labour law abstract.docx

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DAMODARAM SANJIVAYYA NATIONAL LAW UNIVERSITY,

VISAKHAPATNAM.

LABOR LAW-I

PROJECT:

Bharat Fr!" C. V Utta# Ma$har

-Saniya Rizvi

SEMESTER: II

SECTION: B

ROLL NO. 2013100

1



DAMODARAM SANJIVAYYA NATIONAL LAW UNIVERSITY

VISAKHAPATNAM

CERTIFICATE

This is to ceti!y that M% Sa$&'a R&()& "ith Re#. No. *+++ o! IVth Se$este %e%ae& the

%o'ect on Ca%" a$a/'%&% $ Bharat 0r!" 1. V Utta# Ma$har2 in %atia( !)(!i($ent o! he

se$este co)se in the s)*'ect La3r /a4 -I &)in# the aca&e$ic yea 201+-201, )n&e $y

s)%evision an& #)i&ance.

S&!$at5r" 0 th" Fa15/t'

Dat": *%t Mar1h, *+6

2



ACKNOWLED7EMENT

I have made my project titled “Bharat Forge Co. V Uttam Manohar ” under the

supervision of Mr Bharat Kumar, Faculty Lecturer of Laor La!, "amodaram

#anjivayya $ational La! %niversity&

I am also 'rateful to my mother !ho helped and encoura'ed me every

moment durin' the completion of this project& (he pains ta)en y her in

chec)in' the rou'h draft of the project and *nd out the loopholes in it helped

me to no e+tent&

I a$ a(so #ate!)( to the o!!ice (i*aian an& (i*ay sta!! o! SNL/ isaha%atna$ !o

a((o"in# $e to )se thei (i*ay "heneve I nee&e& to.

)the I a$ #ate!)( to $y (eane& teaches !o thei aca&e$ic %atona#e an& %esistent

enco)a#e$ent eten&e& to $e.

I a$ once a#ain hi#h(y in&e*te& to the o!!ice an& Li*ay Sta!! o! SNL/ !o the s)%%ot an&

coo%eation eten&e& *y the$ !o$ ti$e to ti$e.

I cannot conc()&e "ith eco&in# $y thans to $y !ien&s !o the assistance eceive& !o$ the$

in the %e%aation o! this %o'ect.

-Saniya Rizvi

Se$este: II

Section: B Ro(( No. 2013100



S/ N. C$t"$t Pa!" N

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L&%t 0 A33r")&at&$%

. I& 4 In&)stia( is%)te

*. Co 4 Co$%any

. No 4 N)$*e

8. S( - Seia(

6. 5IR 4 5(( In&ia Re%ote

. Lt& 4 Li$ite&

=. SC 4 S)%e$e Co)t

;. s 4 es)s

>. LL6 4 La*o) La" 6o)na(

+. 7at 4 7atna

. Ca( 4 Ca(c)tta 8no" 9o(ata

*. Bo$ 4 Bo$*ay 8no" M)$*ai

. ILR 4 In&ian La" Re%ote

8. CLR 4 Ci$ina( La" Re%ote

TABLE OF CASES

.? U.P. Stat" Ra9 Tra$%<rt Cr<$. V%. S53ha%h Cha$9ra Shar#a a$9 Oth"r%

*. M"%%r% Bharat Ir$ Wr@% )% Bha!53ha& Ba/53ha& Pat"/

? R"!&$a/ Ma$a!"r, Raa%tha$ Stat" Ra9 Tra$%<rt Cr<rat&$ )%. Sha$ La/

8? U.P. Stat" Ra9 Tra$%<rt Cr<rat&$ )%. Mha$ La/ 75<ta a$9 Oth"r%

6.? Mah&$9ra a$9 Mah&$9ra Lt9. ). N.B. Nara4a9"

,.Stat" 0 Raa%tha$ A$r. ). Mh9. A'53 Na(

=.?7)t. 0 A.P. Or%. ). Mh9. Tah"r A/&

;.?Ar5$ Cha53"' ). U$&$ 0 I$9&a Or%.

>.?Da#h Pa$$a Sa!ar R5ra/ R"!&$a/ Ba$@ A$r. ). M5$$a La/ Ja&$

+.? M&th&/"%h S&$!h ). U$&$ 0 I$9&a Or%.

.

http://indiankanoon.org/doc/77506/




















.? D"/h& Tra$%<rt Cr<rat&$ ). Sar9ar S&$!h

*.?Rata$ Cha$9ra ). U$&$ 0 I$9&a,

INTRO/CTION

Bhaat o#e Co Lt& v /tta$ Manoha Naate "as the Case concenin# the &is$issa( o! a

"oe "ho "as !o)n& to *e as(ee% in 1;<3. /tta$ "as a he(%e in Bhaat o#e.=e "as !o)n&

(yin# !ast as(ee% on an ion %(ate in the cone o! the &e%at$ent. This "as the !o)th ti$e this

ha& ha%%ene&5!te !ive-$onth-(on# &isci%(inay heain#s the co$%any !ie& hi$ . /tta$ "ent

to co)t "hich !o)n& the co$%any #)i(ty o! >)n!ai ta&e %actice> an& !oce& the !actoy to tae

/tta$ *ac an& %ay hi$ +0 %ecent o! his (ost "a#es.The case "as a%%ea(e& to the Bo$*ay =i#h

Co)t an& event)a((y to the nationa( S)%e$e Co)t o! In&ia.In 200+ the S)%e$e Co)t ca$e to

the conc()sion that the co$%any ha& the i#ht to !ie hi$.

