M/S Adani Agri Logistics (Moga) Ltd And Another v. State Of Punjab And Another




    
       !"#$%& '( Date of Decision: 26.03.2019 M/s Adani Agri Logistics (Moga) Ltd. and another .....Petitioners versus State of Punjab and another .....Respondents  ')  *+'

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.  Present :

Mr. Rajiv Atma Ram, Senior Advocate with Mr. Rajat Khanna, Advocate, for the petitioners. Ms. Rameeza Hakeem, Advocate with Mr. Sahil Sharma, Advocate, for respondent No.2. **** -
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&/( By means of this petition filed under Article 226 of the Constitution of India, the petitioners have challenged the legality and validity of the notice dated 11.05.2018 and order dated 05.09.2018 terminating the contract.

2.

Admittedly, there exists a contract between the parties which contains a 'Disputes Resolution Mechanism'. Under Clause 42.2 thereof, there is a provision for conciliation between the parties. The said clause reads as under:=



                  

                 

   

                           

   

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 RAVINDER SHARMA 2019.03.27 14:59 I attest to the accuracy and integrity of this document

 



 
          

      

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+ / 3.

Admittedly in the case in hand, the contract between the parties stands cancelled vide order dated 05.09.2018 and there exists a dispute between the parties.

4.

Learned counsel for respondent No.2 states that the respondents' authorities are still open for conciliation between the parties in accordance with the later part of Clause 42.2 of the contract which provides a conciliation between the Managing Director of the Authority and the Chairman of the Board of Directors of the Concessionaire for amicable settlement of the dispute and the said clause also prescribes a procedure to be followed for initiating the conciliation proceedings. 5.

Learned counsel for the petitioners also does not object to submitting to the conciliation proceedings.

6.

In such view of the matter we dispose of the petition by providing that both the parties may invoke the procedure prescribed under Clause 42.2 of the contract for conciliation between the parties. On the petitioners invoking the provisions of conciliation proceedings under Clause 42.2, the respondent company shall be under an obligation to adhere to the procedure envisaged therein.

With the aforesaid observations and directions, the petition stands finally disposed of.          

              

 

 !"#   Whether speaking/reasoned √Yes/No Whether reportable Yes/No√ RAVINDER SHARMA 2019.03.27 14:59 I attest to the accuracy and integrity of this document