Khaitan & Co Successfully Represented Texmaco Rail & Engineering Ltd Before Madras High Court In Tender Dispute

Khaitan & Co Successfully Represented Texmaco Rail & Engineering Ltd Before Madras High Court in Tender Dispute

The leading law firm in India, Khaitan & Co successfully represented Texmaco Rail & Engineering Ltd before the Madurai Bench of Madras High Court in writ petitions challenging the rejection of technical bids in four tenders floated by Southern Railway for provision of interlocking arrangement at various parts of Tamil Nadu.

Background of the Case

The technical bid submitted by the client in four tenders floated by Southern Railway was rejected on the ground that the power of attorney authorising the representative of the client was not backed by a resolution passed by the board of directors, but by a resolution passed by the committee of directors. This arbitrary rejection was challenged by way of writ petitions. The Madras High Court was pleased to set aside the arbitrary rejection made by the Southern Railway.

Key Issue

The issue in the case involved highlighting essential and non-essential documents in a tender and how failure to seek clarification on a non-essential document would not allow railways to reject the tender.

Outcome

The Firm scope of work included drafting pleadings, making court appearances, and presenting final arguments before the court. Khaitan & Co successfully secured an order quashing the rejection of the technical bid and further directing Southern Railway to consider the financial bid submitted by the client by accepting the technical bid.

The Khaitan & Co team representing the client comprised Thriyambak Kannan (Partner), Shounak Mitra (Partner), Shourya Sengupta (Partner), Vaibhavi Pandey (Principal Associate), Annapoorani Ganapathy (Senior Associate), Vasanth Subramanian (Associate) and Swastika Sengupta (Junior Associate).

Conclusion

This ruling reinforces the principle that technical disqualifications in tender processes must be applied reasonably and not arbitrarily, and highlights Khaitan & Co’s strong capability in successfully challenging unfair tender rejections and securing favourable outcomes for its clients.

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