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Supreme Court of India 2025-02-25

LIFECARE INNOVATIONS PVT. LTD. & ANR. vs UNION OF INDIA

Bench: 2 — Pamidighantam Sri Narasimha, Sandeep Mehta

In Brief

A micro-pharmaceutical enterprise challenged government procurement practices, arguing that mandatory minimum turnover requirements in tender notices violated the statutory obligation to procure 25% of goods and services from Micro and Small Enterprises. The Supreme Court held that while individual MSEs lack a direct enforceable right, the Procurement Order 2012 has the force of law, and government authorities have statutory duties to implement the procurement mandate subject to judicial review. The Court directed the Review Committee and Grievance Cell to examine and declare limits on minimum turnover clauses and issue policy guidelines within 60 days to ensure effective implementation of the MSME procurement policy without undermining statutory obligations.

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Public Procurement MSME Rights Administrative Law Judicial Review Government Policy Constitutional Law Articles 14 and 19 Competition and Fairness in Government Contracting

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