Searching Case Laws & Precedent on Legal Query!
Scanned Judgements…!
Searching Case Laws & Precedent on Legal Query!
Scanned Judgements…!
Final Bill Submission Deadline - The final bill must be submitted within one month of project completion. If not submitted timely, the Employer is authorized to prepare and finalize the final bill on behalf of the Contractor, which becomes binding Sources: Mark D Almeda vs Sunil Kumar G. - 2025 Supreme(Online)(SCDRC) 24061 - 2025 Supreme(Online)(SCDRC) 24061, Mark D Almeda vs Sunil Kumar G. - Consumer State.
Extension of Time & Final Bills - During extensions granted for project completion, the Employer may issue final bills after verification, often following multiple interim RA bills. Deductions or adjustments can be made after bill verification and acceptance, with no further claims permissible once the final bill is issued and a No-Claims Certificate is provided Sources: GAIL (INDIA) LIMITED vs M/S STERLING AND WILSON PRIVATE LIMITED - Delhi_Delhi_2021_DHC_3818, GAIL (INDIA) LIMITED vs M/S STERLING AND WILSON PRIVATE LIMITED - Delhi.
Issuance of Interim and RA Bills - Contractors submit regular RA (Running Account) bills for works executed, which are certified and approved by the Project Manager or Architect. These bills are recommended for payment during the project, and delays in certification can impact the timing of payments Sources: M/S AJAY DEEP CONSTRUCTION PVT.LTD vs MAHARASHTRA STATE POLICE HJOUSING and WELFARE CORPN. LTD - Bombay, Ajay Deep Construction Pvt. Ltd. VS Maharashtra State Police Housing & Welfare Corporation Ltd. - Bombay.
Payment Timing & Certification - Payments for RA bills are to be made upon certification by the Project Manager within stipulated timelines (e.g., 30-45 days). Once bills are verified and accepted, subsequent deductions are generally not permissible, and final settlement is confirmed through certificates and No-Claims Certificates Sources: GAIL (INDIA) LIMITED vs M/S STERLING AND WILSON PRIVATE LIMITED - Delhi_Delhi_2021_DHC_3818, GAIL (INDIA) LIMITED vs M/S STERLING AND WILSON PRIVATE LIMITED - Delhi.
Additional or Later Bills - Bills issued at a later stage, beyond the regular schedule, are valid if they are properly certified, approved, and within the contractual terms. The employer’s obligation is to process bills within the agreed timeline, but subsequent claims or deductions can be challenged if not properly documented or certified timely Sources: Prashant Khare, S/o Mr. M.P.Khare vs State Of Karnataka By Hennur P.S. - 2025 Supreme(Kar) 370 - 2025 0 Supreme(Kar) 370, Union of India Through The General Manager Central Railway vs PLR HC RBR JV - Bombay.
Impact of Extension & Project Completion Certificates - During project extension periods, interim bills continue to be processed, but final bills are only issued after project completion and site clearance. Once verified and accepted, deductions are limited, and No-Claims Certificates affirm that no further claims remain Sources: GAIL (INDIA) LIMITED vs M/S STERLING AND WILSON PRIVATE LIMITED - Delhi_Delhi_2021_DHC_3818, GAIL (INDIA) LIMITED vs M/S STERLING AND WILSON PRIVATE LIMITED - Delhi.
Analysis and Conclusion:When a bill for expenses is issued at a later point during an extension period, it is valid provided it is properly certified, approved, and within the contractual terms. The employer's obligation is to process these bills within stipulated timelines, and final bills issued after project completion or extension are binding once verified. Delays in certification or approval can lead to disputes, but subsequent bills issued after proper certification are recognized as valid claims. The issuance of final bills and No-Claims Certificates signifies the conclusion of the billing process, and any bills issued beyond the regular schedule during an extension are considered legitimate if compliant with contractual procedures.
In the complex world of construction and project contracts, timing is everything—especially when it comes to billing. Imagine this: your project hits delays, the employer grants an extension to finish the work, but now you're facing questions about submitting a bill for expenses at a later point, separate from the regular billing cycle. When a Bill for the Expenses is Issued at a Later Point of Time Apart from the Time of Regular Bills during the Extension Time to Finish a Project Granted by the Employer—is it valid? This is a common dilemma for contractors and employers alike.
This article dives deep into the legal nuances, drawing from Indian case law and contractual principles. We'll explore billing timelines, the role of extensions, certification processes, and what happens when bills arrive off-schedule. Note: This is general information based on precedents and should not be taken as specific legal advice. Consult a qualified lawyer for your situation.
Project extensions are often granted due to unforeseen delays, such as weather, supply issues, or employer-side holdups. During these periods, regular Running Account (RA) bills—interim payments for work done—keep cash flow steady. However, expenses might accrue irregularly, leading to 'late' bills outside the standard schedule.
