| Content Provider | Supreme Court of India |
|---|---|
| e-ISSN | 30484839 |
| Language | English |
| Access Restriction | NDLI |
| Subject Keyword | Operate and Transfer (BOT) basis- Thereafter the appellant (one of the bidders) offered to reduce its price bid if exclusive advertising rights were given to it - Technical bid of the appellant accepted while that of the other bidder rejected - Price bid of the appellant was negotiated - Work order issued to the appellant - Contract - Online tenders invited by Municipal Corporation for replacement of existing street lights by LED fittings with refurbishment of street light infrastructure on Build |
| Content Type | Text |
| Resource Type | Law Judgement |
| Jurisdiction | India |
| Case Type | Appeal |
| Court | Supreme Court of India |
| Disposal Nature | Appeal Allowed |
| Headnote | Contract — Online tenders invited by Municipal Corporation for replacement of existing street lights by LED fittings with refurbishment of street light infrastructure on Build, Operate and Transfer (BOT) basis ~ Thereafter the appellant (one of the bidders) offered to reduce its price bid if exclusive advertising rights were given to it — Technical bid of the appellant accepted while that of the other bidder rejected — Price bid of the appellant was negotiated — Work order issued to the appellant — Unsuccessful bidder challenged the grant of work order by filing writ petition —- High Court quashed the work order — On appeal, held: The power u/Art. 226 of the constitution should be cautiously exercised in the matters of awarding contracts keeping in mind the public interest — In the facts of the case, High Court erred in holding that work order was illegally given to the appellants — However, the Municipal Corporation was not justified in giving the advertisement rights to the appellants without inviting tender for it— The grant of advertising rights was not part of the work for which tender was floated and was severable applying the doctrine of severability contained in s. 57 of Contract Act - Therefore, advertising rights given in the work contract shall stand quashed while rest of the work contract is upheld — Constitution of India, 1950 ~ Article 226 — Judicial Review — Scope of — Contract Act, 1872 — s. 57 — Doctrine of " severability. Judicial Review — Scope of — In administrative decisions and exercise of powers in awarding contracts -- Discussed. Doctrines/Principles — Doctrine of severability — Applicability of. Partly allowing the appeals, the Court |
| Judge | Hon'ble Mr. Justice Prafulla Chandra Pant |
| Neutral Citation | 2015 INSC 849 |
| Petitioner | Elektron Lighting Systems Pvt. Ltd. And Anr. |
| Respondent | Shah Investments Financial Developments And Consultants Pvt.ltd And Ors. Etc. |
| SCR | [2015] 14 S.C.R. 91 |
| Judgement Date | 2015-11-20 |
| Case Number | 9151-9152 |
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