5CTS O T=E C5SE

The Res%on&ent "as "oin# as a he(%e in the sevices o! the 5%%e((ant. 5o)n& 11.?0 a.$. on

2,.<.1;<3 &)in# his shi!t he "as !o)n& (yin# !ast as(ee% on an ion %(ate at his "oin# %(ace

/







"hee)%on a &isci%(inay %ocee&in# "as initiate& a#ainst hi$ in te$s o! Stan&in# O&e 2?81

o! the Mo&e( Stan&in# O&e !a$e& )n&e the In&)stia( E$%(oy$ent 8Stan&in# O&es 5ct

1;?,. In the sai& &o$estic en@)iy he "as !o)n& #)i(ty "hee)%on *y o&e he "as &is$isse&

hi$ !o$ his sevices. It is not in &is%)te that on thee ea(ie occasions a(so the Res%on&ent "as

!o)n& #)i(ty o! $iscon&)ctA *)t on(y so$e $ino %)nish$ents ha& *een i$%ose&. )estionin#

the sai& o&e o! &is$issa( &ate& Res%on&ent !i(e& a co$%(aint o! )n!ai (a*o) %actice as

s%eci!ie& )n&e Ite$ 18a 8* 8& 8! an& 8# o! Sche&)(e I o! the Mahaashta Reco#nition o!

Ta&e /nions an& 7evention o! /n!ai La*o) 7actices 5ct 1;1 a#ainst the 5%%e((ant heein

*e!oe the La*o) Co)t 7)ne.

ISS/ES O T=E C5SE

8i "hethe the en@)iy "as %o%eD

8ii Is the !in&in# eco&e& *y the en@)iy o!!ice %eveseD

The La*o) Co)t *y its o&e he(& that the &o$estic en@)iy a#ainst the Res%on&ent

"as !ai an& %o%e an& the !in&in# eco&e& *y the en@)iy o!!ice "as not %evese.

=e theea!te %ocee&e& "ith the case on $eits an& in te$s o! its o&e the La*o)

Co)t he(& that the %)nish$ent o! &is$issa( i$%ose& )%on the e$%(oyee "as hashan& &is%o%otionate an& no easona*(e e$%(oye co)(& i$%ose s)ch %)nish$ent !o

the %ove& $iscon&)ct. Conse@)ent(y the 5%%e((ant heein "as &iecte& to einstate

the Res%on&ent on his oi#ina( %ost "ith contin)ity o! sevice "ith +0 o! the *ac-

"a#es !o the %eio& !o$ his &is$issa( ti(( his einstate$ent.

5##ieve& *y ')&#$ent *oth the %aties !i(e& se%aate Revision 5%%(ications *e!oe

the In&)stia( Ti*)na(. The Revision 5%%(ication !i(e& *y the 5%%e((ant "as a((o"e&

an& that o! the Res%on&ent "as &is$isse&. The Res%on&ent thee)%on !i(e& a Fit

7etition *e!oe the Bo$*ay =i#h Co)t an& the sai& Fit 7etition "as &is$isse& *y a

(eane& Sin#(e 6)&#e. 5 Lettes 7atent 5%%ea( thee- a#ainst "as !i(e& *y the

Res%on&ent heein "hich *y eason o! the i$%)#ne& ')&#$ent "as a((o"e&

&iectin# :

0



>i the ')&#$ent o! the (eane& Sin#(e 6)&#e &ate& ;.02.1;;+ an& the o&e o! the In&)stia(

Co)t &ate& 12.0,.1;< ae @)ashe& an& set asi&e.

ii The o&e %asse& *y the secon& (a*o) co)t &ate& 31.0.1;<+ is $o&i!ie& *y &iectin# the

e$%(oye to %ay a s)$ o! Rs.2+0000G- to the e$%(oyee "ithin one $onth !o$ to&ay. In the

event o! !ai()e to %ay the sai& a$o)nt to the e$%(oyee "ithin one $onth !o$ to&ay the

e$%(oye sha(( *e (ia*(e to %ay inteest at the ate o! ; %e cent %e ann)$ !o$ to&ay ti(( s)ch

%ay$ent is $a&e.>

The 5%%e((ant is in 5%%ea( *e!oe )s @)estionin# the a!oe$entione& ')&#$ent.

1.M. M.. 5&a (eane& co)nse( a%%eain# on *eha(! o! the 5%%e((ant assai(in# the ')&#$ent

o! the ivision Bench o! the =i#h Co)t *o)#ht to o) notice that in the &o$estic en@)iy the

Res%on&ent heein too sevea( a&'o)n$ents an& on the sith &ay o! heain# he "ent o)t o! the

oo$ statin# that he "o)(& co$e *ac !o !i(in# a $e&ica( ceti!icate in s)%%ot o! his %(ea o!

a&'o)nin# the $atte *)t &i& not co$e *acA "hee)%on the &o$estic en@)iy "as he(& e %ate.

2.The (eane& co)nse( "o)(& conten& that the Res%on&ent has acce%te& his $iscon&)ct an&

!)the$oe $ateia(s have *een *o)#ht on eco&s to %ove that he ha& co$$itte& $iscon&)ct

ea(ie a(so an& in that vie" o! the $atte the ivision Bench o! the =i#h Co)t "ent "on# in

%assin# the i$%)#ne& ')&#$ent. It "as %ointe& o)t that as e#a& %)%ote& co$$ission o!

)n!ai (a*o) %actice the concene& "o$an %evaicate& his stan& !o$ co)t1.

Be!oe "e %ocee& to &ete$ine the $eit o! the &ecision en&ee& *y the ivision Bench it is

)se!)( to notice that the act o! $iscon&)ct co$$itte& *y the Res%on&ent "as a&$itte& *y hi$ in

te$s o! his (ette

1 79 adhi Laour and Industrial La!s,I Learnin' rivate Ltd,13 th 4dition ,

233.,pa'e 23/,5eBoo) can e found in !!!&'oo'le&co&in6

7



>I /tta$ Manoha Naate a#e 3 *ein# %esent #ive state$ent s)ch as :-

I have *een "oin# "ith Bhaat o#e Co$%any !o 1? yeas. Ea(ie I )se& to "o in

Cancsho% !o (ast , yeas. I have *een "oin# in 7o&)ction eve(o%$ent e%at$ent.

o$ I have *een "oin# !ist shi!t an& I have *een e#)(a in !ist shi!t. To&ay I ca$e to "o

at :00 an& as )s)a( I "as "oin#. 5t a*o)t 11:1+ to 11:30 I s)!!ee& sto$ach ache "hi(e

%)shin# to((y. I to(& $y %atne M. 5.H. Misty that I "o)(& tae so$e est an& acco&in#(y I

s(e%t on the ion %(ate. 5t a*o)t 11:?0 sec)ity o!!ice Shi ash%)te an& Shi 9e(a "oe $e

)%. O) s)%eviso M. Naa "as thee. I &i& not as %e$ission !o$ M. Naa. Secon&(y o)

()nch inteva( "as a*o)t to stat an& thee!oe I "as to "o in the ()nch inteva( thee!oe I

too est *e!oe han&.

