Chhattisgarh High Court

Writ jurisdiction under Article 226 cannot be invoked to adjudicate disputed questions of fact in contractual matters.

M/S KAILASH CONSTRUCTION vs STATE OF CHHATTISGARH

Chhattisgarh High CourtJUDGMENT: March 16, 20262 MIN READSOURCE JUDGMENT
THE ORIGINAL LAWLENS SUMMARY
01

Facts

The Petitioner, a Class ‘C’ contractor, was awarded a construction contract by the Public Works Department (PWD) for building projects related to the Chhattisgarh Madhyamik Shiksha Mandal (Respondent No. 3).

Source reference: para. 2

After executing the agreement and commencing work, the Petitioner submitted four running bills that were duly inspected and approved by competent officers.

Source reference: para. 2

Despite approvals and the Petitioner’s continued performance, the Respondents failed to release the payments.

Source reference: para. 2-3

Respondent No. 2 stated that funds could not be released due to non-receipt of the same from Respondent No. 3.

Source reference: para. 2-3

The Petitioner filed the present writ petition under Article 226 of the Constitution of India seeking a writ of mandamus to compel the release of pending dues with 12% interest per annum.

Source reference: para. 1
02

Issues

Whether a writ petition under Article 226 is maintainable for the recovery of dues arising out of a works contract when the matter involves disputed questions of fact.

Source reference: para. 4, 12, 14
03

Law Applied

The Court applied the settled principle that the High Court should not exercise its extraordinary jurisdiction under Article 226 of the Constitution when the case involves disputed questions of fact.

Source reference: para. 6, 12

It relied on Chairman, GRIDCO v. Sukamani Das (1999), which held that where liability is denied or requires factual proof, a writ petition is not the proper remedy.

Source reference: para. 7

It further cited Union of India v. Puna Hinda (2021), which established that purely contractual matters lacking statutory flavor are better adjudicated by agreed forums, such as arbitration or civil courts, as writ courts lack expertise in assessing technical measurements or construction accounts.

Source reference: para. 10

Finally, it referenced M.P. Power Management Co. Ltd. v. Sky Power Southeast Solar India (P) Ltd. (2023), reinforcing that parties should be relegated to civil suits when the resolution of factual disputes is indispensable to the grant of relief.

Source reference: para. 11
04

Reasoning

The Court observed that the Petitioner’s grievances stem from alleged non-payment of dues under a works contract, which is a matter of private law rather than public law.

Source reference: para. 14

The Respondents challenged the maintainability of the petition, asserting that the disputed factual nature of the claims—specifically regarding the crystallization of the amount and the receipt of funds—precluded writ jurisdiction.

Source reference: para. 4

The Court reasoned that determining the exact amount payable and the validity of the claims involves an examination of contractual terms and financial accounts, which cannot be properly adjudicated based solely on affidavits in a writ proceeding.

Source reference: para. 14

Applying the cited precedents, the Court concluded that because the dispute is purely civil and contractual, the Petitioner must utilize efficacious alternative remedies, such as a civil suit, where evidence can be recorded and facts can be thoroughly examined.

Source reference: para. 14-15
05

Holding

The Court held that the writ petition is not maintainable as it involves disputed questions of fact arising from contractual obligations.

Consequently, the petition was dismissed for lack of merit.

Source reference: para. 16

The Court reserved liberty for the Petitioner to pursue alternative legal remedies available under the law.

Source reference: para. 16

No costs were awarded.

Source reference: para. 16
Chhattisgarh High Court

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M/S KAILASH CONSTRUCTIONvsSTATE OF CHHATTISGARH

Chhattisgarh High Court · March 16, 2026

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