Food Corporation Of India vs Surana Commercial Co. And Ors.

The Supreme Court upheld the Andhra Pradesh High Court's decision, affirming that the supplemental agreement for upgrading rejected arhar dal lacked consideration and was not part of the original contract. The Court clarified that once the original agreement was fulfilled by the acceptance of dal, the obligations under it ceased, and thus, the Appellant's claim for damages under the supplemental agreement was not valid. The Court dismissed the appeal, confirming that there was no breach of the original agreement as the claim was solely based on the supplemental agreement, which was deemed unenforceable due to lack of consideration.