It is a(so %etinent to note that the En@)iy O!!ice in his e%ot cate#oica((y state& as to ho" the

Res%on&ent ha& *een con&)ctin# hi$se(! &)in# the &o$estic en@)iy %ocee&in# o*sevin# :

> M. Naate sent an a%%(ication a(on# "ith 7ivate octos ceti!icate s)*$ittin# that he "as

sic as "e(( as he "as $enta((y &ist)*e&. On this a%%(ication I "ote the net &ate o! en@)iy .

On that &ay M. Naate "as %esent an& s)*$itte& that he "as not !ee(in# "e(( thee!oe he "as

)na*(e to atten& the en@)iy. Fhen I ase& hi$ he to(& $e that he ha& not co$e !o atten&in# the

en@)iy. The ceti!icate "as in his vehic(e an& he ha& co$e on(y !o asin# the a&'o)n$ent. M.

Sa#a&e s)*$itte& that tho)#h M. Naate is covee& )n&e ESI Sche$e I have acce%te& the

7ivate octos ceti!icate. M. Naate sho)(& have *o)#ht ESI octos ceti!icate !o his

sicness. The co$%any &oes not acce%t the 7ivate octos ceti!icate. Consi&ein# the se@)ence

o! the inci&ence M. Sa#a&e !)the state& that M. Naate "as &e(i*eate(y a&vancin# so$e o

the othe easons to &o&#e the en@)iy. 5cco&in#(y M. Naate "ent o)t o! ca*in. 5!te a*o)t

10-1+ $in)tes he ca$e *ac an& s)*$itte& an a%%(ication statin# that as he "as $enta((y

&ist)*e& an& he "as not !ee(in# "e(( the en@)iy *e a&'o)ne& !o < &ays. I a#ain an& a#ain

@)estione& hi$ a*o)t the ceti!icate !o "hich he ha& #one. M. Naate &i& not #ive $e any

e%(y e#a&in# the ceti!icate. =e "as a#ain an& a#ain sayin# on(y one thin# that he sho)(& *e

#iven ti$e. Beca)se o! this I ca$e to the conc()sion that no ceti!icate "as e%t in the vehic(e o!

8



M. Naate an& the eason $enta( &ist)*ance a&vance& *y M. Naate "as on(y to avoi& the

en@)iy. Thee!oe I e'ecte& the a%%(ication !o the a&'o)n$ent .

Fhen M. Naate "as ase& a*o)t his e%esentative. M. Naate s)*$itte& that his

e%esentative "as "aitin# at the Hate No.1 o! the Co$%any. I &iecte& M. Sa#a&e to sen& !o

M. Sa(vi "ho "as stan&in# at the Hate No.1. M. Naate in the $eanti$e to(& $e that the

en@)iy %a%es ae "ith M. Sa(vi. M. 9e(a the Sec)ity O!!ice s)*$itte& his e%ot at that

thee is no %eson *y na$e M. atta Sa(vi at #ate No.1. I once a#ain ase& M. Naate a*o)t his

e%esentative an& instea& o! e%(y he state& sayin# that he ha& sevee sto$ach-ache an& state&

that he "as not "i((in# to say anythin# an& ase& !o a&'o)n$ent.M. Naate "as &e(i*eate(y

a&vancin# one a!te anothe !a(se easons to #et the a&'o)n$ent. I s%eci!ica((y to(& M. Naate

that the en@)iy "o)(& *e con&)cte& e %ate i! he &oes not %atici%ate. M. Naate (e!t the %(aceo! en@)iy "itho)t sayin# anythin#. I thee!oe &eci&e& to con&)ct the en@)iy e %ate an&

&iecte& M. Sa#a&e to a&&)ce the evi&ence on *eha(! o! the co$%any.>

The sai& o&e o! the Revisiona( 5)thoity "as )%he(& *y the (eane& Sin#(e 6)&#e o! the =i#h

Co)t statin# :

>That s(ee%in# in &)ty is a seio)s $iscon&)ct "hich o)#ht not to *e ove(ooe& an& sho"in#

(eniency in s)ch a $atte "as (ie(y to have a &e(eteio)s e!!ect on &isci%(ine in the !actoy ae!in&in#s "hich the La*o) Co)t has itse(! aive& at. 5s to @)ant)$ o! %)nish$ent the ist

Res%on&ent-e$%(oye "as e@)ie& to consi&e the %ast eco& an& othe atten&ant

cic)$stances. The %ast eco& ha& t"o as%ects its (en#th o! 10 yeas an& it is *ein# &otte& "ith

%evio)s actions !o $iscon&)ct. To ove e$%hasis the (en#th o! the sevice to the &eti$ent o!

%evio)s &isci%(inay action is &isco)ntin# @)a(ity as a#ainst @)antity.>

>The @)estion that aises !o o) consi&eation is "hethe (ooin# to the nat)e o! the %ove&

cha#e that the e$%(oyee "as !o)n& s(ee%in# &)in# &)ty ho)s an& "as a"aene& *y the

sec)ity o!!ice can it *e sai& that the %)nish$ent o! &is$issa( is shocin#(y o #oss(y

&is%o%otionate. I! the ans"e is in a!!i$ative o*vio)s(y s)ch %)nish$ent co)(& *e teate& as

(e#a( victi$ization an& e$%(oye "o)(& *e #)i(ty o! havin# en#a#e& in an )n!ai (a*o) %actice

)n&e c(a)se 8a o! Ite$ 1 o! Sche&)(e I>

13



/%on tain# into consi&eation the #avity o! %ast $iscon&)ct it "as o*seve& :

>Fe !in& that (ooin# to the nat)e o! the cha#e i.e. the e$%(oyee "as !o)n& s(ee%in# &)in#

&)ty ho)s the e$%(oyee co)(& not have *een in!(icte& "ith the %)nish$ent o! &is$issa(. The

%ast eco& "hich has *een e!ee& to heeina*ove an& the $iscon&)ct %ove& &i& not ')sti!y the

%)nish$ent o! &is$issa( as no easona*(e e$%(oye "o)(& eve i$%ose the %)nish$ent o!

