STEEL AUTHORITY OF INDIA LTD AND OTHERS Vs. TEJAS CONSTRUCTION, DALTONGANJ AND ANOTHER
LAWS(JHAR)-2018-2-163
HIGH COURT OF JHARKHAND
Decided on February 08,2018

Steel Authority Of India Ltd And Others Appellant
VERSUS
Tejas Construction, Daltonganj And Another Respondents

JUDGEMENT

- (1.) Heard learned counsel for the parties.
(2.) Both the appeals have been tagged together and are being heard analogously as they involve the same issue and arise out of the judgments of learned single Judge passed on the same date 22nd April, 2014 in two writ-petitions W.P.(C) No.6213/2011 and W.P.(C) No.6255/2011 of the same writ-petitioner. The dates of tender notices were also same. Facts of both the writ petitions are common, but for convenience sake, relevant material facts as borne from the writ petition W.P.(C) No.6213/2011 are being noticed hereunder.
(3.) The legal issue posed for answer in both the appeals is whether the action of the employer/respondent-Steel Authority of India Limited/appellants herein in forfeiting the earnest money of the petitioner was proper in the eyes of law or not. Learned Single Judge was of the view that since the petitioner withdrew his bid offer after expiry of 90 days i.e. the validity period tender as per Clause-5 of the tender notice, as the respondents were at fault in not issuing the work order within the stipulated period, there was no question of application of penalty clause for forfeiting the petitioner's earnest money. The bare facts required to be noticed for determination of this issue are as under: 3. Petitioner in the respective writ petitions participated under two tender notices both dated 26th November, 2010; one for production and dispatch of dolomite and the other for limestone. On the scheduled date of opening of the tender there was only one offer. The date of opening of tender was extended with the approval of the competent authority and within the extended time two additional offers were received. Since three tenders were received and still they were less than the required number of tenders as per PCP- 2009, the opening date of tender was again extended up to 5th February, 2011 with the approval of the competent authority. On request of the existing contractors, date of opening of tender was again extended up to 18th February, 2011 with the approval of the competent authority when five more offers were received which increased the number of offers to eight. Evaluation of these eight offers were done by the tender committee. Only seven of them qualified techno-commercially.;


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