Citation : 2025 Latest Caselaw 763 Ker
Judgement Date : 9 July, 2025
2025:KER:50167
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR.JUSTICE N.NAGARESH
WEDNESDAY, THE 9TH DAY OF JULY 2025 / 18TH ASHADHA, 1947
WP(C) NO. 31965 OF 2024
PETITIONER:
MOHAMMED AKBAR.V
AGED 46 YEARS
S/O. ABDUL HAJI, VEMMULLY HOUSE,
EDAYATTUR P.O, MELATTUR,
MALAPPURAM DISTRICT, PIN - 679326
BY ADVS.
SHRI.JACOB SEBASTIAN
SHRI.WINSTON K.V
SMT.ANU JACOB
SHRI.BHARATH KRISHNAN G.
RESPONDENTS:
1 STATE OF KERALA
REPRESENTED BY SECRETARY TO GOVERNMENT,
PUBLIC WORKS DEPARTMENT,
GOVERNMENT SECRETARIAT, SECRETARIAT P.O,
THIRUVANANTHAPURAM, PIN - 695001
2 THE SUPERINTENDING ENGINEER
PUBLIC WORKS DEPARTMENT,
OFFICE OF THE SUPERINTENDING ENGINEER,
NORTH CIRCLE, PWD COMPLEX,
KOZHIKODE DISTRICT, PIN - 673001
3 THE EXECUTIVE ENGINEER
PUBLIC WORKS DEPARTMENT (BUILDINGS) DIVISION,
2025:KER:50167
W.P.(C) No.31965/2024
:2:
OFFICE OF THE EXECUTIVE ENGINEER,
CIVIL STATION, PALAKKAD DISTRICT,
PIN - 678001
4 THE ASSISTANT EXECUTIVE ENGINEER
PUBLIC WORKS DEPARTMENT (BUILDINGS),
OFFICE OF THE ASSISTANT EXECUTIVE ENGINEER,
SUB-DIVISION CHITTUR, PUDUNAGARAM P.O,
PALAKKAD DISTRICT, PIN - 678101
5 THE ASSISTANT ENGINEER
PUBLIC WORKS DEPARTMENT (BUILDINGS) SECTION,
OFFICE OF THE ASSISTANT ENGINEER, ALATHUR,
PALAKKAD DISTRICT, PIN - 678541
BY SMT. ANIMA M., GOVERNMENT PLEADER
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR
ADMISSION ON 30.06.2025, THE COURT ON 09.07.2025
DELIVERED THE FOLLOWING:
2025:KER:50167
W.P.(C) No.31965/2024
:3:
N. NAGARESH, J.
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W.P.(C) No.31965 of 2024
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Dated this the 9th day of July, 2025
JUDGMENT
~~~~~~~~~
Petitioner is a PWD A-Class Contractor.
The petitioner undertook the work of construction of building
for the Government UP School at Kanakkanthuruthy in
Palakkad District. An agreement was executed on
10.07.2020. The work had to be completed within 15
months.
2. The petitioner states that after executing the
agreement, the petitioner requested the 4 th respondent to
handover the site. The site was not ready for handing over as
there were two old buildings in the site and those buildings 2025:KER:50167
had to be demolished. The 4 th respondent later informed the
petitioner that the site is ready for handover. The petitioner
inspected the site and found that the site was full of debris
and is not hindrance free.
3. The petitioner informed respondents 4 and
5 that the work of excavation for site levelling and depositing
the excavated earth on bank could not be executed since
there was no space available for depositing the excavated
earth in the site premises. Later, the 3 rd respondent made
arrangements for auctioning the excavation and removal of
earth from the site. The petitioner had to return the site to the
Department for this purpose.
4. Thereafter, when the petitioner visited the
site, he found two big roots of trees left at the site which
could not be handled even by the excavators. After repeated
requests, the site was handed over to the petitioner in July,
2021. Since many items which were not originally provided
for in the agreement had to be executed, the Department 2025:KER:50167
decided to revise the estimate. In October 2021, the
Assistant Engineer recommended revised estimate for the
work. The revised estimate was approved only on
22.07.2024 as per Ext.P2. In the circumstances, the
petitioner could complete the work only by March, 2023. The
school building was used from the academic year 2023-2024.