Typically, contracts stipulate:- RA Bills: Submitted periodically (e.g., monthly) and certified by the project manager or engineer-in-charge (EIC). The bills submitted by the Plaintiff from time to time, both as running bills and as final bill, were recommended for payment... M/S AJAY DEEP CONSTRUCTION PVT.LTD vs MAHARASHTRA STATE POLICE HJOUSING and WELFARE CORPN. LTD - Bombay (2021)- Final Bills: Due within a strict window post-completion. Final bill shall be submitted within one month of project completion, failing which, the Employer shall make final bill on the Contractors behalf and finalize the account, and the same shall be final and binding on the OP/Contractor. Mark D Almeda vs Sunil Kumar G. - 2025 Supreme(Online)(SCDRC) 24061
Extensions don't reset these rules entirely but allow continued billing under the same terms. Delays in certification can spark disputes, as seen in cases where employers withheld payments post-verification. GAIL (INDIA) LIMITED vs M/S STERLING AND WILSON PRIVATE LIMITED - Delhi
Generally, a bill issued later during an extension is valid if properly certified and within contractual terms. Courts emphasize certification over timing alone. Once verified by the EIC or project manager, deductions are limited, and payments must follow timelines (e.g., 30-45 days).
Key principles from precedents:- Certification is Key: He submits that once the bills were verified and accepted by EIC, no deductions could have been.... GAIL (INDIA) LIMITED vs M/S STERLING AND WILSON PRIVATE LIMITED - DelhiGAIL (INDIA) LIMITED vs M/S STERLING AND WILSON PRIVATE LIMITED - Delhi- Employer's Role in Extensions: When delays are employer-attributable, extensions come without penalties, and billing continues. final time extention sought by SWL till 15.10.2013 be granted without imposition of PRS as per GCC Clause 27.1. GAIL (INDIA) LIMITED vs M/S STERLING AND WILSON PRIVATE LIMITED - Delhi- Post-Completion Finality: Site clearance certificates trigger final bills. The ‘Site-Clearance’ Certificate was issued by SWL on 16th February, 2016 after finishing the project. GAIL (INDIA) LIMITED vs M/S STERLING AND WILSON PRIVATE LIMITED - Delhi
Late bills for additional expenses (e.g., extras during extension) must be documented. Without formal instructions, claims may falter: Admittedly, there were no written/ formal instructions issued from the Project Manager to carry out the alleged additional work... M/S VASCON ENGINEERS LTD Vs UNION OF INDIA REPRESENTED BY D G MAP - 2021 Supreme(Online)(DEL) 2952 - 2021 Supreme(Online)(DEL) 2952
Distinguishing bill types is crucial:
In extensions granted for employer delays, contractors aren't penalized: the plaintiff had applied for, and was granted EoT to complete the Project. SEIE ENGINEERING SDN BHD vs GOVERMENT OF MALAYSIA - High Court Malaya Kuala Lumpur
Indian courts have addressed these issues repeatedly:
Other cases highlight inflated or irregular billing grievances, but certification resolves them: The complainant made a grievance that he was issued the inflated bills from time to time... Executive Engineer M. S. E. B. Pune VS Mehrunnisa Hussein K. lnamdar - Consumer
Employers must:- Process RA bills within timelines (e.g., 30 days post-certification). M/S AJAY DEEP CONSTRUCTION PVT.LTD vs MAHARASHTRA STATE POLICE HJOUSING and WELFARE CORPN. LTD - Bombay (2021)Ajay Deep Construction Pvt. Ltd. VS Maharashtra State Police Housing & Welfare Corporation Ltd. - Bombay- Grant extensions without PRS if delays are theirs. GAIL (INDIA) LIMITED vs M/S STERLING AND WILSON PRIVATE LIMITED - Delhi- Issue payments post-site clearance for finals.
Contractors should:- Document extras with instructions.- Submit finals timely to avoid employer takeover.- Obtain No-Claims Certificates to affirm settlements. GAIL (INDIA) LIMITED vs M/S STERLING AND WILSON PRIVATE LIMITED - Delhi
Disputes often arise from certification delays: SPCL is delaying the bill certification so as to avoid any legal implications... Prashant Khare, S/o Mr. M.P.Khare vs State Of Karnataka By Hennur P.S. - 2025 0 Supreme(Kar) 370
When a bill for expenses is issued later during a project extension, it may be upheld if certified, approved, and contract-compliant. Employers must process promptly, while contractors ensure documentation. Delays breed disputes, but precedents favor verified claims. Final bills and No-Claims Certificates provide closure: the same shall be final and binding on the OP/Contractor. Mark D Almeda vs Sunil Kumar G. - 2025 Supreme(Online)(SCDRC) 24061
Analysis: Late bills during extensions are legitimate under proper procedures. Timely certification minimizes risks, ensuring fair settlements.
Stay proactive—track extensions, certify bills, and document everything. For tailored advice, reach out to a construction law expert.
