Case Law Analysis
|Delhi High Court
Clause 35(6) NHAI Toll Contract | Public Authority May Terminate Pre-Expiry to Protect Public Exchequer, Not for Windfall Gain : Delhi HC
The Delhi High Court ruled that NHAI’s termination of a toll contract before expiry under Clause 35(6) is valid if it safeguards the public exchequer, even absent contractor breach. The ruling clarifies that contractual termination clauses in public infrastructure projects override commercial expectations, but only when justified by fiscal necessity-not speculative profit.