5. The petitioner submitted Ext.P4 letter to the
2nd respondent requesting to extend the time for completing
the work upto 31.03.2023 with the same terms and
conditions of agreement, without fine. There was no
response to Ext.P4. In addition to the agreed terms, the
petitioner was called upon to execute some extra items of
work which were executed. The petitioner submitted his bills
and the final bill was for ₹70,00,000/-. The Department
approved the revised estimate. The petitioner was issued
with Ext.P5 letter dated 26.07.2024 requiring him to execute
a supplementary agreement so that his bill can be
processed.
2025:KER:50167
6. When the petitioner approached the 2 nd
respondent in response to Ext.P5, the petitioner learnt that
the respondents have imposed an amount of ₹20,43,844/- as
fine/penalty for delayed completion of work. The 2 nd
respondent stated that the petitioner was exclusively
responsible for the delay and the supplementary agreement
could be executed only on accepting the penalty.
7. The petitioner submitted Ext.P6
representation to the 2nd respondent denying his liability and
requesting to release the bill amounts after executing the
supplementary agreement. The petitioner states that the
failure to complete the work on time can be attributable only
to the delay in handing over the site and the non-sanctioning
of revised estimates. It is highly arbitrary and unreasonable
to require the petitioner to bear the loss arising from the
indecisiveness or delay on the part of the Department in
sanctioning revised estimate.
2025:KER:50167
8. The 4th respondent resisted the writ petition
filing counter affidavit. The 4th respondent stated that the
petitioner having failed to complete the entrusted work within
time, is liable for imposition of fine and penalty under the
Kerala PWD Manual and contractual provisions. The
petitioner requested multiple extensions based on personal
reasons. The petitioner had earlier delayed many other works
entrusted by the Department.
9. The 4th respondent stated that the petitioner
had taken possession of the site on 17.07.2020, which was
after seven days of execution of the agreement. The
demolition of the existing building was part of the agreed
scope of work. The petitioner was obliged to demolish the
existing building and dispose of the debris. The petitioner
was required to resume the work as per communication
dated 19.01.2021 of the 3rd respondent.
10. Initialisation of revised estimate module
does not substantiate the immediate necessity of a revised 2025:KER:50167
estimate. The petitioner had only made a little progress till
October, 2021. The Contractor had not made any
considerable progress, to finalise the revised estimate. The
petitioner was granted extension of time, three times. Yet, the
petitioner failed to complete the work in time.
11. The petitioner, who is responsible for the
delay in execution, is liable to pay liquidated damages as
agreed in the contract. The preparation of a Revised
Estimate necessitates a minimum progress of work to
ascertain the quantities to be revised and the additional items
to be included. The extreme slow progress of work led to
delays in the preparation of the Revised Estimate. Despite
the delay in execution of work, the petitioner was promptly
paid with bills, whenever he made a claim. A total of seven
running bills were passed till date. Those amounts to a total
of ₹1,80,46,663/-.
12. There was no delay in handing over the site.
The site was handed over within seven days from execution 2025:KER:50167
of the agreement. Despite the availability of sufficient space
at the site, even after the deposit of demolition debris and
excavated earth, the petitioner used this as a pretext to delay
the work execution, which was already hindered by his own
negligence. The hindrances claimed to have existed at the
earlier stage of the work were either responsibilities to be
accomplished by the petitioner or could have been easily
handled by him. These issues were never raised as
hindrances, in his earlier applications. Furthermore, even if
the arguments regarding hindrances at the site were
ultimately unsubstantiated, any alleged delay resulting from
such hindrances have been adequately mitigated by the
approval of time extensions.
13. I have heard the learned counsel for the
petitioner and the learned Government Pleader representing
the respondents.
14. The petitioner executed the agreement on
10.07.2020. The work had to be completed within 15 2025:KER:50167
months. The petitioner states that there were two existing
buildings which had to be demolished to start the work. The
4th respondent in his counter affidavit has stated that
demolition of the existing building and disposal of debris
were the responsibility of the petitioner.
15. Ext.R4(d) letter dated 15.01.2021 would
show that the petitioner had informed the Assistant Engineer
regarding the necessity to demolish the two old buildings in
the worksite and removal of debris. By the said Ext.R4(d)
letter dated 15.01.2021, the Assistant Engineer informed the
petitioner that the debris of the removed building has been
deposited in the worksite and that action is in progress to
remove the debris, though in Ext.R4(d).
16. Though the Assistant Engineer in Ext.R4(d)
has alleged that the petitioner is going slow in the work, it is
clear from Ext.R4(d) that the respondents themselves had
the duty to remove the debris from the worksite. Ext.R4(e)
communication dated 18.01.2021 of the Assistant Executive 2025:KER:50167
Engineer would also indicate that there was difficulty for the
petitioner in executing the work because of the deposit of
debris. The contention of the 4 th respondent that it was the
duty of the petitioner to demolish the building and dispose of
the debris, therefore, cannot be accepted in the light of
Exts.R4(d) and R4(e).
