Delhi High Court - Orders
Corrtech Energy Ltd vs Indian Oil Corporation Ltd. And Anr on 29 January, 2026
$~14
* IN THE HIGH COURT OF DELHI AT NEW DELHI
+ CS(COMM) 1318/2025, I.A. 30884/2025, I.A. 30885/2025 & I.A.
30888/2025
CORRTECH ENERGY LTD. .....Plaintiff
Through: Mr. Dayan Krishnan, Sr. Advocate
with Ms. Anushree Kapadia, Ms.
Aayushi Kumar, Mr. Pranay
Bhardwaj and Mr. Shivank S. Singh,
Advocates.
Mob: 9958009320
versus
INDIAN OIL CORPORATION LTD. AND ANR. .....Defendants
Through: Mr. V.N. Koura, Ms. Paramjeet
Benipal, Mr. Shaurya Dahiya and Mr.
Nirbhay Singh, Advocates.
Mob: 9999895665
CORAM:
HON'BLE MS. JUSTICE MINI PUSHKARNA
ORDER
% 29.01.2026 I.A. 30888/2025 (Seeking leave to file Additional Claims or Cause of Action)
1. The present application has been filed under Order II Rule 2 of the Code of Civil Procedure, 1908 ("CPC") seeking leave to grant the plaintiff to raise additional claims and additional reliefs arising out of the same/similar cause of action.
2. Considering the submissions made before this Court, the present application is allowed and accordingly disposed of.
CS(COMM) 1318/2025 Page 1 of 17This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 02/02/2026 at 20:39:54 I.A. 30885/2025 (Seeking Leave to File Additional Documents)
3. This is an application under Order XI Rule 1(4) read with Section 151 CPC as amended by the Commercial Courts Act, 2015, seeking leave to file additional documents.
4. The plaintiff, if it wishes to file additional documents at a later stage, shall do so strictly as per the provisions of Commercial Courts Act, 2015 and the Delhi High Court (Original Side) Rules, 2018.
5. The application is disposed of, with the aforesaid directions. CS(COMM) 1318/2025
6. Mediation Report dated 07th January, 2026 has been received, as per which, the mediation has been a non-starter.
7. Let the plaint be registered as suit.
8. At the outset, learned Senior Counsel appearing for the plaintiff submits that they do not wish pursue the present suit against defendant no. 2, being the official of the Indian Oil Corporation, and he may be deleted from the array of parties.
9. Accordingly, defendant no. 2 is deleted from the array of parties.
10. Let Amended memo of Parties be filed, within a period of one week, from today.
11. Issue summons. Summons is accepted by learned counsel appearing for the defendant.
12. Let written statement be filed by the defendant, within thirty (30) days from today. Along with the written statement, the defendant shall also file an affidavit of admission/denial of the documents of the plaintiff, without which, the written statement shall not be taken on record.
13. Liberty is given to the plaintiff to file replication, if any, within thirty CS(COMM) 1318/2025 Page 2 of 17 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 02/02/2026 at 20:39:54 (30) days from the receipt of the written statement. Along with the replication, filed by the plaintiff, the affidavit of admission/denial of the documents of defendant, be filed by the plaintiff, without which replication(s) shall not be taken on record.
14. It is made clear that any unjustified denial of documents may lead to an order of costs against the concerned party.
15. If any of the parties wish to seek inspection of the documents, the same shall be sought and given within the timelines.
16. List before the Joint Registrar (Judicial) on 27th March, 2026.
17. List before the Court on 20th May, 2026.
I.A. 30884/2025 (Seeking Interim Injunction)
18. The present application has been filed by the plaintiff under Order XXXIX Rules 1 and 2 of the CPC, seeking an interim injunction, pending the present proceedings before this Court.
19. Learned Senior Counsel appearing for the plaintiff submits that the present suit has been filed pertaining to a dispute arising between the parties in relation to the tender awarded to the plaintiff by the defendant - Indian Oil Corporation Limited ("IOCL"), pursuant to the Letter of Acceptance dated 21st October, 2022. The tender was awarded for laying 16" OD 10 km (approx.) LSHF HSD Pipeline from IOCL Baithkol Marketing Terminal to Karwar Naval Base and CSW works at IOCL Baithkol Marketing Terminal and Karwar Naval Base under Baithkol-Karwar LSHF HSD Pipeline Project.
