Disposed

Medicaid Systems v. State of Rajasthan

Rajasthan HC9 Sept 2024CW/13466/2024

Case brief

AI extract

What is this about?

This writ petition sought directions for release of outstanding payments and refund of earnest money. The court observed that disputes should be resolved amicably before arbitration. The petition was disposed of noting the petitioner is at liberty to seek arbitration remedy. No immediate payment direction was granted.

What did the court decide?

None granted; petition disposed of; petitioner at liberty to seek arbitration remedy if mutual consultation fails.

Medicaid Systems Vs State of Rajasthan — Contract and Commercial Disputes | Rajasthan HC (2024)

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[2024:RJ-JP:38121]

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HIGH COURT OF JUDICATURE FOR RAJASTHAN BENCH AT JAIPUR

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S.B. Civil Writ Petition No. 13466/2024

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Medicaid Systems, Plot No.667, Jlpl Industrial Park, Sector 82, Sas Nagar, Mohali-140 306, Punjab Through Its Deed Of Partnership Shri Joginder Pal Bhardwaj S/o Late Shri Dev Raj Bhardwaj Aged About 73 Years Resident Of Kothi No. 1212 Sector -7 Panchkula-134112 (Haryana)

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----Petitioner

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Versus

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State Of Rajasthan, Through Its Principal Secretary, Medical, Health And Family Welfare Department, Jaipur.

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State Nodal Officer, Nmhp, Psychiatric Centre, Swasthya Bhawan, 3Rd Floor, Tilak Marg, E-Scheme, Ashok Nagar, Jaipur-302005

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Union Of India, Through Ministry Of Health And Family Welfare, Govt. Of India, And Its Director Nhm Room No.209-D, New Delhi.

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----Respondents

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For Petitioner(s)	: Mr.Joginder Pal Sharma with Mr.Rajendra Prasad Gautam
For Respondent(s)	: Mr.Ram Singh Bhati for respondent No.3

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HON'BLE MR. JUSTICE AVNEESH JHINGAN Order

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09/09/2024

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This petition is filed seeking directions to the respondents to release the outstanding payments and refund of the earnest money.

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Brief facts are that the petitioner was a successful bidder in Tender invited on 19.06.2020 and made supplies under the Bill No.137 dated 03.08.2020 for an amount of Rs.31,41,600/-. The petitioner served a legal notice dated 06.09.2021 and thereafter

[2024:RJ-JP:38121]

[CW-13466/2024]

(2 of 3)

on 26.04.2024. The prayer is that the respondents be directed to release the payment. Clause 21 of the Notice Inviting Tender (NIT) provides for disputes resolution. The parties had agreed to resolve the dispute through arbitration.

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The contention of learned counsel for the petitioner is that the arbitration proceedings would delay the matter. 4. The contention of learned counsel lacks merit. The payment as per the petitioner is due since August, 2020. The petitioner served a notice on 06.09.2021 and thereafter, waited for three years.

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Clause 21 of the NIT is reproduced below:-

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" 21. Resolution of disputes If dispute of difference of any kind shall arise between the purchaser and the supplier in connection with or relating to the contract, the parties shall make every effort to resolve the same amicably by mutual consultations.

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If the parties fall to resolve their dispute or difference by such mutual consultation within twenty-one days of its occurrence, either the purchaser or the supplier may give notice to the other party of its intention to commence arbitration, as hereinafter provided the applicable arbitration procedure will be as per the Arbitration and Conciliation Act, 1996 of India. In the case of a dispute or difference arising between the Purchaser/ Consignee and Supplier relating to any matter arising out of or connected with the contract, such dispute or difference shall be referred to State Nodal Officer, NMHP, Jaipur, Rajasthan Office of the State Nodal Officer & CEO, NMHP, Psychiatric Centre, Govind Marg, Sethi Colony, Jaipur- 302004 and the decision of State

(3 of 3)

[2024:RJ-JP:38121]

[CW-13466/2024]

Nodal Officer, NMHP, Jaipur, Rajasthan, shall be final and binding on the parties to the contract.

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Venue of Arbitration: The venue of arbitration shall be the place from where the contract has been issued, i.e. Jaipur.

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The courts at Jaipur will have the jurisdiction to try any matter, dispute or reference between the parties arising out of the contract. It is specifically agreed that no court outside and other than Jaipur court shall have jurisdiction in the matter."

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The petitioner has given two notices and as per Clause 21 of the NIT, an attempt has to be made by the parties to resolve the dispute amicably by mutual consultation.

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There is no doubt that the respondent shall consider the notices as step by the petitioner to resolve the dispute amicably and shall proceed accordingly. In case of steps not yielding the desired fruit, the petitioner shall be at liberty to avail remedy of Arbitration.

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The petition is accordingly disposed of.

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(AVNEESH JHINGAN),J

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Monika/41

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Reportable: No

Medicaid Systems v. State of Rajasthan

Case brief

What is this about?

What did the court decide?

Medicaid Systems v. State of Rajasthan

Case brief

What is this about?

What did the court decide?

What the court decided

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Statutes considered

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