PCI LTD Vs. STATE OF HARYANA AND OTHERS
LAWS(P&H)-2016-1-472
HIGH COURT OF PUNJAB AND HARYANA
Decided on January 06,2016

Pci Ltd Appellant
VERSUS
State Of Haryana And Others Respondents

JUDGEMENT

- (1.) The petitioner has challenged the termination of the contract under which the petitioner was to supply, erect, test and commission six new 33 KV sub-stations.
(2.) Considering the facts and circumstances of this case, we are not inclined to entertain this writ petition. There are, to say the least, several seriously disputed questions of fact which cannot possibly be gone into in this writ petition.
(3.) Reliance is placed upon clauses 45.1 and 45.2 of the agreement which read as under:- "45. Contractor's Default 45.1 Notice of Default If the contractor is not executing the works in accordance with the contract or is neglecting to perform his obligations, there under, as seriously, to affect the programme for carrying out of the works, the employer may give notice to the contractor requiring him to make good such failure or neglect. 45.2 Nature of Contractor's default If the contractor:- a) Has failed to comply within a reasonable time with a notice under sub clause 45.1 or b) Assigns the contract or sub-contracts the whole of the works without the employer's written consent, or c) Becomes bankrupt or insolvent, has a receiving order made against him or compounds with his creditors, or carries on business under a receiver, trustee or manager for the benefit of his creditors or goes into liquidation. The employer may, after giving 15 days notice to the contractor, terminate the contract and expel the contractor from the site. Any such expulsion and termination shall be without prejudice to any other rights or powers of the employer, or the contractor under the contract. The employer may upon such termination complete the works himself or by any other contractor. The employer or such other contractor may use for such completion, contractor's equipment which is on the site and as he or they may think proper, and the employer shall allow the contractor a fair price for such use.";


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