Citation : 2021 Latest Caselaw 1417 Ker
Judgement Date : 14 January, 2021
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR.JUSTICE C.T.RAVIKUMAR
&
THE HONOURABLE MR. JUSTICE K.HARIPAL
THURSDAY, THE 14TH DAY OF JANUARY 2021 / 24TH POUSHA, 1942
WA.No.82 OF 2021
AGAINST THE ORDER/JUDGMENT IN WP(C) 19703/2020(K) OF HIGH COURT OF
KERALA
APPELLANT/PETITIONER:
T.T.SUNNY,
AGED 76 YEARS,
P.W.D CONTRACTOR,
THANDEKKATTU HOUSE,
MEENANGADI P.O., WAYANAD DISTRICT,
PIN 673 591.
BY ADVS.
SRI.G.SHRIKUMAR (SR.)
SRI.GEORGE MECHERIL
RESPONDENTS/RESPONDENTS:
1 THE STATE OF KERALA
REP.BY ITS SECRETARY TO GOVERNMENT,
PUBLIC WORKS DEPARTMENT, SECRETARIAT,
THIRUVANANTHAPURAM, PIN 695 001.
2 THE CHIEF ENGINEER,
PUBLIC WORKS DEPARTMENTS (ROADS AND BRIDGES),
THIRUVANANTHAPURAM, PIN 695 001.
3 THE SUPERINTENDING ENGINEER,
PWD ROADS (NORTH CIRCLE),
P.W.D. COMPLEX, MANAMCHIRA,
KOZHIKODE, PIN 673 001.
4 SAJI MATHEW,
P.W.D.CONTRACTOR,
5TH MILES, MANANTHAVADY,
WAYANAD DISTRICT, PIN 670 645.
R1-4 BY RENIL ANTO KANDAMKULATHI GP
THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 14.01.2021,
THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
Writ Appeal No. 82 of 2021
2
JUDGMENT
Ravikumar, J.
This appeal is preferred against judgment dated
11-12-2020 in W.P.(C) No. 19703/2020. The appellant filed the said
writ petition mainly assailing Exhibit P8. He also sought for
quashment of Exhibit R3(b) and also for a direction to respondents 1
to 3 to permit him to complete the work in question within the time
frame fixed in Exhibit P1 by accepting an undertaking to that effect,
to be filed, without change of any other conditions. The respondents
filed a counter affidavit resisting the claims and contentions of the
appellant. The learned Single Judge after considering the rival
contentions and taking note of the relevant clause in the P.W.D.
Manual namely; clause 2009.6, declined to accept the contentions of
the petitioner and consequently dismissed the writ petition. It is in
such circumstances that this appeal has been preferred.
2. Heard the learned counsel for the appellant as also the
learned Government Pleader.
3. A brief narration of the facts which constrained the Writ Appeal No. 82 of 2021
appellant to approach this Court by filing the above-mentioned writ
petition is necessary for a proper disposal of this appeal. In fact, on
the terms of the agreement there is no dispute. The petitioner who is
an A class contractor was awarded, on his being becoming the
successful tenderer, the work of 'providing BM & BC to
Thalasserry-Baveli Road between KM/86/000 to 93/000 in Wayanad
District'. As L1 in respect of the said work, he was to execute an
agreement within 14 days and a grace period of 10 days was also
available for the said purpose in case of failure to execute the
agreement within 14 days. Accordingly, the appellant was directed
to produce stamp paper worth Rs.43,200/- and also remit a sum of
Rs.21,58,500/- towards performance guarantee. Admittedly, as per
the tender conditions, out of the said amount, 50% should have been
treasury deposit and the rest bank guarantee. The fact is that the
petitioner could not execute the agreement and also the work, within
the time stipulated.
