Law: Punjab Procurement Rules, 2014

Section: 25(6),56,67,35

Law: Law Reforms Ordinance, 1972

Section: 3

Punjab Procurement Rules, 2014-- ----Rr. 25(6), 56 , 67--Law Reforms Ordinance, (XII of 1972), S. 3--Submission of bids--Projects of construction and rehabilitation work of provincial roads highway--Issuance of first letter to pay performance security--Second letter was issued for additional performance security--Lowest bidder--Successful bidder-- Performance security--Additional performance security--General Directions including Para 25(A), 25(B) and 15 which were already part of bidding documents, could be applied by procuring agency as long as they are not inconsistent with Rules--This Court in preceding paragraphs has already noted that these paras in General Directions are not inconsistent with Rule 56 of Rules--Counsel for appellants have also not referred to any other rule which specifically deal with performance security or additional performance security, in case tender amount is less than approved estimated amount and in conflict these paras--It is also well settled that at bidding stage, tendering authorities are free to formulate any conditions of tenders unless action of tendering authority is found to be arbitrary, discriminatory or malicious--No performance guarantee after acceptance of bid, can be claimed more than 10% of “contract price” as ordained by Rule 56 of Rules--But additional performance security or performance security from lowest bidder before his bid was accepted can be claimed as per General Directions circulated to bidders was merely lowest bidder, demand of additional performance security under Para 26(A) of General Directions was justified and in case of failure, procuring agency had authority to reject lowest bid and proceed for retendering--Award of contract to 3rd party in subsequent tender is not hit by Rule 56 of Rules or any other provision of law--Petition disposed of. 2010 YLR 2452 and 1999 MLD 476 ref. Punjab Procurement Rules, 2014-- ----R. 35--Rejection of bids--Procuring agency may reject all bids or proposals at any time prior to acceptance of a bid or proposal. PLD 2020 Lahore 565, 2005 YLR 1443 and 2010 CLC 1046 Karachi ref. Punjab Procurement Rules, 2014-- ----R. 56--Furnishing of performance guarantee--Where it…

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