LAWS(KER)-2017-10-142

ANAS BABU Vs. UNION OF INDIA

Decided On October 20, 2017
ANAS BABU Appellant
V/S
UNION OF INDIA Respondents

JUDGEMENT

(1.) Introduction: A few contractors execute civil works for a government entity, a public sector undertaking. The execution results in delay and extra expenditure. Citing the abnormal, unexpected price escalation as the cause, the contractors want the Government to compensate them. The Expert Committee that looked into the issue recommends compensation. The Government pays compensation to some and denies to others.

(2.) Questioning the denial, three contractors approached this Court. The issue is whether the Government has acted irrationally and arbitrarily.

(3.) All the three petitioners, contractors, have performed many civil works for the Government and various Government Departments. They have completed them with delay, though. The contractors assigned the delay to the increased scope of the work and also other unforeseen factors-they assert-not attributable to them.