Calculation of damages on account of defective goods

May
2
2017


Delhi High Court in the matter of Thyssen Krupp Materials Vs Steel Authority of India; FAO (OS) 150/2002 held that Section 73 of Indian Contract Act stipulates the rule of damages for breach of contract, aimed at compensating the injured party, as far as money can, by placing him in as good situation as if the contract had been performed. In regard to defective goods, the measure of damages is usually the price paid for the defective goods to the seller reduced by the price received when such defective goods are sold by the buyer.




Lowest bidder not necessarily entitled to grant of tender

Mar
17
2017


Delhi High Court in the matter of Inderjit Mehta Vs Union of India; WP (C ) 683/2017 decided on 2nd March, 2017 held there is no vested right of a participant in a tender to have an agreement of award concluded in its favour. There cannot be any insistence for carrying on with the tender on the ground that a particular participant was adjudged as the lowest tenderer. All that can be demanded and be ensured to a tenderer is that he is given a fair, equal and non discriminatory treatment in the matter of evaluation of his tender.




Forfeiture of earnest money does not infringe statutory rights

Feb
22
2015


There is a clear difference between revocation of a ‘tender’ and revocation of the ‘tender notice’. While revocation of the tender notice is the prerogative of the Corporation, revocation of the ‘tender’ could be only by the bidder/tenderer concerned.




Actual loss need not be proved if amount stipulated is a genuine pre-estimate of loss

Feb
11
2015


Even if there is no specific evidence of loss suffered by the Party alleging breach, the delay caused itself can be taken to have resulted in loss including loss of interest on the capital.




Bank cannot recover the money from the account holder wrongly credited to the account #indianlaws

Jul
22
2014


The Court while making reference to Section 72 of the Indian Contract Act mentioned that the Bank does have a right to recover the money paid under a mistake. In the instant case, however, under the facts and circumstances thereof, the conduct of Bank was held to be incorrect.




Promise to pay time barred debts under Section 25 of Contract Act must be express #indianlaws

Jun
30
2014


 An implied promise to pay inferred from an acknowledgment could not be made the basis of the suit to recover a debt barred at the time of the acknowledgment unless it is express




Principles governing grant of damage for breach of contract

Feb
21
2014


In the judgment as passed by the Supreme Court in Oil & Natural Gas Corporation Ltd. vs. SAW Pipes Ltd. [AIR2003SC2629] dated 17.04.2003 the Court dealt with the issue relating to determination of compensation for loss and damage caused due breach of contract vis-à-vis scope of Sections 73 and 74 of the Indian Contract Act








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