No coercive steps against firm, says High Court
Chandigarh, August 24
Nearly seven years after M/s Gautam Builders was awarded the work of constructing a multi-level parking in Sector 17, the Punjab and Haryana High Court today directed that coercive steps would not be initiated against the firm.
The direction by Justice Tejinder Singh Dhindsa came after the petitioner, a partnership firm, filed the petition assailing the order, dated August 11, issued by an Executive Engineer of the Chandigarh MC. The order contained a decision that “the remedial work to be undertaken relating to the construction of the multi-level parking near Gurdev Studio, Sector 17, Chandigarh, would be at the risk and cost of the petitioner’s firm”.
The Bench was told that the actual date of completion of the project was December 31, 2015, and a certificate regarding outstanding performance of the contract was issued in favour of the petitioner firm by the Executive Engineer concerned. The Bench was also told that a show-cause notice, dated May 22, was served upon the petitioner firm alleging that certain work had not been completed as per specifications and in the light of certain clauses of the general conditions of the contract. As such, “it was contemplated as to why the remedial measures be not undertaken at the risk and costs of the petitioner firm”.
It was argued by the petitioner’s counsel that the impugned order went beyond the show-cause notice inasmuch as the firm was now being held responsible for the faults in the specifications/ drawings, which was not within the scope of the work as per the contract. — TNS
