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M/S.South India Oil Corporation vs Indian Oil Corporation Limited
2023 Latest Caselaw 11097 Mad

Citation : 2023 Latest Caselaw 11097 Mad
Judgement Date : 23 August, 2023

Madras High Court
M/S.South India Oil Corporation vs Indian Oil Corporation Limited on 23 August, 2023
                                                                         W.A.No.1963 of 2023

                                   IN THE HIGH COURT OF JUDICATURE AT MADRAS

                                              DATED:    23.08.2023

                                                    CORAM

                             THE HON'BLE MR.SANJAY V.GANGAPURWALA , CHIEF JUSTICE
                                                       AND
                                    THE HON'BLE MR.JUSTICE P.D.AUDIKESAVALU

                                              W.A.No.1963 of 2023
                                            and CMP No.16706 of 2023

                     M/s.South India Oil Corporation,
                     Rep. by its Proprietor,
                     Mr.R.Massodahmed,
                     S.F.No.229/2, Kumbakonam High Road,
                     Rinnalur Village and Post,
                     Chidambaram, Cuddalore 608704.                       ... Appellant

                                                       -vs-

                     1. Indian Oil Corporation Limited,
                        Rep. by its General Manager (Contract
                          Cell), SRO, Marketing Division,
                        Southern Region, Indian Oil Bhavan,
                        No.139, Uthamar Gandhi Road, (Nungambakkam
                          High Road), Chennai 600 034.

                     2. Indian Oil Corporation Limited,
                        Rep. by its Chief General Manager (OPS)
                         Tamil Nadu State Office,
                        No.139, Uthamar Gandhi Road, (Nungambakkam
                          High Road), Chennai 600 034.             ... Respondents


                     Prayer: Writ appeal filed under Clause 15 of the Letters Patent against
                     the order dated 21.04.2023 in 3370 of 2023 on the file of this Court.

                     Page 1 of 6


https://www.mhc.tn.gov.in/judis
                                                                               W.A.No.1963 of 2023



                                  For the Appellant      :     Mr.S.Arivazhagan

                                                             *****

                                                         JUDGMENT

(Delivered by the Hon'ble Chief Justice)

We have heard Mr.S.Arivazhagan, learned counsel for the

appellant.

2. The appellant was issued with a letter of acceptance pursuant

to the participation in the tender on 29.12.2022 by e-mail. The

appellant was required to submit security deposit and execute an

agreement within fifteen days from the date of the receipt of the letter

of acceptance. The appellant submitted the bank guarantee on

18.01.2023. It is submitted that the agreement was executed on

04.01.2023.

3. The respondents cancelled the letter of acceptance on the

ground that within fifteen days the security deposit was not made.

https://www.mhc.tn.gov.in/judis W.A.No.1963 of 2023

4. The learned counsel for the appellant submits that in the

intervening period, there were holidays, as such, the bank guarantee

was submitted on 18.01.2023, however, the same was applied on

12.01.2023 which is within fifteen days. Moreover, the physical copy

of the letter of acceptance was received by the appellant only on

02.01.2023. The holidays will have to be excluded. The learned

Single Judge did not consider the said aspect.

5. The appellant participated in the tender process floated by the

respondents for transporting bulk petroleum products. The appellant's

bid was accepted. The appellant was issued with a letter of

acceptance on 29.12.2022. The appellant was required to submit the

security deposit on or before 12.01.2023. The appellant has

submitted the bank guarantee on 18.01.2023. The Pongal holidays

were not on or before 12.01.2023.

6. The clauses of the tender are binding on the parties. The

learned Single Judge has properly construed the said clauses and has

https://www.mhc.tn.gov.in/judis W.A.No.1963 of 2023

held that the appellant failed to comply with the tender conditions.

In light of that, no case for interference is made out. The writ

appeal is dismissed. There will be no order as to costs. Consequently,

connected miscellaneous petition is closed.

                                                           (S.V.G., CJ.)                (P.D.A., J.)
                                                                           23.08.2023
                     Index                   : Yes/No
                     Neutral Citation        : Yes/No
                     sra







https://www.mhc.tn.gov.in/judis W.A.No.1963 of 2023

To

1. The General Manager (Contract Cell) Indian Oil Corporation Limited, SRO, Marketing Division, Southern Region, Indian Oil Bhavan, No.139, Uthamar Gandhi Road, (Nungambakkam High Road), Chennai 600 034.

2. The Chief General Manager (OPS) Indian Oil Corporation Limited, Tamil Nadu State Office, No.139, Uthamar Gandhi Road, (Nungambakkam High Road), Chennai 600 034.

https://www.mhc.tn.gov.in/judis W.A.No.1963 of 2023

THE HON'BLE CHIEF JUSTICE AND P.D.AUDIKESAVALU, J.

(sra)

W.A.No.1963 of 2023

23.08.2023

https://www.mhc.tn.gov.in/judis

 
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