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Q. Railways cancelled the PO. How to challenge it ?

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P Chowdhary

posted 1 month ago

question iconRailways cancelled the PO. How to challenge it ?

We had a PO from INDIAN RAILWAYS, in which the contract due date has expired, the contract has a LD clause for late delivery and force majeure clause also.
The contract ended in June ,2021.

we had asked for extention in the contract due date due to covid 19, but the railways internal board decided that they no longer needed the items- so they have cancelled the PO sighting a clause in their general terms and conditions book that incase supplier doesnt give timely deliveries they can cancel the PO.

Since its a specific item only to be used in Railways we dont know what to do with our WIP.

can we challenge Indian Railways legally, if yes then under which clause of the contract act, or is Indian Railways action correct under the said law

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Anik

Anik

Responded 1 month ago

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A.Dear Client,

As a result of COVID-19, many ideas around contractual terms and conditions have been amended to meet the difficulties of individuals, suppliers, and businesses, among other things. I believe you can take the railways to court and obtain a favourable judgement in your favour.

Thank you!

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Abhimanyu  Shandilya

Abhimanyu Shandilya

Responded 1 month ago

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A.See owing to the COVID-19 lot of philosophies around the contractual terms and conditions have been modified to accommodate the problems of people, supplier, business etc. I think you can challenge the railways action in court of law and get favourable judgement in your favour.

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