20. Learned Senior Counsel appearing for the plaintiff submits that despite the commitment and readiness of the plaintiff, the defendant - IOCL, failed to fulfil its contractual obligations and did not provide the essential CS(COMM) 1318/2025 Page 3 of 17 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 02/02/2026 at 20:39:54 approvals, access to complete work fronts, and imposed unwarranted obstacles like additional scope of work without amending the schedule of rates.
21. It is submitted that the project as awarded to the plaintiff was de- scoped and the de-scoped project was given at the risk and expense of the plaintiff to another third party entity.
22. It is submitted that despite urgency being expressed by the defendant
- IOCL, the other entity to whom the de-scoped work was awarded at the risk and expense of the plaintiff, took almost two years to complete. This Court is informed that the said work has been completed by the other entity, only recently, in December, 2025.
23. Learned Senior Counsel appearing for the plaintiff draws the attention of this Court to Clause 7.0.9.0 of the General Conditions of Contract ("GCC") attached with the tender, which reads as under:
24. By referring to the aforesaid Clause, learned Senior Counsel appearing for the plaintiff submits that it is only upon termination of the Contract that the defendant was entitled to recover amounts at the risk and expense of the plaintiff, i.e., contractor.
25. It is submitted that in the present case, the Contract between the CS(COMM) 1318/2025 Page 4 of 17 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 02/02/2026 at 20:39:54 parties has not been terminated, and further the de-scoped work has just been completed. Learned Senior Counsel relies upon Clause 52.5.0 of the Special Conditions of Contract ("SCC") attached with the tender, which reads as under:
26. By referring to the aforesaid, learned Senior Counsel appearing for the plaintiff submits that there are different stages of evaluation for the purposes of performance evaluation of a contractor.
27. He further relies upon Clause 52.10.0 of the SCC, which reads as under:
CS(COMM) 1318/2025 Page 5 of 17This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 02/02/2026 at 20:39:54 CS(COMM) 1318/2025 Page 6 of 17 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 02/02/2026 at 20:39:54 CS(COMM) 1318/2025 Page 7 of 17 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 02/02/2026 at 20:39:54 CS(COMM) 1318/2025 Page 8 of 17 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 02/02/2026 at 20:39:54
28. By referring to the aforesaid Clause, learned Senior Counsel appearing for the plaintiff submits that at every stage there would be evaluation of work and performance rating was to be given to the contractor. However, in the present case since the de-scoped work has been completed CS(COMM) 1318/2025 Page 9 of 17 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 02/02/2026 at 20:39:54 only recently in December, 2025, no evaluation has been done by the defendant with respect to the work carried out by the plaintiff.
29. Thus, it is submitted that the Demand Letter dated 06th September, 2025 issued by the defendant - IOCL for recovery of amounts, is without any basis.
30. He submits that there was no occasion for issuance of the Demand Letter dated 06th September, 2025, in the absence of any evaluation in terms of the Contract between the parties.
31. Learned Senior Counsel appearing for the plaintiff further draws the attention of this Court to the Demand Letter dated 06th September, 2025 and in particular, relies upon the following paragraphs:
"xxx xxx xxx xxx xxx xxx"
32. Learned Senior Counsel appearing for the plaintiff submits that the aforesaid Demand Letter dated 06th September, 2025 refers to breakup at „Annexure 1‟, which reads as under:
CS(COMM) 1318/2025 Page 10 of 17This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 02/02/2026 at 20:39:54
33. Learned Senior Counsel appearing for the plaintiff submits that in terms of the Contract between the parties, the said calculation could not have been made by the defendant in absence of any evaluation of the plaintiff‟s work.
34. Learned Senior Counsel further relies upon Clause 7.0.9.0 of the GCC and reiterates his submission that the contract between the parties referred to the actual risk and expense incurred by the defendant, and, cannot be treated as a bounty for the defendant. Therefore, he submits that the defendant could not have come to any calculation of the amounts recoverable from the plaintiff in the absence of any performance evaluation.