#ConstructionLaw, #ProjectBilling, #ContractDisputes
Final bill shall be submitted within one month of project completion, failing which, the Employer shall make final bill on the Contractors behalf and finalize the account, and the same shall be final and binding on the OP/Contractor. ... The OP has issued as many as 5 bills/RA bills, which were duly certified/approved by the said ACEPTL. The summary details of the RA #H....
Final bill shall be submitted within one month of project completion, failing which, the Employer shall make final bill on the Contractors behalf and finalize the account, and the same shall be final and binding on the OP/Contractor. ... The OP has issued as many as 5 bills/RA bills, which were duly certified/approved by the said ACEPTL. The summary details of the RA #H....
was solely at GAIL’s end, final time extention sought by SWL till 15.10.2013 be granted without imposition of PRS as per GCC Clause 27.1. ... On this point, Ms. ... The ‘Site-Clearance’ Certificate was issued by SWL on 16thFebruary, 2016 after finishing the project. ... He submits that once the bills were verified and accepted by EIC, no deductions could have been....
The bills submitted by the Plaintiff from time to time, both as running bills and as final bill, were recommended for payment by the at any time; the employer had to keep to the timeline provided under stage, all regular running account bills upto RA bill no.33, Escalation bills claims for d....
The bills submitted by the Plaintiff from time to time, both as running bills and as final bill, were recommended for payment by the project management consultant, whose job was to oversee the work. ... Learned Counsel submits that the words "if possible" in clause 5.16 do not imply that the running bills (whether regular or Escalation related) could b....
Running Account Bills (“RA Bills”) were to be raised by the Contractor from time to time. The Contractor completed works as assigned from time to time by the Railways officials to the extent of Rs. 108.73 crores which was covered by the RA Bills up to the sixth RA Bill. ... Until this point, all bills were cleared by....
One point of time they destroyed the work order itself and delayed our bill certification. Without Certifying the bills and payment they started engaged another contractor for work with our materials. ... As per MSME norms, bill amount has to be cleared within forty-five days. SPCL is delaying the bill certification so as to avoid any legal implications that may arise at a lat....
was solely at GAIL’s end, final time extention sought by SWL till 15.10.2013 be granted without imposition of PRS as per GCC Clause 27.1. ... On this point, Ms. ... The ‘Site-Clearance’ Certificate was issued by SWL on 16thFebruary, 2016 after finishing the project. ... He submits that once the bills were verified and accepted by EIC, no deductions could have been....
Admittedly, there were no written/ formal instructions issued from the Project Manager to carry out the alleged additional work (with the ‘sagol/neeru finish’). ... In the present case, the reasonable time for release of RAR payment(s) would be on the date of certification of RAR bills by the Project Manager and Station Commander. ... The Arbitral Tribunal in that case returned a specifi....
[59] As regards the numerous reminder letters and Warning Letters which were issued to the plaintiff concerning the delay in the works, the plaintiff had applied for, and was granted EoT to complete the Project. ... Hence, one of the issues which had to be determined by the court was whether the employer can be made liable for the delay in the project which was caused by the Nominated Subcontractor ('NSC....
The grievance of the Plaintiff pertains to three individual items of work for which payment was not made by the Defendants and a claim for excess amount recovered by the Defendants from mobilisation advance given by the Defendants to the Plaintiff and diverse claims of interest, i.e. interest on delayed payments on three items, namely, (i) running account bills, which were paid by the Defendants with delay, (ii) Escalation bills (labour, material, POL) paid with delay, and (iii) Escalation bil....
So far as telephone No. 6801740 was concerned regular bills were not issued from time- to-time due to fault in the computer but a bill with due date of payment as 18. On the basis of another application filed by the petitioner he was allotted with another telephone No. 6803600 which was released in the month of October, 1991 and the said telephone also had STD/isd facilities. 5. 1993 was issued to the petitioner for the period from 30.
The complainant made a grievance that he was issued the inflated bills from time to time and that there was non-delivery of by monthly bills at regular intervals. He therefore, solicited the issue of bills at a particular rate for a particular period. Thereafter, he paid the second instalment with interest of Rs. 1570/- and 3rd instalment on 7-8-1992 with interest of Rs. 1570/-
00 to discharge part of the liability on 31-12-1996 drawn on Canara Bank, Somajiguda Branch, Hyderabad in favour of the complainant and the same was presented and it was returned from the bank with an endorsement funds insufficient . 00 and the same was sanctioned on 17-9-1995 repayable on 17-1-1996. He sought extention of time for repayment of the said loan amount from time to time and ultimately issued a cheques for Rs. 50,000. Then the complainant got issued notice to the....
Then the complainant got issued notice to the petitioner-accused for the dishonour of the cheque and calling upon him to pay the amount. He sought extention of time for repayment of the said loan amount from time to time and ultimately issued a cheques for Rs. 50,000. 00 to discharge part of the liability on 31-12-1996 drawn on Canara Bank, Somajiguda Branch, Hyderabad in favour of the complainant and the same was presented and it was returned from the bank with an endorsemen....
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
