Contracts etc., made in bad faith may be cancelled or varied

Education1982102 sections17 chapters

Chapter XI Chapter XI

Statutory text

(1) If the Government are satisfied, after such enquiry as they may think proper, that any contract or agreement entered into at any time within a period of two years immediately preceding the date aforesaid between the management in relation to the educational institution and any other person, in relation to any service, sale or supply to, or by the educational institution and in force immediately before the taking over, has been entered into in bad faith, or is found determinantal to the interests of the educational institution, they may make, within one hundred and eighty days from the date aforesaid, an order cancelling or varying (either unconditionally or subject to such conditions as they may think fit to impose) such contract or agreement and thereafter the contract or agreement shall have effect accordingly: Provided that no contract or agreement shall be cancelled or varied except after giving to the parties to the contract or agreement one month’s notice to make a representation in this regard.
(2) Any person aggrieved by an order made under sub-section
(1) may, within thirty days from the date of communication of the order, make an application to the principal civil court of original jurisdiction within the local limits of whose jurisdiction the educational institution is situated, for the variation or reversal of such order and thereupon such court may confirm, modify or reverse such order.

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