35. Learned Senior Counsel further draws the attention of this Court to the replies of the plaintiff dated 20th September, 2025 and 27th September, 2025 to the defendant‟s Demand Letter dated 06th September, 2025. In particular he draws the attention of this Court to the following paragraphs of CS(COMM) 1318/2025 Page 11 of 17 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 02/02/2026 at 20:39:54 the reply dated 20th September, 2025:
36. Learned Senior Counsel for the plaintiff also draws the attention of this Court to the plaintiff‟s reply dated 27th September, 2025, and in particular relies upon the following paragraphs:
37. By referring to the aforesaid letters, learned Senior Counsel appearing for the plaintiff submits that it is the clear stand of the plaintiff that the plaintiff was offloaded within five months citing urgency, yet even after twenty six months, the subsequent contractor did not complete the work. Thus, the very basis of offloading has been defeated.
38. Further, learned Senior Counsel appearing for the plaintiff submits that there has been change in the scope of work, and the work at the risk and expense of the plaintiff and scope of work of the third party, cannot be CS(COMM) 1318/2025 Page 12 of 17 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 02/02/2026 at 20:39:54 different.
39. Learned Senior Counsel for the plaintiff further submits that the demand as raised by the defendant vide Demand Letter dated 06th September, 2025 is in violation of the risk and expense clause of the Contract between the parties.
40. He submits that prior to the determination of the amounts recoverable from the plaintiff, there had been no determination of the amounts by the defendant on the basis of the actual payable amounts at the risk and expense of the plaintiff.
41. Thus, it is submitted that till such exercise of determination of amount is undertaken by the defendant, no such action can be taken by the defendant.
42. It is further submitted that plaintiff has already completed its scope of the work.
43. Learned Senior Counsel appearing for the plaintiff also draws the attention of this Court to the interim orders passed in favour of the plaintiff in other disputes pending between the same parties with respect to other projects and in particular draws the attention of this Court to the order dated 19th July, 2024 passed in CS(COMM) 295/2024, titled as "Corrtech Energy Ltd. Versus Indian Oil Corporation Ltd. & Anr.", relevant portion of which, reads as under:
"xxx xxx xxx
2. Learned senior counsel for the plaintiff invites the attention of the Court to para 12 of the order dated 16.04.2024, which reads thus:
"12. Insofar as the interim relief is concerned, Mr. Koura submits, that defendant No.1 has no immediate intention of appropriating any monies from the security deposits and other dues owed to the plaintiff under other contracts for the next 03 CS(COMM) 1318/2025 Page 13 of 17 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 02/02/2026 at 20:39:54 months; and that if defendant No.1 proposes to do so, they would give to the plaintiff a 10 working days‟ prior notice in writing."
3. He submits that prior to the aforesaid statement made by the learned counsel for the defendant no.1, an amount of Rs.1.46 Cr. had already been deducted from the amount due and payable to the plaintiff in respect of other contracts.
xxx xxx xxx
9. In the meanwhile, the parties shall maintain status quo with regard to the contract in question only till the next date. xxx xxx xxx"
44. Learned Senior Counsel further draws the attention of this Court to the order dated 20th August, 2024 passed in CS(COMM) 295/2024 and submits that the interim protection in favour of the plaintiff was extended in the following manner:
"xxx xxx xxx
8. However, learned counsel for the plaintiff and defendant no.1 are ad idem that the defendant no.1 is free to proceed in terms of the notice dated 28.06.2024 and to re-tender the remaining work but no coercive action will be taken against the plaintiff till the next date of hearing.
