High CourtsSingle Bench(2011) 07 MAD CK 0193

Urgentechs and David Associates Class I Government Contractor vs The Chief Engineer, Civil Engineering Division, Department of Space, The Chief Construction Engineer and The Engineer Incharge

Madras High Court · Decided on 22 July 2011

HON’BLE JUDGES
Vinod K. Sharma, J
RESULT
Dismissed
CASE NUMBER
Writ Petition No. 729 of 2008 and M.P. (MD) No. 1 of 2008

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Judgment

21 paragraphs · 459 words

Vinod K. Sharma, J.—The Petitioner entered into a contract with the Department of Space, Antheriksha Bhavan, New BEL Road, Bangalore for carrying on the following ten works:

1.

Construction of Test Bay.

2.

Construction of Blast Wall 3. Construction of Motor Control Room Field Assembly and SPTA.

4.

Construction of Hydrogen Burning Yard.

5.

Construction of Hydrogen Vent Stock.

6.

Construction of LOX Disposal pit.

7.

Construction of Cable Trench for Data Cable.

8.

Internal PH works.

9.

Septic Tank.

10.

Ferrocement Overhead Tank - 1 CUM capacity.

2.

The work order was placed on the Petitioner on 01.03.2004 vide Order dated 19.02.2004. The time stipulated for completion of the work was six months from the date of placing of work order.

3.

The case of the Petitioner, is that due to lack of assistance of other contractors, the work was delayed, and was finally completed on 30.06.2006. On account of the delay in execution of the work, the Petitioner raised claim for escalated price. The Engineer in-charge rejected the claim of the Petitioner.

4.

In terms of the Agreement executed between the parties, the decision of Engineer in-charge was subject to Appeal before the Chief Engineer. The Petitioner, accordingly, preferred an Appeal, which was also dismissed.

5.

The Petitioner, approached this Court, for quashing the impugned order.

6.

The case of the Petitioner, is that during the pendency of the writ petition, the parties agreed to amend the agreement, and Clause 25 of the Agreement was amended, by changing the Appellate Authority from "Chief Engineer" to the "Committee consisting of Chairman cum Managing Director and Director, LPSC" of the Respondent.

7.

It is not disputed, that the contract work was completed on 30.06.2006, and the amendment was carried out subsequently.

8.

The intention of the parties, therefore, was to read, that Clause 25 as amended from the very beginning.

9.

Though this Court does not normally entertain the contractual dispute under the contract in exercise of writ jurisdiction, in this case, as the facts are not disputed, and the parties agree, that now, the Appellate Authority stands changed by amendment of Clause 25 of the Agreement entered into between the parties, this subsequent conduct of the parties has rendered the order passed in Appeal to be without jurisdiction.

10.

For the reasons stated, this Writ Petition is disposed of, by remanding the Appeal to the newly constituted Appellate Committee.

11.

The Appellate Committee is directed to proceed in accordance with law and decide the Appeal on merits, without being influenced by the decision earlier taken by the Chief Engineer, within a period of two months of date of receipt of a certified copy of this order.

No costs. Consequently, the connected M.P.(MD) No. 1 of 2008 is closed.