity of the contract period of the petitioner with the
respondents was expiring on 16.01.2022 and the same has been
extended upto 31.03.2022 with certain conditions. The petitioner
prayed that the license period should not have been extended only
upto 31.03.2022 and status quo should be continued till further
orders to be issued by the head office with regard to renewal of the
license of the petitioner.
2.
The brief facts of the case are that on 10.11.2014, tender
notice was issued by the respondents for provision of catering
services at Itarsi Railway Station for a period of five years. On
07.06.2016, the bid of the petitioner was accepted and a letter of
acceptance for awarding license for the said work was issued in its
favour. The petitioner commenced its operation with effect from
08.08.2016. However, a master license agreement was executed
later on i.e. 24.06.2019, recognizing the fact that commencement
of the operation of the work had started with effect from
- 3 -
08.08.2016. The original agreed terms for which the license was
granted had expired. Hence vide order dated 29.12.2021, an
extension was granted which also expired on 16.01.2022. A
further extension was granted upto 31.03.2022.
3.
Learned counsel appearing for the petitioner submits that in
pursuance to some directions given by the Hon’ble Supreme Court
directing to maintain status quo with respect to minor catering unit,
the Railway Board issued instructions on 21.05.2019, directing all
Zonal Railways to maintain status quo in respect of minor catering
units as existing on 31.03.2019 for Indian Railways till further
orders are issued from the Railway Board. He further submits that
on 27.08.2019 again same directions have been reiterated to all
Principal Chief Commercial Manager of Zonal Railways. He also
places reliance on a clarification letter dated 31.12.2021 to state
that necessary action is required to be taken to see that the status
quo should continue with respect to renewal of catering license.
He, therefore, submitted that the respondents-authorities have erred
in limiting period of license only upto 31.03.2022 and have
ignored various directions given by the higher authorities.
4.
We have considered the submissions and have also perused
the record.
5.
It is an admitted fact that as per the terms of the contract, the
period for license is for five years. The commencement of the
- 4 -
period started with effect from 08.08.2016. After expiry of five
years, an extension was granted upto 16.01.2022, which was
further extended upto 31.03.2022. The intra departmental
communication of the railways would not automatically extend the
terms of the license. This Court in exercise of powers under
Article 226 of the Constitution cannot extend the period of license
beyond the period agreed between the parties in a validly executed
agreement. The right of the petitioner to operate catering shop
flows from the agreement and there is no specific extension
granted by the respondents beyond 31.03.2022.
6.
So far as the arguments made by the petitioner on the basis of
Clause-20 of the agreement is concerned, the same would also not
help the petitioner for the reason that the said clause provides that
in the event of any interpretation of the provision of the agreement
between the parties, the documents shall be read in the order of
precedence as mentioned therein i.e. railway latest policies as
applicable from time to time; the Articles of the Agreement; the
contents of Annexure(s) to the agreement; licencee’s response to
the Bid; and the Bid. Firstly, there does not arise any question of
interpretation of the provision of agreement as the terms of the
agreement are unambiguous with resp
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