Facts
The Petitioner was awarded a contract for sanitation services during the Shri Amarnath Ji Yatra 2025 (Pahalgam Axis) after being the successful bidder under E-NIT No. 295 of 2025.
Source reference: para 02, 06Despite satisfactory completion of the 2025 work, the Respondents issued a fresh tender (E-NIT No. S-222) for the 2026 Yatra on 24.04.2026.
Source reference: para 03, 23The Petitioner filed a representation seeking a one-year extension citing Clause 8.5 of the 2025 Request for Proposal (RFP), which suggested a potential "1+1" year extension.
Source reference: para 10, 15The Respondents rejected this request on 24.04.2026.
Source reference: para 25The Petitioner approached the High Court under Section 9 of the Arbitration & Conciliation Act, 1996, seeking an injunction against the fresh tendering process.
Source reference: para 03Issues
1. Whether Clause 8.5 of the Request for Proposal (RFP) constitutes a binding contractual obligation for the Respondents to grant an extension, despite its absence in the subsequent formal written agreement.
Source reference: para 32, 432. Whether interim measures under Section 9 of the Arbitration & Conciliation Act, 1996, can be granted based on terms found in a tender document (RFP) that were not incorporated into the final executed contract.
Source reference: para 43, 46Law Applied
The Court primarily applied Section 9 of the Arbitration & Conciliation Act, 1996, regarding interim measures by the Court.
Source reference: para 12The Court relied on the principle that a Request for Proposal (RFP) is generally an invitation to offer and not a binding contract unless expressly incorporated into the final agreement.
Source reference: para 36The Court followed the precedents of National Highways and Infrastructure Development Corporation Ltd. v. BSCPL Infrastructure Ltd. (2019) and PSA Mumbai Investments Pte. Ltd v. Board of Trustees of the Jawaharlal Nehru Port Trust (2018), which establish that terms in an RFP do not per-se constitute an enforceable contract.
Source reference: para 50Reasoning
The Court observed that the Petitioner’s claim rested entirely on Clause 8.5 of the RFP, yet the formal written agreement dated 27.05.2025 did not contain any such extension clause.
Source reference: para 32, 41The Court highlighted that the RFP contained a "disclaimer" stating it was not an agreement or an offer.
Source reference: para 07, 35The Court reasoned that the conscious exclusion of the extension clause from the final written contract indicated that the parties did not intend for it to be a binding term.
Source reference: para 42Since the written agreement—which governs the legal relationship—lacked an extension provision, no "arbitrable dispute" existed regarding the 2026 Yatra.
Source reference: para 43The Court noted that the definition of "Contract" in the RFP required a signed document, and since the RFP was not expressly made part of the final contract, its terms were unenforceable.
Source reference: para 45, 46Holding
The Court dismissed the petition, answering that the Petitioner had no legal right to an extension based on the RFP.
The Court held that Section 9 relief cannot be granted for conditions not present in the final written agreement.
Source reference: para 43The Court further clarified that the Respondents' decision to invite fresh bids was a valid administrative choice, as they were not contractually bound to retain the Petitioner.
Source reference: para 48The petition was dismissed with a direction to return the record.
Source reference: para 52, 53Original Court PDF
M/S YLDA INDIA PVT. LTD. TH. ITS DIRECTOR MOHIT MALHOTRAvsUT OF J AND K TH. COMMISSIONER SECRETARY, RURAL DEVELOPMENT DEPARTMENT, JAMMU AND OTHERS
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