17. Ext.P2 is a copy of the details concerning
the work downloaded by the petitioner from the portal of the
Public Works Department. Ext.P2 would indicate that the
revised estimate for the work was created only on
20.10.2021 and it took considerable time for processing and
passing of the revised estimate. The revised estimate was
finally passed only on 22.07.2024. It is to be noted that the
petitioner had completed the work by March, 2023, even
before passing of revised estimate.
18. The agreement was executed on
10.07.2020. The work was to be completed by 16.10.2021.
The petitioner was handed over the work site only in the 2025:KER:50167
month of December, 2021. Ext.P3 fitness certificate would
indicate that the petitioner had completed the work much
before 14.06.2023, the date of Fitness Certificate. As
evidenced by Ext.P2, the revised estimate was passed only
on or after 22.07.2024. In the circumstances, penalising the
petitioner for delay in completion of the work, imposing
penalty or liquidated damages cannot be legally justified.
19. The 2nd respondent is therefore directed to
permit the petitioner to execute the supplementary
agreement for the work without imposing fine/penalty and
release the amount due to the petitioner expeditiously and at
any rate within a period of three months.
The writ petition is allowed as above.
Sd/-
N. NAGARESH, JUDGE aks/07.07.2025 2025:KER:50167
APPENDIX OF WP(C) 31965/2024
PETITIONER'S EXHIBITS
Exhibit-P1 A TRUE COPY OF THE SELECTION NOTICE DATED 24.06.2020 ISSUED BY THE SECOND RESPONDENT.
Exhibit-P2 A TRUE COPY OF THE DETAILS CONCERNING THE WORK DOWNLOADED FROM THE PORTAL OF THE PUBLIC WORKS DEPARTMENT.
Exhibit-P3 A TRUE COPY OF THE FITNESS CERTIFICATE DATED 14.06.2023 ISSUED BY THE FOURTH RESPONDENT FOR THE WORK COMPLETED BY THE PETITIONER.
Exhibit-P4 A TRUE COPY OF THE REPRESENTATION
DATED 13.05.2023 SUBMITTED BY THE
PETITIONER BEFORE THE SECOND
RESPONDENT.
Exhibit-P5 A TRUE COPY OF THE LETTER DATED
26.07.2024 ISSUED FROM THE OFFICE OF
THE SECOND RESPONDENT.
Exhibit-P6 A TRUE COPY OF THE REPRESENTATION
DATED 04.09.2024 SUBMITTED BY THE
PETITIONER TO THE SECOND RESPONDENT. RESPONDENT'S EXHIBITS
Exhibit R 4 (a) A true copy of Acknowledgement form for handling over site to the contractor by the Assistant Engineer dated, 17.07.2020 Exhibit R 4 (c) : True copy of letter dated 22.12.2020 by the petitioner to Assistant Engineer Exhibit R 4 (d) : True copy of the reply sent by the 5th respondent to petitioner dated 15.01.2021 Exhibit R 4 (e) : True copy of the reply sent by the Assistant Engineer (R4) to petitioner dated 18.01.2021 Exhibit R4 (f) True copy of the communication dated 19.01.2021 by the Third respondent to the petitioner 2025:KER:50167
Exhibit R4 (g) : True copy of communication dated 22.06.2021 by the Executive Engineer to the petitioner Exhibit R 4 (h) : True copy of communication by the 5th respondent to the petitioner dated 29.06.2021 Exhibit R4 (i): True copy of communication by the Assistant Executive Engineer to the petitioner dated 30.06.2021 Exhibit R4 (j): True copy of the letter dated 06.10.2021 by the petitioner to the Superintending Engineer Exhibit R4 (k): True copy of the application for extension submitted by the petitioner dated 04.04.2022 Exhibit R4 (l): True copy of the 3rd application for extension of time dated 21.10.2022 by the petitioner Exhibit R4 (m): True copy of the application submitted by the petitioner dated 23.01.2023 Exhibit R4 (n): True copy of the application to extend the time of completion up to 30th November 2023 by the petitioner dated 18.01.2024 Exhibit R4 (b): True copy of the agreement schedule for demolition on the existing building was part of the agreed-upon scope of work as outlined in items 1.001 to 1.008.
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