Section 7(2) in U.P. Indian Medical Institutions (Acquisition and Miscellaneous Provisions) Act, 1982
(2)Every contract entered into by a society in relation to any property or assets owned by it, which is vested in the State Government under Section 3, for any service, sale or supply and in force immediately before the appointed day, shall, on and from, the expiry of a period of one hundred and eighty days from the appointed day cease to have effect, unless such contract is, before, the expiry of that period, ratified in writing by the State Government and in ratifying such contract, the State Government may make such alteration or modification therein as it may think fit :Provided that the State Government shall not omit to ratify a contract and shall not make any alteration or modification therein-(a)unless it is satisfied that such contract is unduly onerous or has been entered into in bad faith or is detrimental to the interests of, the State Government; and(b)except after giving the parties to the contract a reasonable opportunity of being heard and except after recording in writing its reasons for refusal to ratify the contract or for making any alteration or modification therein.
