Case Note & Summary
This case involved a Special Leave Petition filed by M/s. Larsen and Toubro Ltd. and Lt. Col. Ajay Bhatia (Retired) against the Union of India and others, challenging the dismissal of their Writ Petition by the Delhi High Court. The Petitioners sought to compel the Respondents to consider their bid for supplying Fast Patrol Vessels to the Indian Coast Guard, claiming it was the lowest bid. The Respondents had issued a Request for Proposal (RFP) on 17th June 2009, to which the Petitioners submitted their bid on 19th October 2009. However, their bid was deemed non-responsive due to a claimed Foreign Exchange Rate Variation, which violated the tender's requirement for a firm and fixed price. The High Court upheld this decision, stating that the Petitioners could not amend their bid post-submission. The court also noted that the bid from Respondent No.4 was compliant with the tender conditions. The Petitioners argued that the same grounds for rejection applied to Respondent No.4's bid, but the court found no merit in this claim. Ultimately, the Supreme Court dismissed the Special Leave Petition, affirming the High Court's ruling and emphasizing the importance of adhering to tender conditions.
Headnote
A) Administrative Law - Tender Conditions - Non-Responsive Bids - Defence Procurement Procedure, 2008 - The High Court held that a bid violating the firm and fixed price condition was non-responsive and could not be amended post-submission. The court emphasized that the integrity of the bidding process must be maintained, and the Petitioners' attempt to amend their bid after opening was impermissible. Held that the rejection of the Petitioners' bid was justified (Paras 5-14).
Issue of Consideration
Whether the Petitioners' bid could be considered responsive after withdrawing a condition deemed non-responsive.
Final Decision
The Supreme Court dismissed the Special Leave Petition, affirming the High Court's decision that the Petitioners' bid was non-responsive due to the violation of tender conditions regarding firm pricing.
Law Points
- Tender conditions
- non-responsive bids
- foreign exchange rate variation
- firm and fixed pricing
- evaluation criteria
