• Plot denied in auction under ROFR

I am one of the three Partner of an Unregistered Partnership firm. I have filed a WP in HC against the allotment letter of Plot issued in the name of the firm by MIDC in the Tender Auction . HC told to make firm and its parties also respondents. I had individual also filled tender for my side adjacent Plot. there are 2 plots .MIDC did not encash my EMD DD , returned after 9 months though i submitted ROFR Claim immediately next day after opening of tenders. Partnership firm filled tender for both the Plots. Partnership tender is filed by one of the partner who is not authorized to file tender by other partners which is mandatory condition for tender submission. MIDC maipulated removed my original rofr letter, did not encash my EMD , and issued allotment in the name of firm setting aside my ROFR to buy one plot adjacent to my existing plot at highest bided rate offered by the firm. Its duty of MIDC to ask me Plot at highest bided rate and keep my EMD. Minister of Industries has issued order to grant me my first right of refusal and award me tender but this order was not followed by MIDC Officers on legal opinion obtained from their legal advisor on fabricated facts which advised to allot tender to partnership firm as my EMD is not with MIDC 

. Tender documents in remark column has mentioned First Right of Refusal to Adjacent Plot Holders. MIDC did not offer me allotment letter under ROFR at highest bided rate but instead issued allotment letter to Partnership firm which is not registered and does not have my sponsorship letter which is mandatory condition in tender rules.. I have disclosed to HC that Iam also one of the partners. HC in its first hearing has not given stay saying no case can be made out as petitioner has not disassociated himself till today from the firm and should make other partners also parties. I have paid to MIDC Under Protest the cost of 1/3 of Plot . I have not given my sponsorship letter to partner who filed the tender and firm is till today not registered which is also condition for submission of Tender.

I have now made other partners as parties.1) I want to ask where do I stand in this case? Can the case be dismissed on no locust standi,?

2) Can I make partnership firm respondent? as I am also one of the partner

3) I being the petitioner and one of the respondent is the firm of which I am partner.Main Respondent are State Govt and Minister of Industries and MIDC,

4) In my Individual capacity am I able to make the firm respondent?
5) Should I file a civil suit and withdraw WP?

(I get half Plot if they give me Plot under ROFR at highest bided rate and Through Partnership firm I get 1/3rd of Plot It is a question of my Right under ROFR being adjacent Plot Holder.)
Asked 8 years ago in Constitutional Law

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2 Answers

1) it is necessary to peruse the various documents cited by you to advice .

2) if tender conditions had been flouted contract could not have been awarded to firm

3) if Partnership tender is filed by one of the partner without letter of authorisation from firm it is ground for rejection of tender offer

4) you have not mentioned whether you have any documentary evidence of filing EMD

5) further if firm is unregistered it could not have been awarded contract as it was condition precedent that firm should be registered

6) it does appear that you have good case on merits regarding award of contract to firm

7) you have to comply with HC orders and make firm a respondent

8) you must have engaged a local lawyer for filing writ in HC go by advice as he ha perused all the case papers

9) dont withd raw the writ

Ajay Sethi
Advocate, Mumbai
94723 Answers
7535 Consultations

5.0 on 5.0

1) MIDC cannot vary terms of tender to favour some contractors

2) at time of issue of tender it was specifically mentioned that consent of other partners would be necessary when submitting application .

3) also it was mentioned that registration of firm is mandatory requirement

4) opinion given By MIDC legal adviser is faulty as based on fact that no EMD was submitted by you

Ajay Sethi
Advocate, Mumbai
94723 Answers
7535 Consultations

5.0 on 5.0

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