West Bengal Tender for Fortified Rice
1 month ago
We have a Fortified Rice Kernels manufacturing firm. Currently the Government is the only buyer for the same as it is distributed in PDS. The WB Govt recently floated a tender for just fixing the rate for the supply of FRK within the State. One of the tender documents which were required to be submitted was Certificate of Partnership Registration under Registrar of Firms, WB. Our firm is a newly incorporated firm in this year and since RoF certificate is not mandatory for conducting business in India, we had opted for being an unregistered firm. However, when we got the tender requirement we applied for RoF registration. Since it is a Govt process it takes time and therefore we submitted application receipt as proof. However the tendering authority disqualified us technically since our certificate did not come before tender submission date. However, we had provided the certificate much before they actually disclosed the names of the qualifying entities. Do we have a legal ground for case here given that 1) Registration of partnership is not required by law and many unregistered partnership firms are conducting business in India for years now, 2) As soon as we came to know of criteria, we had applied for the same but the process is not under our hands as it is a Govt process and there are people who do not get their certificate even after years, 3) We had already communicated the entire matter to the tendering authority well in advance, before the tender deadline, 4) We had supplied the registration certificate before the tender actually opened
Sections 58 and 59 of the Indian Partnership Act, 1932, govern the registration process for partnership firms with the Registrar of Firms, Societies, and Non-Trading Corporations. Without registration under these provisions, a partnership firm lacks legal standing to initiate legal actions or defend against them in case of disputes involving partners or third parties. Therefore, based on your status at the time of tender submission, the authority has disqualified it on technical grounds. Given the situation, pursuing legal recourse through litigation does not appear feasible.
You do not have much merit to fight against it as you firm did not fulfill the criteria as sought in the RFP.
1. Although registration may not be mandatory to run a partnership business in India but if a tender floating party is asking for some criterion then the party has the right to ask for it and you need to act accordingly.
2. The application may not help you. If the certificate was required while applying for tender then it has to be that way
3. Informing them does not matter unless they accepted your letter and allowed you to go ahead in writing
4. Did you supply before the closure of the tender? if yes then you can challenge. Supplying before opening of tender and after closure of the application date will not help
Section 58 and Sec.59 of the Indian Partnership Act, 1932 deal with the registration of partnership firms with the Registrar of Firms, Societies, and Non-Trading Corporations. Unless a partnership firm is registered under the statutory provision of the Act, it gets no legal entity or status to sue or to be sued if any dispute arises among the partners or the third-party outsiders in connection with the partnership business. So, considering your status on the date of filing the tender, the same is disqualified on technical grounds by the authority. So, on the face of facts and circumstances, no legal remedy to the cause of action is feasible even through litigation.
You may challenge negative order either before higher authorities or by approaching civil court or High court.
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