A Government contract is similar to a regular contract, except one of the parties is the Central or State Government. In addition to the requirements of the Indian Contract Act 1872, the terms of Article 299 of the Indian Constitution must also be observed, or the contract will be void. Government contracts are formed by an express agreement signed in the name of the President or Governor by a person authorized to act on their behalf, and none of them are personally liable. On the other hand, the government can be held culpable and contracts can be enforced against it.
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