Vax deal: Karnataka HC relief for Bharat Biotech

Justice M Nagaprasanna said Writ petition for recovery of money by a private entity from another private entity arising out of a private contract cannot be entertained.
For representational purposes
For representational purposes

BENGALURU: The Karnataka High Court dismissed a petition filed by United Brothers Healthcare Services Private Limited, a super-speciality hospital in south Bengaluru, seeking to quash a supply agreement and also recovery of Rs 1.69 crore from Bharat Biotech International Limited (BBIL) as compensation for expiry of Covaxin doses.

“This court would not issue a writ that would interfere with a private contract between two private entities. It is for the petitioner (hospital) to avail all such remedy, as is available in law seeking recovery of money. Writ petition for recovery of money by a private entity from another private entity arising out of a private contract cannot be entertained”, said Justice M Nagaprasanna.

According to the petition, BBIL entered into an agreement with the petitioner for supply of 25,000 doses of Covaxin and the invoice amount of Rs 2,62,50,000 was agreed to be paid in advance.

From September 9, 2021, it is contended, the petitioner sent e-mails and made phone calls to the BBIL expressing its helplessness in pushing Covaxin to public owing to negative publicity. Therefore, the entire stock of vaccines given to the petitioner by the BBIL was set to expire and no steps were taken by the BBIL to either compensate the petitioner or to take back the vaccine.

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