&is$issa( in s)ch cic)$stances>

The ivision Bench ho"eve in stea& an& %(ace o! %assin# an o&e o! einstate$ent )%on

tain# into consi&eation the !act that he "as o)t o! the 'o* !o a*o)t 1+ yeas an& ha&(y +-,

yeas 'o* is (e!t &iecte& %ay$ent o! a s)$ o! Rs.2+0000G- to the Res%on&ent.

It $)st thee!oe *e he(& that i! the %)nish$ent o! &is$issa( o &ischa#e is !o)n& shocin#(y

&is%o%otionate *y the Co)t e#a& *ein# ha& to *e the %atic)(a $a'o $iscon&)ct an& the

%ast sevice eco& o! the &e(in@)ent o is s)ch as no easona*(e e$%(oye co)(& evey i$%ose in

(ie cic)$stances it "o)(& *e )n!ai (a*o) %actice *y itse(! *ein# an instance o! victi$ization

in (a" o (e#a( victi$ization in&e%en&ent o! !act)a( victi$ization i! any. S)ch an )n!ai (a*o)

%actice is covee& *y the %esent 5ct *y enact$ent o! c(a)se 8a o! Ite$ 1 o! Sche&)(e I o! the

5ct as it "o)(& *e an act o! victi$ization in (a" as c(ea(y )(e& *y this Co)t in the a!oesai&

&ecision>

In that case the Res%on&ents theein "ee %)nishe& a(tho)#h ten othe $az&oos "ho "ee a(so

!o)n& to *e s(ee%in# "ee (et o!!. This Co)t notice& that the Res%on&ents theein "ee a(tho)#h

assi#ne& $oe es%onsi*(e &)ties as co$%ae& to the $az&oos *)t in the *ac#o)n& o! the

s)o)n&in# cic)$stances an& es%ecia((y in the (i#ht o! thei %ast sevice eco& thee "as no

esca%e !o$ the conc()sion that the %)nish$ent o! &is$issa( i$%ose& on the$ !o s)ch

$iscon&)ct "as #oss(y an& shocin#(y &is%o%otionate.

These t"o iss)es ae )n&o)*te&(y o! so$e i$%otance. The "o$an concene& &)in# the

co)se o! in@)iy in no )ncetain te$s a&$itte& his #)i(t tho)#h ho"eve he has state& that the

sa$e a$o)nte& to $ee ne#(i#ence an& not a &e(i*eate act. B)t the La*o) Co)t *ein# the !act

!in&in# co)t ca$e to the conc()sion that the cha#es stoo& %ove& an& "e ae not in a %osition to

eassess the !act)a( sit)ation at this sta#e o! the %ocee&in#s )n&e 5tic(e 13, o! the

11



Constit)tion. The !in&in# as e#a&s the %oo! o! cha#es sha(( have to *e taen as acce%te& an&

"e &o not see any %evesity theein havin# e#a& to the state o! !acts $oe so *y eason o!

acce%tance o! cha#e *y the &e(in@)ent e$%(oyee.>

Fe have notice& heein*e!oe that a(( the co)ts have ans"ee& the @)estion as e#a&

co$$ission o! $iscon&)ct *y the Res%on&ent in one voice. The La*o) Co)t evi&ent(y ha&

taen eco)se to C(a)se 8# o! Ite$ 1 o! Sche&)(e I o! the 5ct "hich e !acie "as ina%%(ica*(e.

The sai& %ovision c(ea(y %ost)(ates t"o sit)ations na$e(y 8i the $iscon&)ct sho)(& *e o!

$ino o technica( chaacteA an& 8ii the %)nish$ent is a shocin#(y &is%o%otionate "itho)t

havin# any e#a& to the nat)e o! the %atic)(a $iscon&)ct o the %ast eco& o! sevice o! the

e$%(oyee. The %ast eco& o! sevice thee!oe is a e(evant !acto !o consi&ein# as to "hethe

the %)nish$ent i$%ose& )%on the &e(in@)ent e$%(oyee is shocin#(y &is%o%otionate o not. 5shas *een notice& heein*e!oe *e!oe the (eane& Sin#(e 6)&#e an atte$%t on the %at o! the

Res%on&ent to tae eco)se to C(a)se 8* o! Ite$ 81 o! Sche&)(e I !ai(e&. In a*sence o! any

%(ea o! !act)a( victi$ization an& !)the$oe in a*sence

RULES APPLIED BY THE COURT

Section 2, o! the 5ct &e!ines )n!ai (a*o) %actices to $ean any o! the %actices (iste& in

Sche&)(es II III an& I a%%en&e& theeto. Sche&)(e I o! the 5ct s%eci!ies #enea( )n!ai (a*o)

%actices on the %at o! the e$%(oyes the e(evant c(a)ses "heeo! ae as )n&e :

>1.To &ischa#e o &is$iss e$%(oyee J

8a *y "ay o! victi$izationA

8* not in #oo& !aith *)t in co(o)a*(e eecise o! e$%(oyes i#htA

12



8# !o $iscon&)ct o! a $ino o technica( chaacte "itho)t havin# any e#a& to the nat)e o!

the %atic)(a $iscon&)ct o the %ast eco& o! sevice o! the e$%(oyee so as to a$o)nt to a

shocin#(y &is%o%otionate %)nish$entA>

S"1t&$ *= - no e$%(oye sha(( en#a#e in any )n!ai (a*o) %actice.

