LAWS(PAT)-2017-7-21

UNION OF INDIA Vs. BHAGWAN YADAV

Decided On July 04, 2017
UNION OF INDIA Appellant
V/S
BHAGWAN YADAV Respondents

JUDGEMENT

(1.) In both these appeals, challenge made is to a common order dated 12.07.2016 passed by the Writ Court in Civil Writ Jurisdiction Case No. 9169 of 2016, it is proposed to dispose of both the matters by this common order.

(2.) The authority of Eastern Railway, Malda, issued an advertisement for a grant of annual maintenance contract for maintenance of computer peripheral equipments, except networking equipments, at various locations within Malda Division. A letter of acceptance was issued to the contractor namely, the original petitioner in the writ petition, and one of the conditions in the letter of acceptance was that he has to deposit the performance guarantee within a reasonable period. When the performance guarantee was not deposited within the period stipulated, entire contract was terminated after notice and challenging the order of termination of contract, the writ petition was filed.

(3.) It was the case of the petitioner that the petitioner fell ill and, therefore, within the period stipulated in the acceptance letter dated 14.12.2015, he could not deposit the performance guarantee. Finding this to be not a justifiable reason in condoning the default, the learned Writ Court found that there is no error in terminating the contract and refused to interfere into the matter. However, while doing so, the learned Writ Court directed that the Railway should refund the earnest money and security amount deposited.