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M/S Shiv Gopal Traders vs State Of U.P. And Others

High Court Of Judicature at Allahabad|23 June, 2010

JUDGMENT / ORDER

Hon'ble Rajesh Chandra,J.
Notice on behalf of the respondent No.1 has been accepted by learned Standing Counsel, respondent No. 2 is represented by Sri Vivek Kumar Singh, Advocate and Sri Satya Prakash, Advocate, respondent No.3 is represented by Sri R. N. Singh, Advocate and respondent No.4 is represented by Additional Solicitor General of India.
Learned Standing Counsel as well as learned counsel for their respondents pray for and are granted a week's time to file counter affidavit. Petitioner will have three days thereafter to file rejoinder affidavit.
List on 5th July 2010 along with writ petition No.20950 of 2010. Advertisement was published by U.P. Laghu Uddyog Nigam Limited, Kanpur on 09.06.2007 inviting application for appointment as coordinator for the supply of coal to the corporation from Coal India Limited. Advertisement is enclosed as Annexure No.4 to the writ petition. There is a specific recital in the same that the appointment of the coal Coordinator shall be for a period of three years, only Respondent No.3 responded to the said advertisement with open eyes being fully aware that the contract was to be granted as Coordinator for a period of three years only. Petitioner was selected for grant of the contract. Surprisingly, in the contract executed between the respondent No.3 and respondent no.2, a clause had been added to this effect that with mutual consent of the contracting parties the term of the contract can be extended. The said clause to the contract is on page 90-G of the paper book. It is this clause which is under challenge. A further prayer is made commanding the respondent No.2 to not to bind the tenure of the contract beyond 3 years which is to expire on 30.06.2010.
We are of the opinion that only mutual agreement between the contractor and the respondent No.2 contract to the condition mentioned in advertisement in respect of the term of the contract conferring benefits upon a property would be per se arbitrary. The Contracting parties are bound by the condition specially the period of contract mentioned in the advertisement. We therefore find it will be appropriate to direct that the contract awarded to the respondent No.2 shall not be extended beyond 30th June, 2010 and any order or any action taken to the contrary will not be implemented till the next date of listing.
Order Date :- 23.6.2010 Pr/-
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Title

M/S Shiv Gopal Traders vs State Of U.P. And Others

Court

High Court Of Judicature at Allahabad

JudgmentDate
23 June, 2010