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23 April vs Union Of India & Others
2025 Latest Caselaw 3822 UK

Citation : 2025 Latest Caselaw 3822 UK
Judgement Date : 23 April, 2025

Uttarakhand High Court

23 April vs Union Of India & Others on 23 April, 2025

Author: Manoj Kumar Tiwari
Bench: Manoj Kumar Tiwari
                                                 2025:UHC:2925-DB

      HIGH COURT OF UTTARAKHAND AT
                         NAINITAL
       Writ Petition Misc. Bench No. 139 of 2025
                        23 April, 2025



M/s Vrindawan Enterprises                         ...Petitioner

                            Versus

Union of India & Others                         ...Respondents

--------------------------------------------------------------
Presence:-
Mr. Maneesh Bisht, Advocate, for the petitioner.
Mr. Lalit Sharma, Central Govt. Standing Counsel, for the
respondents.
--------------------------------------------------------------

                         JUDGMENT

Hon'ble Manoj Kumar Tiwari, J.

Hon'ble Ashish Naithani, J.

(Per: Hon'ble Manoj Kumar Tiwari, J.)

By means of this writ petition, petitioner has sought the following reliefs:

"i) To, issue a writ, order or direction, in the nature of certiorari calling for the records and quash the impugned orders dated 06.06.2024, passed by respondent no. 5 i.e. Manager/CS, Indian Railway Catering and Tourism Corporation Ltd. (IRCTC), order dated 26.11.2024, passed by the Chief Regional Manager, IRCTC/RO-LKO, and the order dated 27.03.2025, passed by the Dy. General Manager/CS, IRCTC/RO-LKO. (Annexure No. 14, 17 & 19 to the writ petition)

ii) To, issue a writ, order or direction, in the nature of mandamus commanding and directing the

2025:UHC:2925-DB respondent authorities to permit the petitioner franchise to run the Food Plaza at Kathgodam Railway Station, Nainital, by extending their time period for next 3 years in light of Clause 3.1 of Tender document in addition to Clause 16.1.4 of the Catering Policy, 2010."

2. Petitioner, after successful bidding, was granted franchise by Indian Railway Catering and Tourism Corporation Ltd. (IRCTC) to run a food plaza at Kathgodam Railway Station in the year 2012. The said franchise was given for a term of 9 years from the date of commissioning of food plaza, which was extendable for another 3 years. After expiry of the term of franchise, IRCTC invited fresh bids for franchise to run a food plaza at Kathgodam Railway Station. Thus feeling aggrieved, petitioner has filed this writ petition.

3. Petitioner is challenging the orders passed by the Manager/CS, Indian Railway Catering and Tourism Corporation Ltd. (respondent no. 5) on 6.6.2024, 26.11.2024 and 27.3.2025. By the first order dated 6.6.2024, petitioner was informed that term of franchise given to him will come to an end on 9.6.2024 and he was asked to ensure peaceful handover of food plaza at Kathgodam Railway Station to IRCTC on 9.6.2024. By the second order dated 26.11.2024, petitioner's request for extension of franchise for further 3 years was turned down. By the third order dated 27.3.2025, petitioner was informed that the competent authority in IRCTC has directed to close the operation and also to peacefully vacate the premises of food plaza in presence of IRCTC official on

2025:UHC:2925-DB 27.3.2025.

4. Learned Counsel for the petitioner relied upon Clause 16.1.4 of the Catering Policy, 2010, which reads as under:

"16.1.4 Tenure of Food Plaza will be for 9 years with an extension of 3 years on satisfactory performance and payment and payment of all dues and arrears and withdrawal of court cases, if any."

5. Based on the aforesaid clause of the catering policy, learned Counsel for the petitioner submitted that since there was no complaint of unsatisfactory performance against the petitioner during the entire term of the franchise given to him, therefore, he has a right of extension, in view of the aforesaid clause.

6. Learned Counsel for the respondents, however, relied upon Clause 3.1 of the tender document, pursuant to which franchise was granted to the petitioner. Clause 3.1 of the tender document reads as under:

"3.1 Term of Franchise for Food Plaza will be (9) Nine years. The Franchise may be renewed for another (3) three years at the discretion of IRCTC and the decision of IRCTC in this regard shall be final. Total tenure of the Franchise shall not exceed 12 years in any case. IRCTC will not be obliged to assign any reason whatsoever for not renewing the Franchise."

7. It is thus contended by learned Counsel for the respondents that extension for 3 years is at the sole discretion of the IRCTC and decision of the IRCTC

2025:UHC:2925-DB in this regard is final as per the tender document and petitioner had submitted bid knowing fully well that he has no vested right to claim extension upon expiry of term of 9 years. Thus he submits that the catering policy relied upon by the petitioner will not override the condition mentioned in the tender document.

8. We find substance in the said submission. Since franchise was granted to the petitioner with the express condition that he will not have any vested right of extension upon completion of term of 9 years and extension shall be at the sole discretion of the IRCTC, therefore, petitioner does not have any legally enforceable right to claim extension, even though his performance during the period of franchise was satisfactory.

9. Mr. Lalit Sharma, learned Counsel for the respondents, submits that fresh bids have been invited for the grant of franchise on 29.4.2025. He submits that petitioner is at liberty to participate in the bidding process and if he submits bids, his claim shall be considered on merits.

10. For the aforesaid reasons, we do not find any reason to interfere in the matter. Writ petition thus fails and is dismissed.

(Ashish Naithani, J.) (Manoj Kumar Tiwari, J.)

23.4.2025 Pr

PRABODH

DN: c=IN, o=HIGH COURT OF UTTARAKHAND,

2.5.4.20=3a082a00a95aff911a9559743af8f21c5060 2ff6eae4e61af3aeab198d462503,

KUMAR postalCode=263001, st=UTTARAKHAND, serialNumber=0DC111E8D8CA66E16B940EFDF806 ACCC1AB588052DF6FCA58C67F3C91957BE53, cn=PRABODH KUMAR Date: 2025.04.30 17:17:37 +05'30'

 
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