Brentford Electric (India) Limited (Acquisition and Transfer of Undertakings) Act : CONTRACTS TO CEASE TO

Brentford Electric (India) Limited (Acquisition and Transfer of Undertakings) Act,1987

Act No : 36

Section : CONTRACTS TO CEASE TO HAVE EFFECT UNLESS FATIFIED

SECTION 25: CONTRACTS TO CEASE TO HAVE EFFECT UNLESS FATIFIED

- Every contract entered into by the Company in relation lo its undertaking which has vested in the Central Government under section 3-, for any service, sale or supply and in force immediately before the appointed day, shall, on and from the expiry of a period of one hundred and eighty day from the date on which this Act receives the assent of the President, cease to have effect unless such contract is, before the expiry of that period, ratified, in writing, by the Central Government or Andrew Yule in which such undertakings have been vested under this Act, and in ratifying such contract, the Central Government or Andrew Yule may make such alteration or Modification therein as it may think fit:

Provided that the Central Government or Andrew Yule shall not omit to ratify a contract and shall not make any alteration or modification in a contract-

(a) unless it is satisfied that such contract is unduly onerous or has been entered into in bad faith or is detrimental to the interests of the Central Government or Andrew Yule, and

(b) except after giving to the parties to the contract a reasonable opportunity of being heard and except after recording in writing its reasons for refusal to ratify the contract or for making any alteration or modification therein.