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Apr 07 1925 (PC)

The Secretary of State for India Vs. Bhaskar Krishnaji Samant

Court : Mumbai

Reported in : AIR1925Bom485; (1925)27BOMLR973

..... have the force of law, so argued the learned advocate general, samant shall be deemed to have bound himself irrevocably when he made his tender, although under section 5 of the indian contract act he could ordinarily have revoked his tender before its acceptance. but the learned pleader for the respondent has objected that section 77 limits the powers of the local government to make ..... exceeded in so far as the rule seeks to prohibit the withdrawal of a tender before acceptance in spite of the provisions of section 5 of the indian contract act and to make the covenant not to withdraw a tender before acceptance enforceable as a contract in spite of section 25 of the indian contract act.19. the explanation to the rule which is in substance intended to modify ..... the rule does not in terms say that inspite of anything contained in sections 5 and 25 of the indian contract act, the tender shall not be revocable before acceptance and that the agreement not to revoke the tender before acceptance shall be enforceable as a contract, its effect is clear; i cannot say that the words of the explanation are ambiguous in any sense. ..... conferred upon the local government by section 75 (d). its effect is to make a tender irrevocable before acceptance in spite of section 5 of the indian contract act and to make an agreement not to withdraw a tender before acceptance enforceable us a contract in spite of section 25 of the indian contract act and to bring a writing within the scope of section 84 of the .....

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Mar 16 2006 (HC)

Vinod J. Agarwal Vs. Chief Officer, Mira-bhayander Municipal Council,

Court : Mumbai

Reported in : AIR2006Bom254; 2006(3)ALLMR484; 2006(4)BomCR356; 2007(1)CTLJ216(Bom); 2006(4)MhLj126

..... in : air2003sc3823 , the learned advocate appearing for the petitioner submitted that considering the provision of law contained in section 5 of the indian contract act, the tender having been withdrawn before acceptance thereof, the respondents could not have proceeded to forfeit the earnest money in the absence of any specific condition attached to ..... . once it is not in dispute that the alleged acceptance of the tender was on 21-5-1994 and the petitioner having chosen to withdraw the offer much prior to the said ..... the period of the bid validity and/or after the acceptance of the bid and on agreement being signed. referring to the provisions of the indian contract act, which merely provide that a person can withdraw his offer before the acceptance of his offer, and noting that withdrawal of an offer before its ..... tender submitted by the petitioner and even if it was opened, it could not have been accepted, as on 21-5-1994 the offer of the petitioner was not subsisting. the law on the point of withdrawal of offer is very clear in view of the provision of law comprised under section 5 of the indian contract act ..... to withdraw his offer but if he had made his offer on condition that some earnest money will be forfeited for not entering into contract or if some act is not performed, then even though he may have a right to withdraw his offer, he cannot have right to claim that the .....

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Mar 11 2002 (HC)

Mekala Yadaiah Vs. A.P. State Warehousing Corporation, Hyd. and ors.

Court : Andhra Pradesh

Reported in : 2002(3)ALD380

..... absence of any mala fides attributed to the government agencies in awarding a particular work by negotiationresulting in corresponding loss to the corporation or award of contract was due to extraneous consideration, non-floating of tenders or not holding public auction would not in all cases be deemed to be the result of the exercise of the executive power in an ..... by government, which we have discussed above must apply equally where such corporation is dealing with the public, whether by way of giving jobs or entering into contracts or otherwise, and it cannot act arbitrarily and enter into relationship with any person it likes at its sweet will, but its action must be in conformity with some principle which meets the ..... done which gives an appearance of bias, jobbery or nepotism.14. similarly in g.b. mahajan v. jalgaon municipal council, : air1991sc1153 , the supreme court while considering the validity of contract entered into by the municipal council with the private developer for construction of commercial complex as per the policy decision of the government held as under:'.......a project, otherwise legal ..... article 14 and it must characterize every state action, whether it be under authority of law or in exercise of executive power without making of law. the state cannot, therefore act arbitrarily in entering into relationship, contractual or otherwise with a third party, but its action must conform to some standard or norm which is rational and non-discriminatory ....... (para .....

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Apr 24 1996 (SC)

Tamil Nadu Electricity Board and Another Vs. N. Raju Reddiar and Anoth ...

