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Rajasthan High Court - Jodhpur

M/S Virendra Singh vs Central Warehousing Corporation on 24 February, 2022

Author: Dinesh Mehta

Bench: Dinesh Mehta

HIGH COURT OF JUDICATURE FOR RAJASTHAN AT JODHPUR S.B. Civil Writ Petition No. 2931/2022 M/s Virendra Singh, Flat No. 307, Third Floor, Edden Heights, 22 Godam, Jaipur Through Its Proprietor Sh. Virendra Singh S/o Bhagwana Ram R/o House No. 616, Ward No. 28, New Santosh Nagar, Jaipur Road, Sikar (Rajasthan). Aged About 41 Years.

----Petitioner Versus

1. Central Warehousing Corporation, Through Regional Manager, Regional Office-A-25, Tilak Marg, Opposite Udyog Bhawan, Jaipur 302005 (Rajasthan).

2. The Warehouse Manger, Central Warehouse Parbatsar, C/ o Ardc Godowns, Near Old Railway Station, Parbatsar, Distt. Nagaur.

3. Lokendra Singh Narnoulia, Senior Assistan Manager (Business), Regional Office-A-25, Tilak Marg, Opposite Udyog Bhawan, Jaipur 302005 (Rajasthan).

----Respondents For Petitioner(s) : Mr. Lokesh Mathur JUSTICE DINESH MEHTA Order 24/02/2022

1. The petitioner was awarded contract for supply, handling and transporting of food-grains for the period 22.03.2020 to 21.03.2022.

2. According to the petitioner, due to imposition of lock-down, most of the labourers migrated, due to which the petitioner was not in a position to perform the contract completely.

3. He submits that for such lapse on petitioner's part, the respondents have terminated petitioner's contract vide order (Downloaded on 24/02/2022 at 08:51:13 PM) (2 of 2) [CW-2931/2022] dated 16.02.2022, just a month ahead of the date of completion of contract.

3. It is argued that premature termination of the contract, in the present factual backdrop, is arbitrary as the consequence of termination of contract is forfeiture of petitioner's security money and black listing. He argues that the consequences would pose great hardship and affect his future prospects.

4. The matter requires consideration, at least to the extent of black-listing.

5. Issue notice. Issue notice of stay application also, returnable within six weeks.

6. Meanwhile, effect and operation of the order dated 16.02.2022 shall remain stayed.

7. Needless to observe that the respondents shall be free to engage another contractor in accordance with law, after 22.03.2022.

8. During the pendency of the writ petition, respondents may retain the performance security with them and in case it is in the form of Bank Guarantee, it will be required of the petitioner to keep the same alive/valid, subject of course to further order to be passed in the present writ petition.

(DINESH MEHTA),J 54-skm/-

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