Section 66 in The Gujarat Municipalities Act, 1963
66. Mode of executing contracts.
(1)Every contract entered into by a Chief Officer on behalf of a municipality shall be entered into in such manner and form as would bind such Chief Officer if such contract were on his own behalf, and may in the like manner and form be varied or discharged:Provided that-(a)where any such contract, if entered into by a Chief Officer, would require to be under seal, the same shall be sealed with the common seal of the municipality;(b)every contract for the execution of any work for the supply of any materials or goods which will involve an expenditure exceeding one thousand rupees, shall be in writing and shall be sealed with the common seal of the municipality and shall specify the work to be done or the materials or goods to be supplied, as the case may be, the price to be paid for such work, materials or goods and in the case of contract for work, the time or times within which the same or specified portions thereof shall be completed.(2)The common seal of the municipality shall not be affixed to any contract or other instrument except in the presence of two councillors, who shall attach their signatures to the contract or instrument in token that the same was sealed in their presence. The signature of the said councillors, shall be distinct from the signatures of any witnesses to the execution of any such contract or instrument.(3)A contract not executed in the manner provided in this section shall not be binding on the municipality.
