Our Company was awarded the work of Construction of 3 schools by "C.P.W.D" in November 2011. However the work could not be started due to Election Code of Conduct as well as other hinderences such as opposition from local people. We managed to dig footing trenches in one school site after which no work could be carried out.
Now yesterday we recieved a letter from C.P.W.D admitting that...
"owing to circumstances beyond the control of C.P.W.D the hinderances from site could not be removed and that "C.P.W.D cannot accertain with certainity the date of commencement of the project due to various hinderances and it is decided by C.P.W.D to Foreclose the present contract without prejeduce to rights or interest arising in favour of C.P.W.D by virtue of contract or under law"
Now please guide me...
The project is worth = 1 Crore
We have given bank guarantee of 7 lakhs to C.P.W.D
Amount of Work done = Rs 60 thousand (Approx)
Now please tell me if i can challenge this foreclosure and claim "Anticipated Profits" as C.P.W.D failed to provided hinderance free site conditions..
Please help me.