S"1t&$ *; %ovi&es !o &ea(in# "ith co$%(aints e(atin# to )n!ai (a*o) %actices. The co)t

)%on ecei%t o! a co$%(aint is investe& "ith %o"e to ca)se an investi#ation to *e $a&e an& on

s)*$issions o! e%ot *y the Investi#ation O!!ice an& in the event no sett(e$ent is aive& at

&)in# investi#ation the co)t $ay %ocee& to consi&e the co$%(aint an& #ive its &ecision.

S"1t&$ 6> *as %ocee&in#s )n&e the Bo$*ay o Centa( 5ct.

The ivision Bench o! the =i#h Co)t a(so !o)n& co$$ission o! $a'o $iscon&)ct on the %at

o! the Res%on&ent *)t %ocee&e& to ea$ine the @)estion as to "hethe &es%ite s)ch %ove&

$iscon&)ct the %)nish$ent a"a&e& *y the e$%(oye on hi$ "as #oss(y &is%o%otionate an&

"o)(& *e an )n!ai (a*o) %actice *ein# an instance o! (e#a(

These t"o iss)es ae )n&o)*te&(y o! so$e i$%otance. The "o$an concene& &)in# the

co)se o! in@)iy in no )ncetain te$s a&$itte& his #)i(t tho)#h ho"eve he has state& that the

sa$e a$o)nte& to $ee ne#(i#ence an& not a &e(i*eate act. B)t the La*o) Co)t *ein# the !act

!in&in# co)t ca$e to the conc()sion that the cha#es stoo& %ove& an& "e ae not in a %osition to

eassess the !act)a( sit)ation at this sta#e o! the %ocee&in#s )n&e 5tic(e 13,2 o! the

Constit)tion. The !in&in# as e#a&s the %oo! o! cha#es sha(( have to *e taen as acce%te& an&

"e &o not see any %evesity theein havin# e#a& to the state o! !acts $oe so *y eason o!

acce%tance o! cha#e *y the &e(in@)ent e$%(oyee.3>

RELATED CASES WHICH WERE CITED IN THIS CASE

2 9rticle 1/ of :onstitution of India deals !ith #pecialLeave to 9ppeal y supreme

court &

Kirpa "ayal #rivastava,La! relatin' to Industrial dispute act, rd 4dition

1



1. U.P. Stat" Ra9 Tra$%<rt Cr<$. V%. S53ha%h Cha$9ra Shar#a a$9 Oth"r%8

>The cha#e a#ainst the es%on&ent "as that he in a &)nen state a(on# "ith the con&)cto

"ent to the 5ssistant Cashie in the cash oo$ o! the a%%e((ant an& &e$an&e& $oney !o$ the

5ssistant Cashie. Fhen the 5ssistant Cashie e!)se& the es%on&ent a*)se& hi$ an& theatene&

to assa)(t hi$. It "as cetain(y a seio)s cha#e o! $iscon&)ct a#ainst the es%on&ent. In s)ch

cic)$stances the La*o) Co)t "as not ')sti!ie& in inte!ein# "ith the o&e o! e$ova( o! the

es%on&ent !o$ the sevice "hen the cha#e a#ainst hi$ stoo& %ove&. Rathe "e !in& that the

&iscetion eecise& *y the La*o) Co)t in the cic)$stances o! the %esent case "as ca%icio)s

an& a*itay an& cetain(y not ')sti!ie&. It co)(& not *e sai& that the %)nish$ent a"a&e& to the

es%on&ent "as in any "ay >shocin#(y &is%o%otionate> to the nat)e o! the cha#e !o)n&

%ove& a#ainst hi$. In o) o%inion the =i#h Co)t !ai(e& to eecise its ')is&iction )n&e 5tic(e

22, o! the Constit)tion an& &i& not coect the eoneo)s o&e o! the La*o) Co)t "hich i!

a((o"e& to stan& "o)(& cetain(y es)(t in a $iscaia#e o! ')stice.

2. M"%%r% Bharat Ir$ Wr@% )% Bha!53ha& Ba/53ha& Pat"/6

>JIn s)ch a case the e$%(oyee !o)n& #)i(ty cannot *e e@)ate& "ith a victi$ o a sca%e#oat an&

the %(ea o! victi$ization as a &e!ence "i(( !a(( !(at. This is "hy once in the o%inion o! the

ti*)na( a #oss $iscon&)ct is esta*(ishe& as e@)ie& on (e#a( evi&ence eithe in a !ai(y

con&)cte& &o$estic en@)iy o *e!oe the ti*)na( on $eits the %(ea o! victi$ization "i(( not

cay the case o! the e$%(oyee any !)the. 5 %ove& $iscon&)ct is antithesis o! victi$ization as

)n&estoo& in in&)stia( e(ations. This is not to say that the ti*)na( has no ')is&iction to

inte!ee "ith an o&e o! &is$issa( on %oo! o! victi$ization

I! the %)nish$ent is hash a(*eit a (esse %)nish$ent $ay *e i$%ose& *)t s)ch an o&e cannot

*e %asse& on an iationa( o etaneo)s !acto an& cetain(y not on a co$%assionate #o)n&.

- 82000 3 SCC 32?

. 8200? < SCC 20

1-





? R"!&$a/ Ma$a!"r, Raa%tha$ Stat" Ra9 Tra$%<rt Cr<rat&$ )%. Sha$ La/

It has *een he(& that it is not the no$a( ')is&iction o! the s)%eio co)ts to inte!ee "ith the

@)ant)$ o! sentence )n(ess it is "ho((y &is%o%otionate to the $iscon&)ct %ove&. S)ch is not

the case heein. In the !acts an& cic)$stances o! the case an& havin# e#a& to the %ast con&)ct

o! the Res%on&ent as a(so his con&)ct &)in# the &o$estic en@)iy %ocee&in# "e cannot say

that the @)ant)$ o! %)nish$ent i$%ose& )%on the Res%on&ent "as "ho((y &is%o%otionate to

his act o! $iscon&)ct o othe"ise a*itay.

