Explanation:

R.D. Shetty Vs. International Airport Authority

On 3rd January, 1977 a notice inviting tenders for putting up of IInd class restaurant and two snack bars at the International Airport Bombay was issued by the first respondent who is a corporate body established under the International Airport Authority Act 43 of 1971. In the paragraph 1 of the notice it was clearly stated that the sealed tenders in the prescribed form are hereby invited from IInd class hoteliers having at least 5 years’ experience for putting up and running of second class restaurant and snack bars for a period of 3 years. whereas Paragraph 8 of the notice clearly stated that the acceptance of tender rest with the airport director and he does not bind himself to accept any tender and can reject all or ally of the tenders received without assigning any reason thereof. There were six tenders in the response of the notice one of them was from the 4th respondent offering a licensing fee of Rs. 6666.66/ month others were from café mahim, central catering service, café seaside, and café excelsior offering much less amount in comparison to 4th respondent but their tenders were not complete since they were not accompanied by respective Income tax certificates, affidavits of Immovable property, and solvency certificates as required by cl(9) of the terms and conditions of the tender form. The only tender that was fully complied with the terms and conditions was that of 4th respondent but the offer was the highest amongst the all tenders.