National Law Institute University, Bhopal

Indian Administrative Law: Emerging Principles

& Challenges
Synopsis
On
Government Contract: How it is made
Submitted To: Submitted By:
Dr. Sushma Sharma Monali Rai
Associate Professor 2017LL.M. 24
 Introduction:

The subject of government contracts has assumed great importance in the modern times. Today
the state is a source of wealth. In the modern era of a welfare state, government's economic
activities are expanding and the government is increasingly assuming the role of the dispenser of
a large number of benefits. Today a large number of individuals and business organizations
enjoy largess in the form of government contracts, licenses, quotas, mineral rights, jobs, etc. This
raises the possibility of exercise of power by a government to dispense largess in an arbitrary
manner. It is self-evident that the government or any of its agencies ought not to be allowed to
act arbitrarily and confer benefits on whomsoever they want. Therefore there is a necessity to
develop some norms to regulate and protect individual interest in such wealth and thus structure
and discipline the government discretion to confer such benefits.

Statement of Problem:

Whether the individual whose rights are affected or who suffers injury by the Acts of the
State is entitled to remedy by the state. There are Constitutional provisions in India which
talks about contractual liability of the state.
Whether the government as a contracting party ought to be treated different from any
private contracting party

Objectives:

The objective of this project is to provide an overview of the constitutional position relating to
both the formation of contracts as well as substantive elements of government contracting.

Hypothesis:

Article 299 has been enacted for safeguard the enactment against unauthorized contract it is
based on public policy and to ensure that no contract are made by unspecified public servant
without express sanction of law.
 Literature Review:

Jain M.P., Jain S.N., Principles of Administrative Law (5th ed. Wadhwa Publication,
Nagpur 2007). The book has twenty-five chapters. It explains the nature, scope and
content of administrative law. It also explains the Liability of Government for the breach
of Contract and Tort in which the State is a party and also explained the Judicial Review
over the Government Contract.

Research Methodology

A doctrinal methodology of research has been adopted in the completion of this project report.
This includes both primary as well as secondary methods of doctrinal method of research. Source
utilized for the completion of this project include available book, articles, websites and statutes,
periodicals and e-post has been made where ever necessary.

Tentative Chapterization:

Chapter-I: Introduction
Chapter-II: The Governments Power of Contracting
Chapter-III: The Formation of Government Contract
Chapter-IV: Judicial opinion on Government Contract
Chapter-V: Conclusion