{"id":172228,"date":"2010-03-16T00:00:00","date_gmt":"2010-03-15T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/t-k-simon-vs-oil-palm-india-limited-on-16-march-2010"},"modified":"2017-02-16T17:02:35","modified_gmt":"2017-02-16T11:32:35","slug":"t-k-simon-vs-oil-palm-india-limited-on-16-march-2010","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/t-k-simon-vs-oil-palm-india-limited-on-16-march-2010","title":{"rendered":"T.K.Simon vs Oil Palm India Limited on 16 March, 2010"},"content":{"rendered":"
Kerala High Court<\/div>\n
T.K.Simon vs Oil Palm India Limited on 16 March, 2010<\/div>\n
       \n\n  \n\n  \n\n \n \n  IN THE HIGH COURT OF KERALA AT ERNAKULAM\n\nAS.No. 669 of 1999()\n\n\n\n1. T.K.SIMON\n                      ...  Petitioner\n\n                        Vs\n\n1. OIL PALM INDIA LIMITED\n                       ...       Respondent\n\n                For Petitioner  :SRI.RAJEEV V.KURUP\n\n                For Respondent  :SRI.JOSEPH MARKOSE (SR.)\n\nThe Hon'ble MR. Justice HARUN-UL-RASHID\n\n Dated :16\/03\/2010\n\n O R D E R\n                      HARUN-UL-RASHID,J.\n                --------------------------\n                      A.S.NO.669 OF 1999\n                --------------------------\n               DATED THIS THE 16TH DAY OF MARCH, 2010\n\n                            JUDGMENT\n<\/pre>\n
           Plaintiff in O.S.No.169\/95 on the file of the Principal<\/p>\n
Sub Court, Kottayam is the appellant. The suit was filed for<\/p>\n
realisation of Rs.38,372.34ps. with future interest at 18% per<\/p>\n
annum on the principal amount from the defendant. The trial<\/p>\n
court dismissed the suit.      Hence this appeal.     The parties<\/p>\n
hereinafter are referred to as the plaintiff and defendant as<\/p>\n
arrayed in the suit.\n<\/p>\n
           2. The plaintiff’s case is that he was entrusted with<\/p>\n
the work of thermal insulation of pipe for the defendant’s factory<\/p>\n
in Kollam District. The defendant is the Oil Palm India Ltd.,<\/p>\n
a Government of Kerala Enterprises. The plaintiff had quoted<\/p>\n
only for thermal insulation using mineral wool as per IS 7413\/81.<\/p>\n
But the Project Engineer of the defendant company insisted<\/p>\n
for finishing with aluminium sheets. The plaintiff agreed<\/p>\n
                                -2-<\/span>
\nA.S.No.669\/99<\/p>\n
to do so only on condition of paying extra payment for using<\/p>\n
aluminium sheet. The plaintiff completed the work by using<\/p>\n
aluminium sheet and claimed Rs.19,062.34ps. The further case of<\/p>\n
the plaintiff is that he offered to do the work on condition that<\/p>\n
the tax payable for the materials used by him shall be paid extra.<\/p>\n
According to him, he has to spend Rs.12,890\/- for purchase of<\/p>\n
additional materials.\n<\/p>\n
           3. The defendant company contended that since the<\/p>\n
parties had performed their respective obligations under the<\/p>\n
contract, the contract stood discharged and that the plaintiff is<\/p>\n
estopped from claiming any amount. It is also stated in the<\/p>\n
written statement that the work was completed by the plaintiff as<\/p>\n
per the tender specifications and that the amount quoted for the<\/p>\n
work includes protective finishing using aluminium sheet and not<\/p>\n
as stated by the plaintiff.     According to the defendant, the<\/p>\n
protective finishing using aluminium sheet is not an extra work.<\/p>\n
One of the finishing materials, which is specified in Ext.A10 is ”<\/p>\n
                               -3-<\/span>
\nA.S.No.669\/99<\/p>\n
Indian Standard Code of Practice for Industrial Application and<\/p>\n
Finishing of Thermal insulating materials at temperatures above<\/p>\n
40 C and upto 700 C ”. It is also stated that the plaintiff is not
\n    o                o<\/p>\n
entitled to claim any amount under the heads mentioned in the<\/p>\n
plaint, that the Company had acted only according to the terms<\/p>\n
of the contract and they prayed for dismissal of the suit.<\/p>\n
           4. The plaintiff produced Ext.A1 work order dated<\/p>\n
29\/9\/1992. In Ext.A1 the company informed the plaintiff that ‘we<\/p>\n
have pleasure in placing an order on you for the installation of<\/p>\n
piping, tanks and pumps at Chithara Factory near Anchal in<\/p>\n
Kollam District on the following terms and conditions.’ Ext.A1<\/p>\n
also contains the nature of work to be carried out and completed.<\/p>\n
The amount payable to the plaintiff is stated in schedule I, II and<\/p>\n
III attached to the work order Ext.A1. It is further stated that the<\/p>\n
price quoted is inclusive of all expenses, that the prices shall be<\/p>\n
confirmed and no explanation shall be permitted during the<\/p>\n