4. It is the case of the petitioner that, he is a septuagenarian
and on account of the outbreak of Covid-19 pandemic he was not in
a position to undertake the work after executing an agreement and
hence he submitted Exhibit P2 letter dated 29-06-2020. As per the Writ Appeal No. 82 of 2021
same he intimated the respondents that he was ready to commence
the work without executing the agreement and also sought for
extension of time for execution of the work. Later, he was issued
with Exhibit P5 letter dated 12-08-2020, informing that in case of
his failure to execute the agreement within 7 days from the date of
receipt of the same, without further intimation, his selection would
be cancelled at his risk and cost. Admittedly, even within the time
stipulated therein, the petitioner could not execute the agreement
and commence the work. Thereafter, Exhibit P8 letter dated
16-09-2020 was issued to him by the 3rd respondent. Along with the
same, stamp paper, security deposit and bank guarantee furnished by
the appellant were returned. In and vide Ext.P8 he was intimated
that on account of his failure to execute the agreement in terms of
the provisions under Clause 2009.6 of the P.W.D. Manual, L2 was
given the option to undertake the work at the same rate with same
conditions. Evidently, L2 accepted and executed the agreement. As
a matter of fact, the necessary stamp paper along with the bank
guarantee from the appellant reached the 3rd respondent only after
L2 was entrusted with the work. The sole ground on which the
petitioner assails Exhibit P8 as also Exhibit R3(b) is that the order of Writ Appeal No. 82 of 2021
cancellation was not properly communicated to him. It was also his
contention that upon his selection as L1, he accrued a right in
respect of the work in question and that right could not have been
taken away in the manner revealed from Exhibit P8.
5. The impugned judgment would reveal that the said
contention which was attempted to be established in the light of
certain decisions were taken into consideration by the learned Single
Judge. The learned Single Judge virtually considered the question
whether the petitioner is right in contending that in respect of the
work he accrued a right. Evidently, it was found that by the mere
selection he had not accrued any right in respect of the work and he
could have claimed accrual of such a right only after execution of
the agreement pursuant to the selection. Despite granting of
sufficient time even beyond the permissible period, he could not
execute the agreement and therefore his claims and contentions are
untenable. On the mere contention that he did not get a separate
communication regarding the cancellation of selection notice,
Exhibit P8 is not liable to be interfered with, especially in the light
of Ext.P5. We are of the considered view that the petitioner could
have raised a contention that he had accrued a right in respect of the Writ Appeal No. 82 of 2021
work, provided there is a concluded contract in respect of the work
in his favour. The facts narrated above would reveal that after his
selection he was called upon to execute the agreement. Admittedly,
it was not executed. There is no dispute regarding the factum of
non-execution of the agreement. When that be so, it can only be
said that there is no concluded contract which could confer any right
on the appellant in respect of the work. In such circumstances, we
are of the view that the conclusion and finding of the learned Single
Judge that the mere selection had not conferred any right on the
appellant is a lawful conclusion and the failure to give a separate
communication could not be taken as a ground to interfere with
Exhibit P8 with cancellation of the selection of the appellant in the
circumstances obtained in this case. Obviously, the learned Single
Judge also found that the action on the part of the 3 rd respondent
could only be viewed as an action taken to protect public interest in
view of the urgent nature of the work.
6. The learned Senior government Pleader submitted that
subsequent to the award of the work to L2 in terms of provisions
under Clause 2009.6 of the P.W.D. Manual, 60% of the work in
question has already been completed. Taking into account all the Writ Appeal No. 82 of 2021
afore said aspects we do not find any reason to interfere with the
impugned judgment in exercise of the appellate power under
Section 5 of the High Court Act.
7. When we are about to part with the judgment, the
learned counsel for the appellant made a submission that the
appellant may be permitted to approach the respondents with a
request for refund of E.M.D. which he has deposited. It is submitted
that it is refundable in view of the fact that apparently no loss was
caused to the respondents at the instance of the appellant. We do not
think it proper to make any observations with respect to such
submissions. However, we are of the view that liberty can be given
to the appellant to approach the respondents with such a request, in
case he desires to do so.
Subject to the same this writ appeal stands dismissed.
Sd/-
C.T.RAVIKUMAR JUDGE Sd/-
K.HARIPAL JUDGE
SSK/14/01
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