In Brief
Uflex Limited and others successfully challenged a High Court division bench decision that had quashed a tender award for supply of hologram excise labels. The Supreme Court held that unsuccessful tenderers cannot seek judicial review of tender awards merely because they disagree with commercial or technical decisions. Courts must respect the tender authority's interpretation of documents and commercial judgment unless there is proven mala fide or irrationality. The Court found no tailor-made conditions: similar specifications had been used by multiple states with varying successful bidders. The Court reversed the division bench order and awarded substantial costs against the unsuccessful petitioners (Kumbhat and Alpha), establishing that in commercial tender litigation, costs ordinarily follow the cause.
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