period of contract. Clause VIII of Ext.A1 stipulates that the<\/p>\n
                               -4-<\/span>
\nA.S.No.669\/99<\/p>\n
contract work shall be of best quality and workmanship<\/p>\n
according to the latest engineering practices and that in case of<\/p>\n
poor workmanship noticed, such work will have to be repaired\/<\/p>\n
replaced\/modified at the cost and risk of the contractor. Clause 8<\/p>\n
of the page under the head “Scope of work” in Ext.A1 stipulates<\/p>\n
that the insulation for steam and as applicable for oil lines shall<\/p>\n
be arranged by the contractor and the work shall be carried out as<\/p>\n
per IS-7413\/1981.       Reference to IS-7413\/81 is Ext.A10<\/p>\n
specifications.\n<\/p>\n
            5. Ext.A10 is the Indian Standard code of Practice for<\/p>\n
Industrial Application and Finishing of Thermal Insulating<\/p>\n
materials at temperatures above 400C upto 7000C. Clause 5 deals<\/p>\n
with finishing. Clause 5.2 deals with protective finishes. It<\/p>\n
narrated that the following are the commonly applied protective<\/p>\n
finishes.  Clauses 5.2.1 to 5.2.6 deal with different types of<\/p>\n
protective finishings. Clause 5.2.3. is the relevant clause, which<\/p>\n
deals with ‘sheet metal’ — aluminium, galvanized iron or mild<\/p>\n
                                -5-<\/span>
\nA.S.No.669\/99<\/p>\n
steel sheet of suitable thickness as agreed to between the<\/p>\n
purchaser and the applicator.\n<\/p>\n
            6. Referring to Ext.A9 responding to the invitation of<\/p>\n
tender the plaintiff quoted the rates for doing the work. In the<\/p>\n
letter attached to the rates quoted the plaintiff has stated that the<\/p>\n
tax on materials used shall be paid extra. The learned counsel<\/p>\n
for the plaintiff contended that he is entitled to realise the amount<\/p>\n
under the two heads mentioned above.             According to him,<\/p>\n
finishing of insulation with aluminium is not a work covered by<\/p>\n
the tender and the work order and therefore he is entitled to<\/p>\n
realise the amount spent for purchase and installation of<\/p>\n
aluminium sheet. Since it is an extra work, payment has to be<\/p>\n
made. I have quoted the conditions relating to the materials to be<\/p>\n
applied for the insulation work by referring to Ext.P10 standard<\/p>\n
specifications.   I have also quoted the relevant paragraph in<\/p>\n
Ext.A10. The materials to be applied includes the aluminium<\/p>\n
sheets as well. Therefore, the contention of the plaintiff that the<\/p>\n
                                 -6-<\/span>
\nA.S.No.669\/99<\/p>\n
finishing work done by using aluminium sheet is an extra work<\/p>\n
and that he is entitled to extra payment cannot stand. The learned<\/p>\n
counsel for the appellant contended that the claims towards sales<\/p>\n
tax ought to have been allowed by the court below. According to<\/p>\n
him, the defendant did not deny the claims made in Ext.A9 letter<\/p>\n
at the time of accepting the tender. Therefore, the condition in<\/p>\n
Ext.A9 letter that the tax paid by him for purchase         of the<\/p>\n
materials shall be paid in addition to the rate agreed. Ext.A9 is<\/p>\n
the offer letter addressed to the defendant-company. The rate<\/p>\n
quoted is attached to Ext.A9. Schedule 1,2,3 and 4 were<\/p>\n
accepted. In the covering letter it is stated that the tax if any<\/p>\n
applicable shall be paid extra. Placing reliance on Ext.A9 the<\/p>\n
learned counsel contended that his offer was accepted by the<\/p>\n
company and therefore the company is liable to pay the amount<\/p>\n
incurred by the plaintiff towards payment of tax. It is true that<\/p>\n
the plaintiff claimed extra amount towards the tax paid. Ext.A9<\/p>\n
is dated 20\/2\/92. Several months later, the company issued the<\/p>\n
                                -7-<\/span>
\nA.S.No.669\/99<\/p>\n
work order for installation of piping, tanks and pumps. Ext.A1 is<\/p>\n
the work order dated 29\/9\/1992, which contains the terms and<\/p>\n
conditions, the rate quoted and accepted by the company etc. The<\/p>\n
work order also contains several paragraphs dealing with the<\/p>\n
scope of work and technical specifications, terms of payment,<\/p>\n
completion period, security deposit, quality and workmanship<\/p>\n
etc. The accepted rate for the work was mentioned in Ext.A1<\/p>\n
work order as Schedule I, II and III. The next page is under the<\/p>\n
head “Scope of work”.       Item No. 8     of the scope of work<\/p>\n
stipulates that the insulation for steam and as applicable for oil<\/p>\n
lines shall be arranged by the contractor and the work shall be<\/p>\n
carried out as per IS-7413\/1981. Ext.A9 does not contain any<\/p>\n
condition in addition to the amount payable for the work, which<\/p>\n