? U.P. Stat" Ra9 Tra$%<rt Cr<rat&$ )%. Mha$ La/ 75<ta a$9 Oth"r% =

>The (eane& a&vocate a%%eain# in s)%%ot o! the a%%ea( $ain(y conten&e& on t"o co)nts. On

the !ist it has *een vey sten)o)s(y conten&e& as to "hethe the La*o) Co)t can a(te the

%)nish$ent a"a&e& to Res%on&ent 1 "o$an )%on eco&in# a !in&in# that the cha#es have

&)(y *een %ove& an& secon&(y it has *een conten&e& as to "hethe the e$%(oyee "ho has

a&$itte&(y $isa%%o%iate& the %o%ety o! the e$%(oye Co%oation can *e a((o"e& to *e

etaine& in sevice.

Ca%"% 1&t"9 3'

I$ Mah&$9ra a$9 Mah&$9ra Lt9. ). N.B. Nara4a9";

The es%on&ent "as &is$isse& !o$ sevice on the cha#e o! havin# )se& a*)sive an& !i(thy

(an#)a#e a#ainst his s)%eviso. The (a*o) Co)t on the !in&in# that the %)nish$ent o! &is$issa(

"as hash an& i$%o%e &iecte& his einstate$ent "ith contin)ity o! sevice an& t"o-thi& *ac

/ K8200? < SCC 21<

0 K82000 ; SCC +21

7 8200+ 3 SCC 13?

1.









"a#es. The "it %etition !i(e& *y the e$%(oye "as &is$isse& *oth *y the (eane& Sin#(e 6)&#e

an& a(so *y the ivision Bench o! the =i#h Co)t. In a%%ea( a thee 6)&#e Bench o! this Co)t

set asi&e the ')&#$ents o! the =i#h Co)t an& a(so the a"a& o! the (a*o) Co)t an& )%he(& the

o&e o! the &isci%(inay a)thoity &is$issin# the es%on&ent !o$ sevice.

Stat" 0 Raa%tha$ A$r. ). Mh9. A'53 Na(> the es%on&ent "ho "as an e$%(oyee o!

coo%eative &e%at$ent e$aine& a*sent !o a*o)t 3 yeas an& his sevice "as te$inate& a!te a

&e%at$enta( en@)iy. The (eane& Sin#(e 6)&#e o! the =i#h Co)t too the vie" that the !acts

an& cic)$stances o! the case ca((e& !o a (esse %)nish$ent an& th)s &iecte& that the e$%(oyee

sha(( *e &ee$e& to have etie& a!te havin# %)t in 20 yeas o! sevice "ith a(( etia( *ene!its

"hich o&e "as a!!i$e& in (ettes %atent a%%ea( *e!oe the ivision Bench. This Co)t set asi&e

the o&e o! the =i#h Co)t "ith the o*sevation that "hi(e consi&ein# the @)ant)$ o!

%)nish$ent the o(e o! a&$inistative a)thoity is %i$ay an& that o! Co)t is secon&ay

con!ine& to see i! &iscetion eecise& *y the &isci%(inay a)thoity ca)se& etensive

in!in#e$ent o! i#hts an& he(& that the %)nish$ent o! e$ova( "as a*so()te(y coect.

7)t. 0 A.P. Or%. ). Mh9. Tah"r A/&+ this Co)t e'ecte& the contention that )n(ess the %ast

1+ con&)ct is a %at o! cha#e-sheet it cannot *e taen into consi&eation "hi(e i$%osin# the

%)nish$ent o*sevin# that >thee can *e no ha& an& !ast )(e that $ee(y *eca)se the ea(ie

$iscon&)ct has not *een $entione& in the cha#e sheet it cannot *e taen into consi&eation *y

the %)nishin# a)thoity. Consi&eation o! the ea(ie $iscon&)ct is o!ten necessay on(y to

ein!oce the o%inion o! the sai& a)thoity.

Ar5$ Cha53"' ). U$&$ 0 I$9&a Or%.11

8 8200, 1 SCC +<;

13 8200 < SCC ,+,

11 9I;1;<? SC 13+,

1/








5 Constit)tion Bench o! this Co)t &ea(t "ith an i&entica( case 1,"heein an e$%(oyee sevin#

in the Nothen Rai("ay ha& *een &is$isse& *y the e%)ty Chie! Co$$ecia( S)%einten&ent on

a cha#e o! $iscon&)ct "hich concene& hi$se(! a!te consi&ein# *y hi$se(! the e%(anation

#iven *y the e$%(oyee a#ainst the cha#e an& a!te thinin# that the e$%(oyee "as not !it to *e

etaine& in sevice. It "as a(so consi&ee& "hethe in s)ch a case the co)t sho)(& &eny the e(ie!

to the e$%(oyee even i! the co)t co$es to the conc()sion that o&e o! %)nish$ent stoo&

vitiate& on the #o)n& that the e$%(oyee ha& *een #)i(ty o! ha*it)a( acts o! in&isci%(ineG

$iscon&)ct. This Co)t he(& that the o&e o! &is$issa( %asse& a#ainst the e$%(oyee stoo&

vitiate& as it "as in )tte &ise#a& o! the %inci%(es o! nat)a( ')stice. The $ain th)st o! the

cha#es a#ainst the e$%(oyee e(ate& to his con&)ct @)a the &isci%(inay a)thoity itse(!

thee!oe it "as not o%en to the &isci%(inay a)thoity to sit in ')&#$ent ove the e%(anation

!)nishe& *y the e$%(oyee an& &eci&e a#ainst the &e(in@)ent. No %eson co)(& *e a ')&#e in his

o"n ca)se an& no "itness co)(& ceti!y that his o"n testi$ony "as t)e. 5ny one "ho ha& a

%esona( stae in an en@)iy $)st have e%t hi$se(! a(oo! !o$ the en@)iy. The co)t !)the

he(& that in s)ch a case it co)(& not *e consi&ee& that the e$%(oyee &i& not &eseve any e(ie!

