PAKISTAN PETROLEUM LTD. vs SPEC ENERGY DMCC S — 2022 CLC 1412 KARACHI-HIGH-COURT-SINDH

Case information

Citation: 2022 CLC 1412 KARACHI-HIGH-COURT-SINDH
Court: Sindh High Court
Year: 2022
Reporter: CLC
Parties: PAKISTAN PETROLEUM LTD. vs SPEC ENERGY DMCC S
Provisions referred to: S. 2

Fields are extracted from the reported citation and judgment text. Where a detail is not stated in the record, it is not shown.

Judgment text as reported

PAKISTAN PETROLEUM LTD. VS SPEC ENERGY DMCC S.2(l)---Public Procurement Rules, 2004, R.2(1)(e)---Public procurement---Interpretation of document---Contract for sale of goods and work---Distinction---Contract for sale has to be distinguished from a contract of work---Whether a particular agreement falls within one or the other category depends upon object and intent of parties, as evident by terms of contract, the circumstances in which it was entered into and custom of the trade---Substance of matter and not the form what is of the importance---If contract involves sale of moveable property as moveable property, it constitutes a contract for sale---If contract primarily involves carrying on of work involving labour and service and use of materials is incidental to execution of work, the contract would constitute a contract of work and labour---One of the circumstances which is of relevance is whether the article which has to be delivered has an identifiable existence prior to its delivery to purchaser upon payment of price---If article has an identifiable existence prior to its delivery to purchaser and when title to property vests with purchaser only upon delivery, that is an important indicator to suggest that contract is a contract for sale and not a contract for work.

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