BAL PHARMA LIMITED Vs. RAJASTHAN CHIKITSA SEWA NIGAM

JUDGEMENT

(1.) These two appeals are being decided by common order as the facts and issues involved are similar. For convenience, the facts are being taken from D.B.Civil First Appeal No.339/2020.

(2.) The appeal (D.B. Civil First Appeal No. 339/2020) under Sec. 13 of the Commercial Courts Act, 2015 is directed against the judgment and decree dtd. 20/5/2019 passed by the Commercial Court No.2, Jaipur Metropolitan decreeing the suit of M/s Bal Pharma Limited- respondent-plaintiff (hereinafter referred to as 'respondent').

(3.) The relevant facts are that the appellants-defendants (herein after referred to as 'appellants') invited E-bids for supply of medicines in the year 2013-14. In pursuance to the bidding, respondent was L1 and contract dtd. 12/8/2013 was entered into by the parties. The respondent furnished a performance bank guarantee to the tune of Rs.10,16,794.00. A purchase order dtd. 27/8/2013 was placed on respondent for supply of eighty eight lacs and fifty thousand units of Omeprazole within sixty days. On 2/9/2013, the respondent sent E-mail to the appellants showing inability to execute the purchase order due to unavoidable/technical reason. The appellants exercising right under clause 13 (9) made alternative arrangements of purchase on risk and cost of the respondent. The differential amount was recovered from the respondent by en-cashing performance bank guarantee and adjusting balance amount from subsequent purchase order. The suit filed by the respondent for recovery and declaration was decreed, hence, the present appeal.