!o$ the co)t

Da#h Pa$$a Sa!ar R5ra/ R"!&$a/ Ba$@ A$r. ). M5$$a La/ Ja&$ * it "as o*seve& that

the Co)t sho)(& not inte!ee "ith the a&$inistatos &ecision )n(ess it "as i((o#ica( o s)!!es

!o$ %oce&)a( i$%o%iety o "as shocin# to the conscience o! the Co)t in the sense that it

"as in &e!iance o! (o#ic o $oa( stan&a&s. The Co)t "o)(& not #o into the coectness o! the

choice $a&e *y the a&$inistato o%en to hi$ an& the Co)t sho)(& not s)*stit)te its &ecision to

that o! the a&$inistato. The sco%e o! ')&icia( evie" is (i$ite& to the &e!iciency in &ecision-

$ain# %ocess an& not the &ecision.

M&th&/"%h S&$!h ). U$&$ 0 I$9&a Or%. the a%%e((ant "ho "as consta*(e in Rai("ay

7otection S%ecia( oce (e!t &)ty "itho)t (eave *ein# #ante& an& et)ne& a!te 2+ &ays an&

then so)#ht (eave. The o&e o! e$ova( !o$ sevice %asse& *y the a)thoities "as set asi&e *y a

(eane& Sin#(e 6)&#e in a "it %etition !i(e& *y the e$%(oyee "ho &iecte& that so$e %)nish$ent

12 8200+ 10 SCC <?

1 82003 3 SCC 30;

10







othe than o&e o! e$ova( o &is$issa( o co$%)(soy etie$ent !o$ sevice $ay *e %asse&.

The ivision Bench o! the =i#h Co)t estoe& the o&e %asse& *y the &isci%(inay a)thoity an&

the sai& ')&#$ent "as a!!i$e& *y this Co)t in a%%ea( on the #o)n& that the sco%e o!

inte!eence "ith %)nish$ent a"a&e& *y the &isci%(inay a)thoity is vey (i$ite& an& )n(ess the

%)nish$ent is shocin#(y &is%o%otionate the Co)t cannot inte!ee "ith the sa$e an& the

e$%(oyee havin# !ai(e& to sho" any $iti#atin# cic)$stances in his !avo) the %)nish$ent

a"a&e& *y the a)thoities co)(& not *e chaacteize& as &is%o%otionate o shocin#.

I$ D"/h& Tra$%<rt Cr<rat&$ ). Sar9ar S&$!h8 sevea( cases o! con&)ctos invo(vin#

a*sence !o$ &)ty an#in# !o$ ?+ &ays to 2;? &ays "itho)t sanctione& (eave "ee consi&ee&.

The o&e o! the Sin#(e 6)&#e o! the =i#h Co)t ho(&in# that the e$%(oye "as ')sti!ie& in

%assin# the o&e o! te$inationGe$ova( "as a!!i$e& *y this Co)t evesin# the o&e o!

ivision Bench o! the =i#h Co)t "heein the o&e o! the In&)stia( Ti*)na( e!)sin# to acco&

a%%ova( to the %)nish$ent ha& *een a%%ove&.

1since he "as ha*it)a((y #)i(ty o! acts s)*vesive o! &isci%(ine. The i((e#a(ity !o$ "hich the

o&e o! &is$issa( %asse& *y the 5)thoity concene& s)!!ee& "as o! a chaacte so #ave an&

!)n&a$enta( that the a((e#e& ha*it)a( $is*ehavio) o! the &e(in@)ent e$%(oyee co)(& not c)e o

con&one it.

Rata$ Cha$9ra ). U$&$ 0 I$9&a6, it "as he(& that the cas)a( "oe etenche& *y the

e$%(oye &e%ives hi$se(! o! e$e&y avai(a*(e in (a" *y &e(ay itse(!A (a%se o! ti$e es)(ts in

(osin# the e$e&y an& the i#ht as "e((. It "as !)the he(& that the &e(ay "o)(& cetain(y *e !ata(

i! it has es)(te& in $ateia( evi&ence e(evant to a&')&ication *ein# (ost an& en&ee& not

avai(a*(e. In this case the &e(ay o! to ; yeas "as he(& not !ata(.

<ud'ment

1- 8200? SCC +?

1. 1;;3 S)%%.8? SCC ,

17








In 200+ the S)%e$e Co)t ca$e to the conc()sion that the co$%any ha& the i#ht to !ie hi$.

I! the %)nish$ent is hash a(*eit a (esse %)nish$ent $ay *e i$%ose& *)t s)ch an o&e

cannot *e %asse& on an iationa( o etaneo)s !acto an& cetain(y not on a co$%assionate

#o)n&.

In Regional Manager, Rajasthan State Road Transport Corporation v Sohan Lal 16 it has *een

he(& that it is not the no$a( ')is&iction o! the s)%eio co)ts to inte!ee "ith the @)ant)$

o! sentence )n(ess it is "ho((y &is%o%otionate to the $iscon&)ct %ove&. S)ch is not the case

heein. In the !acts an& cic)$stances o! the case an& havin# e#a& to the %ast con&)ct o! the

Res%on&ent as a(so his con&)ct &)in# the &o$estic en@)iy %ocee&in# "e cannot say that

the @)ant)$ o! %)nish$ent i$%ose& )%on the Res%on&ent "as "ho((y &is%o%otionate to his

act o! $iscon&)ct o othe"ise a*itay.

#i'ni*cance

Naates case is o!ten )se& as an ea$%(e o! the %o*(e$s "ith In&ian (a*o) (a" syste$ o!

e@)iin# #oven$ent a%%ova( *e!oe &is$issa(s can tae e!!ect.

5si&e !o$ hi#h(i#htin# the %o*(e$ o! In&ias (etha#ic (e#a( syste$ /tta$s case &a$atizes

ho" the co)ntys (a*o (a"s act)a((y e&)ce e$%(oy$ent *y $ain# e$%(oyes a!ai& to hie

"oes in the !ist %(ace. The )(es %otect eistin# )nionize& "oes . so$eti$es e!ee& to as

the >(a*o aistocacy> -- at the e%ense o! eveyone e(se. 5t this %oint the (a*o aistocacy

co$%ises on(y 10 %ecent o! the In&ian "o !oce1.

