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Blacklisting Can’t Be For Indefinite Time

In M/S OM CONSTRUCTION Vs THE STATE OF MADHYA PRADESH, the Madhya Pradesh High Court while referring to the Supreme Court judgment in M/s Kulja Industries Limited Vs
Chief Gen. Manager, BSNL & Ors. has held that the blacklisting of a contractor cannot be done for an indefinite period.

The petitioner firm had challenged the order of the engineer-in-chief of MP state public works department that rejected an appeal against its blacklisting.

The firm was awarded contract for road construction, but due to certain disputes, including paucity of funds with the respondents leading to slow process of construction, the contract was terminated and the firm was blacklisted.

The petitioner argued blacklisting could not be done for an indefinite period.

Article referred: http://www.livelaw.in/contractor-cant-blacklisted-indefinite-time-mp-hc-read-order/

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