Blacklisting of bidder for long period of time without assigning any valid reason is illegal.

Blacklisting of bidder for long period of time without assigning any valid reason is illegal.

The bidder was awarded a contract for construction according to Notice inviting tender issued by the State. The order of blacklisting the bidder was passed later due to failure of bidder to carry out any activity of construction as required under the contract awarded. Although a notice to show cause was issued to bidder, but time limit given to submit reply was only of three days. It was not the case of the State that on earlier occasion also bidder has defaulted in fulfilling contractual obligations. The bidder was blacklisted for a substantial period of 10 years that too, without assigning any valid reason. The Patna High Court held blacklisting as illegal and quashed the order of blacklisting.