The !act that "e !ina((y #ot a so)n& ')&#e$ent sho"s "e &o have a syste$ o! checs an&

*a(ances !o those "ith the sta$ina to tave( the co)se. B)t the $oe i$%otant %oint is "hy &i&

o) ')&#es tae 22 yeas to &eci&e the set o! a%%ea(sD =o" (on# then "i(( o) co)t syste$ tae

to han&(e $oe co$%(e iss)esD One eason investos hesitate to %)t thei $oney into In&ia is the

1/ 5233-6 7 #:: 217

10 =urcharan "as 5<uly>9u'ust 233/6& >The In&ia Mo&e(>& Forei'n 9?airs&

18

http://en.wikipedia.org/wiki/Indian_labour_law

http://en.wikipedia.org/wiki/Labor_aristocracy

http://www.foreignaffairs.org/20060701faessay85401-p0/gurcharan-das/the-india-model.html


http://en.wikipedia.org/wiki/Indian_labour_law

http://en.wikipedia.org/wiki/Labor_aristocracy




%o*(e$ o! #ettin# any &is%)te a&')&icate& an& en!oce& in a easona*(e ti$e. /tta$s case

sho"s those !eas ae vey ea(. Fose "hat &oes it say a*o)t o) syste$s a*i(ity to &e(ive

si$%(e an& s"i!t ')stice to the avea#e In&ianD1<

C$1/5%&$

In the case at han& the cha#es e#a&in# s(ee%in# &)in# &)ty ho)s no &o)*t a%%ea to *e

#ave an& seio)s nat)e an& s)ch sot o! ten&encies cannot *e a%%eciate& an& they &eseve to *e

c)*e& "ith heavy han&s. I! s)ch $iscon&)cts ae vie"e& "ith (eniency it "i(( have a&vese

e!!ect on the %eace an& tan@)i(ity o! the %eace!)( !)nctionin# o! the co$%any *)t in the instant

case "e cannot a&o%t this hash vie". It is *eca)se the (en#th o! sevice o! the co$%(ainant is o!

(on#e %eio& o! 10 yeas an& !o one (a%se o! this nat)e it is not %o%e to sac hi$ !o$ the

sevices. I thin thee!oe *y i$%osin# (esse %)nish$ent it "o)(& *e *ette i! one $oe chance

is #iven to hi$ to seve the es%on&ent co$%any. ie"e& !o$ this an#(e I thin the %)nish$ent

o! e$ova( i$%ose& )%on hi$ *y the es%on&ent is a*so()te(y hash an& &is%o%otionate an& no

any easona*(e e$%(oye "o)(& i$%ose s)ch %)nish$ent in s)ch cic)$stances. Revision

Application of the Appellant and dismissing the Revision Application of the Respondent came to

the conclusion that as the misconduct has been proved and reling on the decision of this Court

in !hagubhai !alubhai "atel #supra$ "hee it "as o%ine& that a %ove& $iscon&)ct is anti thesis

o! victi$ization in the in&)stia( e(ations

>Thee!oe in #antin# the e(ie! o! e&)ction o! the nat)e o! %)nish$ent the (eane& ')&#e o!

the La*o) Co)t ecee&e& his ')is&iction an& co$$itte& an eo a%%aent on the !ace o! the

eco&.. In any event since the (eane& La*o) 6)&#e has !o)n& that the $iscon&)ct o! s(ee%in#

&)in# &)ty ho)s "as #ave an& seio)s an& s)ch ten&encies &eseve& to *e c)*e& "ith heavy

han&s an& since he ha& acce%te& the %osition o! the %ast eco& o! the Res%on&ent the (en#th o!

ten yeas o! his sevice ha&(y constit)te& any $iti#atin# cic)$stances. In !act the Res%on&ent

ha& *een #iven s)!!icient o%%ot)nity to i$%ove hi$se(!. In these cic)$stances the (eane&

La*o) 6)&#e "as "ho((y )n')sti!ie& in inte!ein# "ith the %)nish$ent. It is $ateia( to note

17 S(ee%y syste$>& Financial 4+press

23

http://www.financialexpress.com/news/sleepy-system/124536/

http://www.financialexpress.com/news/sleepy-system/124536/



that he has no "hee !o)n& that the %)nish$ent "as shocin#(y &is%o%otionate.> It "as

thee!oe o*(i#atoy on the %at o! the Res%on&ent to %(ea& an& %ove the acts o! victi$ization.

=e !ai(e& to &o so.

)the$oe it is tite the La*o) Co)t o the In&)stia( Ti*)na( as the case $ay *e in te$s

o! the %ovisions o! the 5ct $)st act "ithin the !o)-cone theeo!. The In&)stia( Co)ts "o)(&

not sit in a%%ea( ove the &ecision o! the e$%(oye )n(ess thee eists a stat)toy %ovision in this

*eha(!. 5(tho)#h its ')is&iction is "i&e *)t the sa$e $)st *e a%%(ie& in te$s o! the %ovisions

o! the stat)te an& no othe .

21



B&3/&!ra<h'

B@%

1. La*o) an& In&)stia( La"s 79 7a&hi 7=I Leanin# 7ivate Lt& 10th E&ition 200+

2. isci%(inay 5ction a#ainst E$%(yes in 7)*ic an& 7ivate Sectos Kirpa "ayal

#rivastava, Easten Boo Co$%any ,th E&ition 1;,,

3. La*o) La" an& La*o) Re(ations NM Ti%athi In&ia La" Instit)e 1;,<

?. The (a" o! In&)stia( is%)tes in In&ia R R)sta$'i 5sia 7)*(ication =o)se 1;?

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22

http://www.google.co.in/search?tbo=p&tbm=bks&q=inauthor:%22Kirpa+Dayal+Srivastava%22


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http://www.coa.gov.in/

http://www.authorstream.com/



http://www.legalplug.in/

http://www.ebooks-cchindia.com/

http://www.manupatrafast.com/

http://www.coa.gov.in/

http://www.authorstream.com/

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