Contracts and change in law

Contracts already entered into giving rise to accrued rights and interest are not disturbed by change in law (esp designated legislation)

See


Parag Milk Foods P Ltd v. Union of India, WP No. 2231/2011 (pending)
Parag Milk Foods P Ltd v. Union of India, 2007 Vol. 109 (3) Bom LR 1774 (para 10c, 8c)
Eurotex Industries v. Exports Limited, (2011) 113 (2) Bom LR 0834 (para 33)
Union of India v. Asian Food Industries, (2006) 13 SCC 542 (para 48)
Agri Trade India Services P Ltd v. Union of India, 132 (2006) DLT 500 (para 48)

Southern Petrochemical Industries Co Ltd v. Electricity Inspector, (2007) 5 SCC 447 (para 127)

Vishwant Kumar v. Madan Lal Sharma, (2004) 4 SCC 1 (para 4) - there is a difference between a mere right and what is right accrued or acquired.

Authorisation to sue

Suit filed by a person authorised by Chief Executive Officer does not constitute authority to sign and verify plaint in absence of resolution of board of directors. Letter of authority is not sufficient.
(2011) 163 Comp Cas 37 (SC)

Director's capacity to file pleadings

(2011) 163 Comp Cas 37 (SC)

Even a director will need to be authorised by a board resolution to file pleadings, and a letter of authority is insufficient

Provisions of the CPC not considered though.

RTI - information relating to corruption and human rights is not exempt

2011 (266) ELT 456 (Mad.)
Superintendent of Police v. R. Karthikeyan

Especially statistical information cannot be refused.


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Foreign Guarantee and FEMA

If the said guarantee declaration had been executed by the respondent in breach of any provisions of FEMA or FERA, the respondent could be prosecuted for the same. But, it could not be said that the guarantee was null, void or could not be enforced on that ground.

There was no doubt that a debt was owed by the respondent to the petitioner and, further the petitioner did not have to wait to obtain a decree from civil court on the basis of the guarantee declaration.

[2011] 106 SCL 433 (delhi)



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Pleadings are foundation of a case

Pleadings are foundation on which evidence can be lead. Opportunity of proof and evidence need not be given if pleading to effect are not there. 2011 (2) Bom CR (OS) 266

Guarantee - when the debt accrues

The liability of the guarantor would not arise until (a) the borrower has failed; and (b) a notice of demand has been served on the guarantor. Only then can it be said that the debt would accrue. 1981 51 comp cases 301


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Presence of witnesses in cross examination

There is no specific provision in CPC to provide that when a witness is being examined, other witnesses who are proposed to be examined by party concerned should not be present in court.
2011 (2) Bom CR 12 (OS)

Right to information - no need to give reasons

AIR 2011 Bom 53

Use of Hindi in HIGH COURTs

AIR 2011 NOC 178 (All)

Arguments and pleadings can be in Hindi, but a judge cannot be compelled to deliver a judgment in Hindi. Hindi pleadings to be accompanied by english translations

No sanskrit permissible.

Withdrawal application

Application for withdrawal of withdrawal application is maintainable AIR 2011 SC 1137

Money lending

Advancing of friendly loan as an isolated single transaction does not require money lending license. AIR 2011 Jha 47

Power of Attorney Holder is not entitled to right of audience

Varsha Maheshwari v. Bhushan Steels, AIR 2011 Bom 58.

except with permission of the court

SEBI Act - when can Art 226 be invoked.

Rose Valley Real Estates & Construction Ltd v. SEBI, [2011] 106 SCL 598

While the power under Art 226 can be exercised for (a) judicially reviewing a decision or order of the Board in absence of a functioning Tribunal; and (b) for examining the validity of the decision or order when its validity is challenged questioning the vires of the statute or the provision under which the decision or order is made, it can also also be exercised in the interest of  justice or for preventing a miscarriage of justice, e.g. when the aggrieved person is unable to appeal under Section 15T or 15Z for absence of decision or order of the Board or the Tribunal.

Right to Information Act - constitutionality

Constitutional validity of second schedule of the Right to Information Act 2005 (i.e. exclusion of certain organisation) relating to Enforcement Directorate is upheld.
[2011] 106 SCL 564, ESAB India v. Special Director, Enforcement Directorate.

fraudulent conduct of business - mens rea

Application under Section 542/543 of the Companies Act, 1956 for fraudulent conduct of business - such allegation which is criminal nature in nature, it is necessary to prove that such an allegation which is criminal in nature, it is necessary to specifically plead and prove, and mens rea is required.
OL v. V. Selvaraj (Madras) SCL (mag) 56

Notice when complete

Notice is effective against the person to whom it is sent only when it reaches him

AIR 1996 SC 330

1998 92 Comp Cas 517 (Kar.)

UCP - Certificate of Posting

Subhash Chandra v. Bihar, 1995 Supp 1 SCC 325 - when some important communication is sent, the best way is to either lodge the same personally or send by RP and not by UCP


Shiv Kumar v. Haryana 1994 4 SCC 445 - it is not safe to decide a controversy at hand on the basis of the certificate of posting as it is not difficult to get such postal seals at any time.


LMS Ummu Saleema v. BB Gujral, AIR 1981 SC 1191, presumption in evidence act regarding sending of post is only a presumption that it has been delivered and not an inevitable conclusion

Imposition of Penalty - Discretion

Cabot International Capital Corporation v. SEBI, Appeal No. 36/2000 (Order dated May 04, 2001) - even if a violation (SEBI) is proved, to award a penalty is within the subjective satisfaction of the Adjudicating Officer.  See Bombay HC order dated March 3, 2004 in Appeal No. 7/2001 (SEBI v. Cabot...)

Judicial Discipline - Law of Precedents

Official Liquidator v. Dayanand, 2008 10 SCC 1
Mansukh Stock Broker . SEBI decided on January 10, 2011 (Appeal No. 194 of 2010)