was in detail stated in Schedule I to III, stipulating payment<\/p>\n
to the plaintiff towards the amount paid by him as tax.       So<\/p>\n
long as the condition does not contain any stipulation for<\/p>\n
making additional payments other than what was agreed in<\/p>\n
                                -8-<\/span>
\nA.S.No.669\/99<\/p>\n
Ext.A1 work order, it is difficult to accept the case of the plaintiff<\/p>\n
that he is entitled to the amount paid by him towards sales tax for<\/p>\n
the purchase of materials used for carrying out the contract<\/p>\n
work. Ext.A1 work order contains the terms and conditions for<\/p>\n
doing the work and also the rates payable to the plaintiff. Ext.A1<\/p>\n
shows that the plaintiff agreed the terms and conditions stipulated<\/p>\n
in Ext.A1 order and carried out the work. After finishing the<\/p>\n
work, he cannot turn round and say that the defendant company<\/p>\n
is liable to pay the amount not agreed to be paid, as per Ext.A1<\/p>\n
work order.\n<\/p>\n
           7. The trial court examined the questions in the light of<\/p>\n
the oral and documentary evidence adduced by the parties. The<\/p>\n
trial court referred to various provisions in IS-7413\/1981<\/p>\n
(Ext.A10). The trial court observed that it is clear that even<\/p>\n
before the plaintiff started the work, he was aware of the fact<\/p>\n
that the finishing should be done with aluminium sheet. The trial<\/p>\n
court further observed that the defendant in Ext.A4 reply has<\/p>\n
                                -9-<\/span>
\nA.S.No.669\/99<\/p>\n
denied the claim of the plaintiff and directed the plaintiff to<\/p>\n
complete the work with aluminium sheet.             I have already<\/p>\n
discussed and concluded that finishing of insulation with<\/p>\n
aluminium is not an extra work but the aluminium sheet has to be<\/p>\n
used for protective covering and going by the relevant clauses in<\/p>\n
Ext.A10 specifications, I agree with the finding of the trial court<\/p>\n
that the finishing of insulation with aluminium covering is not an<\/p>\n
extra item of work and the plaintiff’s claim on that ground is<\/p>\n
unsustainable.   I have discussed the plaintiff’s claim for the<\/p>\n
amount paid as tax for purchase of the materials and took the<\/p>\n
view that the plaintiff is not entitled to claim under the head ‘paid<\/p>\n
as tax’. The trial court examined the question and held that<\/p>\n
Ext.A9 is insufficient to claim any amount towards the sales tax<\/p>\n
paid by the plaintiff. The trial court also accepted the contention<\/p>\n
of the defendant-company that there was no agreement between<\/p>\n
the parties to pay any amount towards sales tax and therefore the<\/p>\n
claim of the plaintiff on this count cannot be allowed. In the<\/p>\n
                              -10-<\/span>
\nA.S.No.669\/99<\/p>\n
aforesaid circumstances, I do not find any reason to interfere with<\/p>\n
the findings recorded by the court below. The view taken by the<\/p>\n
court below is the correct view in the facts and circumstances of<\/p>\n
the case.\n<\/p>\n
          In the result, the appeal fails and accordingly<\/p>\n
dismissed. No order as to costs.\n<\/p>\n<\/p>\n
                                               HARUN-UL-RASHID,
\n                                                     JUDGE.\n<\/p>\n
kcv.\n<\/p>\n
                 -11-<\/span>
\nA.S.No.669\/99<\/p>\n
                    HARUN-UL-RASHID,J.\n<\/p>\n
                 ————————–\n<\/p>\n
                     A.S.NO.669 OF 1999\n<\/p>\n
                 ————————–\n<\/p>\n<\/p>\n
                            JUDGMENT<\/p>\n
                        16TH MARCH, 2010<\/p>\n<\/blockquote>\n","protected":false},"excerpt":{"rendered":"
Kerala High Court T.K.Simon vs Oil Palm India Limited on 16 March, 2010 IN THE HIGH COURT OF KERALA AT ERNAKULAM AS.No. 669 of 1999() 1. T.K.SIMON … Petitioner Vs 1. OIL PALM INDIA LIMITED … Respondent For Petitioner :SRI.RAJEEV V.KURUP For Respondent :SRI.JOSEPH MARKOSE (SR.) The Hon’ble MR. Justice HARUN-UL-RASHID Dated :16\/03\/2010 O R […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[8,21],"tags":[],"class_list":["post-172228","post","type-post","status-publish","format-standard","hentry","category-high-court","category-kerala-high-court"],"yoast_head":"\nT.K.Simon vs Oil Palm India Limited on 16 March, 2010 - Free Judgements of Supreme Court & High Court | Legal India<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.legalindia.com\/judgments\/t-k-simon-vs-oil-palm-india-limited-on-16-march-2010\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"T.K.Simon vs Oil Palm India Limited on 16 March, 2010 - 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