M/S.SUBHASH PROJECT & MKT.LTD. vs W.B.POWER DEV.CORPN. LTD.&ORS

The Supreme Court addressed appeals arising from a Writ Petition concerning the award of a contract for the Bakereshwar Thermal Power Project. The Court held that the award to Subhash Projects was illegal under the principles of contract law, specifically emphasizing the need for adherence to tender specifications. The Court directed Subhash Projects to pay compensation to Larson & Toubro, affirming the Division Bench's decision but criticized the failure to set aside the contract award entirely, thus reinforcing the principle that contracts awarded in violation of law cannot stand.