9. It is also made clear that the issue of re-tendering at the risk and cost of the plaintiff is a subject matter of the present suit. xxx xxx xxx"
45. Learned Senior Counsel appearing for the plaintiff also draws the attention of this Court to order dated 05th December, 2025 passed in CS(COMM) 1083/2024, titled as "Corrtech Energy Limited Versus Indian Oil Corporation Ltd. and Ors.", relevant portion of which, reads as under:
"xxx xxx xxx
28. Learned senior counsel for the plaintiff states that in identical facts for a similar contract pertaining to a different refinery in CS (COMM) 295/2024 titled 'Corrtech Energy Limited v. Indian Oil Corporation Limited and Another' is pending between the parties and the Coordinate Bench vide order dated 20.08.2024 has similarly granted protection against coercive action pending disposal of the CS(COMM) 1318/2025 Page 14 of 17 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 02/02/2026 at 20:39:54 interim injunction application.
29. He states that the plaintiff has no objection if defendant no. 1 proceeds to re-tender the remaining work in furtherance of the tender dated 15.07.2024. He states however defendant no. 1 be restraint from any coercive steps.
xxx xxx xxx
34. In the aforenoted facts, the statement of learned counsel for defendant no. 1 that the said defendant shall take no coercive action against the plaintiff in furtherance of the show cause notice dated 17.07.2024 until the next date of hearing is taken on record. Similarly, the plaintiff shall keep the bank guarantee is alive until the final disposal of this application.
xxx xxx xxx"
46. The aforesaid order dated 05th December, 2024 in CS(COMM) 1083/2024 was subsequently modified vide order dated 19th December, 2024, in the following manner:
"xxx xxx xxx
3. Keeping in view the submissions of the parties recorded at paragraphs 27 to 31 of the said order and to avoid any ambiguity, it is clarified that defendant no. 1 is directed not to take any coercive action against the plaintiff until the next date of hearing. This is an addition to the direction which already stands issued at paragraph „34‟ of the order dated 05.12.2024.
xxx xxx xxx"
47. By referring to the aforesaid, learned Senior Counsel appearing for the plaintiff submits that interim orders have been issued in favour of the plaintiff in connected matters also.
48. Per contra, learned counsel appearing for the defendant - IOCL opposes the present application and submits that action which has been taken by the defendant acting as agent of the contractor, has been taken by the defendant validly in terms of Clause 4.7.4.0 and Clause 4.7.3.0 of the Contract between the parties.
49. Learned counsel for the defendant submits that Indian Navy has its CS(COMM) 1318/2025 Page 15 of 17 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 02/02/2026 at 20:39:54 dockyard for naval ships, and there is connection of oil pipelines from the refinery to the navy dockyard. He further submits that since the navy wanted to enhance the quantum of the pipelines to settle for the purposes of refilling, the same was an urgent work. Moreover, during the course of the work, the plaintiff encountered rocks, and refused to carry out further work in the said area. Thus, the defendant got the balance work done from a third party, without terminating the contract.
50. Learned counsel appearing for the defendant further relies upon Clause 8.15.1.0 of the GCC, which reads as under:
51. By referring to the aforesaid Clause, learned counsel for the defendant submits that the aforesaid Clause provides for the mode of recovery, which can be done by the defendant from the amounts due and payable to the plaintiff from the present contract or from any other contract.
52. The matter requires consideration.
53. Accordingly, issue notice. Notice is accepted by learned counsel appearing for the defendant - IOCL.
54. Let reply be filed, within a period of four weeks, from today.
55. Rejoinder thereto, if any, be filed within a period of two weeks, thereafter.
56. This Court has taken into consideration the various interim orders passed in favour of the plaintiff, regarding disputes between the same parties in the present proceedings.
CS(COMM) 1318/2025 Page 16 of 17This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 02/02/2026 at 20:39:54
57. Thus, in light of the submissions made before this Court, a prima facie case has been made on behalf of the plaintiff. Further, balance of convenience is also in favour of the plaintiff, and irreparable loss shall be caused to the plaintiff, if interim relief is not granted to the plaintiff.
58. Considering the aforesaid, it is directed that no coercive action, shall be taken against the plaintiff, till the next date of hearing.
59. List before the Joint Registrar on 27th March, 2026.
60. List before the Court on 20th May, 2026.
MINI PUSHKARNA, J JANUARY 29, 2026/ak CS(COMM) 1318/2025 Page 17 of 17 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 02/02/2026 at 20:39:54