UNION OF INDIA & ORS. vs M/S. BHIM SEN WALAITI RAM

The Supreme Court held that under Clause 21 of Rule 5.34 of the Delhi Liquor License Rules, a bidder is required to pay one-sixth of the annual fee within seven days of the auction for the sale of a liquor license. The Court clarified that until the Chief Commissioner's confirmation, the contract is not complete, and a bidder can withdraw their bid without liability for damages or shortfall on resale. The respondent was not liable for the deficiency in price from the resale as the bid was not confirmed due to non-payment of the deposit within the stipulated time.