Court : Supreme Court of India

Reported in : 1996IVAD(SC)393; AIR1996SC2025; 1996(2)ARBLR210(SC); II(1996)BC1(SC); 1996(2)CTC193; JT1996(6)SC14; 1996(4)SCALE180; (1996)4SCC551; [1996]Supp1SCR739

..... the plaintiff's contention that the agreement was on multi slab basis. on an analysis of the pattern of the working of the rates in several tenders the learned judge rejected the plaintiffs' contention that the contract was on multi slab basis. though the plaintiffs relied upon several recommendations of the superintending engineer but the learned judge on consideration of the same ..... is not open for the defendants to give a go bye to the said admission of the witness. the learned counsel also urged that the defendants in fact accepted and acted on multi slab basis as is apparent from the letter exhibit p-39 dated 18.4.80 from the superintending engineer, general construction circle/south. tirunelvalli to the chief engineer ..... parties. under section 92 of the evidence act where the written instrument appears to contain the whole terms of the contract then parties to the contract are not entitled to lead any oral evidence to ascertain the terms of the contract. it is only when the written contract does not contain the whole of the agreement between the parties and ..... therefore the parties are bound by the terms and conditions of the agreement. once a contract is reduced to writing, by operation of section 91 of the evidence act it is not open to any of the parties to seek to prove the terms of the contract with reference to some oral or other documentary evidence to find out the intention of the .....

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Jul 25 1984 (SC)

A.T. Brij Paul Singh and ors. Vs. State of Gujarat

Court : Supreme Court of India

Reported in : AIR1984SC1703; 1984(2)SCALE56; (1984)4SCC59; 1984(16)LC915(SC)

..... would permit an inference that the work was entirely identical. and the second reason to reject the contention is that ordinarily a contractor while submitting his tender in response to an invitation to tender for a works contract reasonably expects to make profits. what would be the measure of profit would depend upon facts and circumstances of each case. but that there shall ..... plaintiff-contractor was entitled to damages under the head 'loss of profit.' in this connection, the high court referred to hudson's building and engineering contract (1970), tenth edition and observed that 'in major contracts subject to competitive tender on a national basis, the evidence given in litigation on many occasions suggests that the head-office overheads and : profit is between 3 to ..... contractor would be entitled to claim damages for loss of profit which he expected to earn by undertaking the works contract. what must be the measure of profit and what proof should be tendered to sustain the claim are different matters. but the claim under this head is certainly admissible. leaving aside the judgment of the trial court which rejected the ..... the amount of rs. 16,59,900/- only. the tender of the appellant was accepted on july 6, 1954 as per the letter of the executive engineer, road development division, rajkot. as agreed to between the parties, the appellant furnished security deposit in the amount of rs. 24, 885/- and the contract documents were executed between the parties. the only term of .....

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Jan 18 2007 (HC)

Vishwa Industrial Company Pvt. Ltd. Vs. Mahanadi Coalfields Ltd. and o ...

Court : Orissa

Reported in : AIR2007Ori71; 103(2007)CLT246; 2007(2)CTLJ118(Ori)

..... withdrawn itself from the dialogue by clearly stating that the supply order is not acceptable to it, the question of a completed contract does not arise.11. section 4 of the indian contract act, 1872 provides that the communication of a proposal is complete when it comes to the knowledge of the person to whom it ..... compliance to clause 21 of the tender document. in the letter dated 30.12.2003 by which formal order was placed by the mcl on the petitioner, the mcl specified the terms ..... to an unqualified and unconditional acceptance of the offer made by the petitioner.13. the facts as narrated above would show that the petitioner in its tender stated that in lieu of performance bank guarantee, the omnibus bank guarantee given by it, to the coal india limited should be accepted as sufficient ..... on receipt of the letter of the petitioner dated 27.1.2004 again requested the petitioner to comply with the performance bank guarantee clause of the tender document. this request was again turned down by the petitioner by letter dated 19.2.2004 under annexure-8 to the writ petition whereunder the ..... in its formal order dated 30.12.2003 placed on the petitioner, required the petitioner to submit a bank guarantee as per clause 21 of the tender document which has been quoted above.4. the petitioner's case is that it received the said letter dated 30.12.2003 of the mcl on .....

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Jul 13 1999 (HC)

M/S. K.G. Construction and Another Vs. Municipal Corporation for Great ...

