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State of Madhya Pradesh - Section

Section 28 in The M.P. Forest (Contract) Rules, 1927

28. Penalty on termination of a contract for breach of conditions.

(1)Every forest contract shall be in writing in the form annexed hereto and shall contain a provision whereby the forest contractor binds himself to do all the duties and acts required to be done by or under if the contract, and covenants that he and his servants and agents shall abstain from all the acts forbidden by or under such a contract.
(2)The sums to be mentioned in a forest contract as possible in case of a breach of any such stipulation shall not exceed one quarter of the total consideration to be paid by the contractor, and shall be recoverable in accordance with the provisions of Section 85 of the Act and of this rule :Provided that where such consideration is not an ascertained amount the forest officer executing the contract shall make an estimate of the total amount that would be payable if the contract were fully complied with and such estimate shall be deemed to be, for the purposes of this sub-rule, the total consideration to be paid by the contractor.
(3)The sum shall not be realized from the contractor unless the contract has been duly terminated in accordance with the provisions of Rule 29, and then only under the written order of the forest officer executing the contract.