Supreme Court Upholds Contract Due to Arbitrary Tender Cancellation

State of Himachal Pradesh & Anr. Vs OASYS Cybernetics Pvt. Ltd. (Supreme Court of India) LoI Creates No Enforceable Right; Cancellation Upheld but State Directed to Reimburse Quantum Meruit Costs This appeal concerned the legality of the State of Himachal Pradesh’s cancellation of a Letter of Intent (LoI) issued to OASYS Cybernetics Pvt Ltd for supplying and maintaining upgraded ePoS devices under the Public Distribution System. After four rounds of tendering between 2021–2022, the Respondent emerged as the sole technically qualified bidder, and an LoI was issued on 02.09.2022. The LoI...