In a recent Judgment, Supreme Court expounded that, “Having considered the purpose and object of the Article 299 of the Constitution of India, we are of the clear opinion that a contract entered into in the name of the President of India cannot and will not create immunity against the application of any statutory prescription imposing conditions on parties to an agreement when the Government chooses to enter into a contract”.
Apex Court Bench headed by CJI Chandrachud and also comprising of Justice P.S Narsimha and Justice J.B Pardiwala further enunciated that, “We are unable to trace any immunity arising out of Article 299, to support the contention that for contracts expressed to be made by the President of India, the ineligibility of appointment as an arbitrator as contemplated under Section 12(5) of the Act, read with Schedule VII, will be inapplicable”.
