In Brief
A construction company won a tender for land development works but submitted the mandatory additional performance security one day late (17.03.2021) because a nationwide bank strike on 15-16 March made it impossible to do so earlier. The losing bidder challenged the work order in the High Court, which set it aside on the ground that the two-day deadline was rigid and non-extendable. The Supreme Court allowed the appeal, holding that the principle of lex non cogit ad impossibilia (the law does not compel impossible acts) applies to tender conditions. Since the company submitted the security at the earliest possible moment after the strike ended and the tendering authority verified the circumstances, the submission was in due compliance, and no breach occurred. The court emphasized deference to tendering authority's interpretation where no mala fide or perversity exists.
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