Law: Rules of Business (Federal), 1973

Section: 14

(a) Constitution of Pakistan (1973)--Art.199---Rules of Business, (Federal) 1973, R.14(213)---Constitutional jurisdiction---Scope---Contractual matter---Promissory estoppel---Applicability, principles--Petitioner entered into a Petroleum Concession Agreement with the respondent/Government of Pakistan---After discovery of gas by the petitioner, respondent executed a development and commercial lease in favour of the petitioner and nominated Sui Northern Gas Pipelines Limited as purchaser of gas from petitioner/company---Dispute arose over fixation of well-head price resulting from different interpretations of the relevant Article of the Petroleum Concession Agreement---Parties, by mutual consent, referred the issue to the Attorney-General for Pakistan who supported the version of petitioner/company---Petitioner contended that the controversy was resolved by the opinion of the Attorney-General which was binding on the Government/respondent which refused to fix the price of gas---Petitioner further contended that the reference having been proposed by respondent (Government) itself, opinion of the Attorney-General was binding on the government/respondent on account of promissory estoppel---Respondent contended that constitutional petition was not maintainable as numerous remedies were available to the petitioner viz. arbitration, suit for specific performance that petitioner was not an 'aggrieved party'; writ of mandamus could not be issued in the absence of any lapse on the part of any public functionary and that opinion of the Attorney-General was not binding on the Government as the same was not the opinion of an expert of petroleum industry---Validity--Rules 4(213) of the Federal Rules of Business, 1973 attached primacy to the Attorney General's opinion which could only be overruled by the Prime Minister or the Cabinet---Record showed that the Prime Minister had not overruled the opinion of the Attorney General---Dispute of gas price was, admittedly, referred to the Attorney General by the Prime Minister with promise and understanding given to the petitioner company that the opinion/advice of the Attorney-General would be binding on both the parties which agreed…

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