Case Note & Summary
The petitioners, M/s. M.E. InfraProjects (Pvt.) Ltd. and its director, challenged the rejection of their bid in response to a tender issued by the Mumbai Municipal Corporation for civil works contracts. The tender required bidders to submit proof of ownership of specified equipment, including a Static Roller of 10 T capacity, as per clause 3.2.3(vi) and Proforma V A. The petitioners submitted repair bills and balance sheets for the year 2000-2001 as proof of ownership. The respondents rejected the bid as non-responsive, stating that no document showing ownership was produced. The petitioners argued that the rejection was arbitrary and that they had complied with all terms. The court held that the condition requiring ownership documents was clear and unambiguous. The documents submitted by the petitioners did not establish ownership, and the respondents' decision to treat the bid as non-responsive was reasonable and not arbitrary. The petition was dismissed.
Headnote
A) Tender Law - Judicial Review - Non-Responsive Bid - The court examined whether the rejection of a bid for non-compliance with a tender condition requiring proof of ownership of equipment was arbitrary. Held that the condition requiring ownership documents was clear and the petitioner's failure to produce such documents justified rejection. (Paras 1-4) B) Tender Law - Condition Interpretation - Ownership Proof - The court considered whether repair bills and balance sheets constituted proof of ownership. Held that such documents do not establish ownership and the respondent's decision was reasonable. (Paras 3-4)
Issue of Consideration
Whether the rejection of the petitioner's bid as non-responsive for failure to produce ownership documents for the required equipment was arbitrary and violative of Article 14 of the Constitution.
Final Decision
The petition is dismissed. Rule discharged. No order as to costs.
Law Points
- Tender law
- Judicial review of tender conditions
- Non-responsive bid
- Ownership proof requirement


