Decided on April 04,2007

O.P. Insulations (P) Ltd. Appellant
MCD Respondents


S.MURALIDHAR, J. - (1.) THIS petition assails an order dated 12.12.2006 informing the petitioner that the contract awarded to him for the parking site at South Extension, Part -II by letter dated 22.9.2006 stood cancelled.
(2.) PURSUANT to the lender invited by the respondent on 31.1.2007, the petitioner was issued a provisional offer letter dated 22.9.2006 for the parking site at South Extension, Part -II, New Delhi at the monthly license fee of Rs. 2,26,000/ - plus 2.244% service tax (T.C.S.). Clause 8(c) of the Agreement indicates that 'MCD reserves the right to revise the parking charges during the currency of the contract. In case of revision in parking charges, the license fee paid by the licensee shall stand revised in the same proportion for the remaining period'. The petitioner obviously could not comply with the requirement of payment of license fee and sought a downward revision of the monthly license fee. In the meanwhile on 30.10.2006 the MCD informed the petitioner about the upward revision in the license fees. The MCD asked him to submit in writing his acceptance of the revised rates and execute a fresh Agreement with the MCD latest by 10.11.2006. The petitioner did not comply. Thereafter, the petitioner received a letter dated 9.11.2006 informing him that the MCD did not wish to continue with the parking contract awarded to the petitioner.
(3.) ON 19.12.2006 the MCD invited fresh tender bids for the grant of license for several parking sites in Delhi including the parking site at South Extension Part -II. The earnest money demanded was Rs. 2,50,000/ -. The license fee was the same that was communicated by the letter dated 30.10.2006.;

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