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State of Bihar - Section

Section 36 in Bihar Forest Contract Rules

36. Suspension of work or determination of contracts.

(1)If the forest contractor makes default in the payment of the consideration for his contract or of any instalment thereof or commits a breach of any of the conditions of his contract, such contract may without prejudice to any penalties already imposed under these Rules, be determined at any time by the authority who is competent to execute the contract on behalf of the Governor of Bihar.
(2)Such determination shall be notified to the forest contractor by notice in writing delivered to him personally or sent to him by registered acknowledgement due post, and thereupon all the contractor's rights under the contract including all accessory licences shall and all the forest produce remaining within the contract area shall become the absolute property of Government.
(3)On such determination it shall further be lawful:-
(a)to keep all sums already paid by the contractor as consideration or part consideration of forest contract;
(b)to recover as arrears of land revenue any part of the consideration which has fallen due and is still unpaid on the date of determination of the contract;
(c)to recover any loss or damage which may be sustained by the Governor in consequence of such breach or failure (of the amount of which loss the certificate in writing from the forest officer shall be final and conclusive) shall so far as the same is not covered by the amount of security deposit to be paid by the forest contractor on demand and if not so paid shall be recoverable as a public demand and any fine or compensation which may be assessed under the terms of the contract;
(d)to forfeit the security deposit of the contractor.
(4)Pending adjustment of the failure or breach and/or termination of the contract it shall further be lawful for the Divisional Forest Officer at his discretion and without prejudice to any penalty already imposed under these Rules to suspend all operations in the said lot for a period not exceeding one month. If the failure or breach by the purchaser is not adjusted within one month of the suspension of his work then the Conservator of Forests of the Circle concerned shall have full power to suspend all operations in the lot for such time as the Conservator of Forests may consider necessary pending adjustment of the failure of breach and/or termination of the contract.
(5)Nothing in this clause shall prejudice the right of the Governor of Bihar to institute legal proceedings against the forest contractor in respect of any breach of any of the covenants and agreements on his part or shall absolve the forest contractor from liability to a criminal prosecution under the provisions of the Indian Forest Act in respect of any breach by him or by his agents or workmen or any of the Rules and Regulations for the time being in force of the Forest Department, Bihar.