Court : Mumbai

Reported in : 1999(4)ALLMR142; 1999(4)BomCR729; (1999)3BOMLR339

..... has successfully completed similar work earlier ; (6) time which will be taken to deliver the goods or services; and often (7) the ability of the tenderer to take follow up action, rectify defects or to give post contract services. even when the state or a public body enters into a commercial transaction, considerations which would prevail in its decision to award the ..... said doubts, the deputy city engineer's office gave the following clarifications :'as regards the (1) the deposit is required to be paid by tenderer quoting more than -20% rebate, as per the past practice of this contract and it was admitted that word 'below' should have been printed instead of 'above'.as regards (2) we were instructed to pay four separate ..... tender. in our view, additional security deposit is necessarily as essential term of the lender. if the respondents have insisted on ..... thereafter fail to perform to the prejudice of the public at large. it was for this reason that the tenderers was required to show the colour of his money which only would guarantee his capability and capacity to act true to his word in the contract. we are unable to hold that such a term could be considered as non-essential to the .....

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May 14 2008 (HC)

Rawatsons Engineers (P) Ltd. Vs. the Union of India (Uoi) and ors.

Court : Patna

..... 11. now, the legal position is well established that a notice inviting tender is nothing but soliciting offer. a tender filed in response to the notice inviting tender is an offer or a proposal within the meaning of section 2(a) of the contract act. a proposal by itself does not create any liability so far as the ..... the modified part of the offer as a part of their acceptance. it is clearly contrary to the first sub-section of section 7 of the contract act and hence it is fit to be rejected.19. in law and in view of the rule, as laid down in the first sub-section of ..... section 7 of the contract act, there is no acceptance by the railway and there being no acceptance, the parties cannot be said to be in consensus ad idem.20. that being ..... .12. section 7 of the contract act clearly lays down that in order to convert a proposal into a promise, the acceptance must be absolute and unqualified. if acceptance is ..... proposer is concerned unless it is accepted. once acceptance to the proposal as such is communicated to the proposer it becomes an agreement. an agreement enforceable by law is a contract .....

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Nov 11 2002 (HC)

Gammon India Ltd. Vs. Union of India (Uoi) and ors.

Court : Delhi

Reported in : 2003(1)ARBLR353(Delhi)

..... whereby something was pleaded or solicited. such a course of action was open as per 'instructions to tenderers' and it was for the employer to accede to these requests or not.21. the matter can be examined in the context of provisions of indian contract act as well. it is well known that an nit is invitation to bidder to make offer i.e ..... . it is invitation to offer. an offer or proposal is defined in section-2(a) of the indian contract act which reads as under:'2(a) when one person signifies to another his willingness to do or to abstain from doing anything, with a view to obtaining the assent of ..... has to be on certain terms. the 'acceptance' thereof should be absolute or unconditional (section 7 of the contract act) to make it a concluded contract. a conditional acceptance becomes counter offer and it is for the offerer to accept it or not. however, it is well known that in government contracts, tenders offers are invited invariably, nay, always with pre-determined/stipulated conditions of ..... effect: 'the lump sup prices and rates in all schedules shall all be quoted by the tenderer in indian currency (indian rupees (inr)).'pointing out to the minutes of pre-tender meeting, it was submitted that it was emphasised that all payments would be in inr and the contract must make all allowances dealing with exchange rate calculations on account of imported respect .....

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Jan 12 1989 (HC)

Abdus Salam Choudhury Vs. the State of Assam and ors.

Court : Guwahati

..... it is contrary to and/or comes in conflict with the provisions of the indian contract act, is inoperative and void and cannot be enforced and that the petitioner under section 5 of the contract act has the right entitling him to withdraw/revoke his offer/proposal made in his tender before acceptance thereof by the settling authorities and having done so by his ..... settling authorities. it being a statutory right of the petitioner under the provisions of the indian contract act entitling him to withdraw/revoke his offer/proposal made in his tender before acceptance thereof by the authorities and the petitioner having done so in the instant case, the contract of sale of the mahal in question for the settlement period could not be enforced on ..... to make good the loss before a sale of the mahal is made and even in case the tender is withdrawn before acceptance thereof.10. under the provisions of section 5 of indian contract act, a proposal may be revoked at any time before communication of its acceptance is complete as against the proposer, but not afterwards. admittedly, the petitioner withdrew his ..... offer made in his tender by the application dt. 21-3-77 well before acceptance thereof. in other words, the petitioner revoked his proposal/offer well before acceptance thereof. under the provision of the indian contract act, the petitioner has the statutory right to withdraw/revoke his offer for getting settlement of .....

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