- (1.) The petitioner in this WP under art. 226 dated January 24, 2012 is questioning a decision of South Eastern Railway (in short SER) to cancel certain purchase orders and claim general damages at the rate of 10 per cent.
(2.) The petitioner participated in a tender process initiated by SER. As the successful tenderer it got the work. SER issued four purchase orders all dated May 23, 2008 (at pp.41- 54). By a letter dated September 1, 2009 (at p.62) SER extended the time to supply the materials under the purchase orders saying that the petitioner s failure to supply within the extended period would compel it to purchase the materials from elsewhere and make the petitioner responsible for loss, if any.
(3.) The petitioner not supplying the materials took the stand that SER had abandoned the contract in 2009. By a letter dated June 2, 2011 (at p.66) SER informed the petitioner that if the materials were not supplied within seven days, the purchase orders would be cancelled. The parties remained in correspondence for some time. The petitioner sticking to its stand that the contract had been abandoned, also took the plea that necessary extension was not given.;