Light Motor Vehicle: Requirement of Licence

Whether a person holding a driving licence in respect of a “light motor vehicle” could on the strength of the licence be entitled to drive a “transport vehicle of light motor vehicle class” having unladen weight not exceeding 7500 kgs. (Para 2)

A transport vehicle and omnibus, the gross vehicle weight of either of which does not exceed 7500 kg would be a light motor vehicle and also motor car or tractor or a roadroller, “unladen weight” of which does not exceed 7500 kg and holder of a driving licence to drive class of “light motor vehicle” as provided in Section 10(2)(d) is competent to drive a transport vehicle or omnibus, the gross vehicle weight of which does not exceed 7500 kg or a motor car or tractor or roadroller, the “unladen weight” of which does not exceed 7500 kg. That is to say, no separate endorsement on the licence is required to drive a transport vehicle of light motor vehicle class as enumerated above. A licence issued under Section 10(2) (d) continues to be valid after Amendment Act 54 of 1994 and 28-3-2001 in the form. (Para 3(60.2))

When the reference before the three-Judge Bench was taken up, counsel appearing on behalf of the insurance companies submitted that the judgment in Mukund Dewangan (supra) has not noticed certain provisions of the Motor Vehicles Act 1988[“Act”]. In particular, it was submitted that Section 3 stipulates that “no person shall so drive a transport vehicle other than the motor cab or motor cycle hired for his own use or rented under any scheme made under sub-section (2) of Section 75 unless his driving licence specifically entitles him so to do”. Apart from this, the referral order notes that the two-Judge Bench was also of the view that other provisions, including Sections 4(1), 7 and 14 of the Act and Rules 5 and 31 of the Central Motor Vehicles Rules 1989, were not noticed in Mukund Dewangan (supra). (Para 4)

The note also indicates that the letter dated 16 April 2018 was issued by the Union government taking note of the judgment in Mukund Dewangan (supra) as the law declared by this Court. Resultantly, the notification dated 31 March 2021 was issued to further amend the Rules to bring them in conformity with the judgment. However, the Attorney General has submitted that this may not be treated as a policy declaration by the Union Government and, as such, the letter and the notification may not have any bearing or conclusiveness on the state of law to be clarified. (Para 9)

We are of the considered view that it would be necessary for the Union Government to have a fresh look at the matter. We are inclined to take this view for the following reasons (Para 11)

The considerations which have been flagged above do not necessarily weigh in the same direction. However, all of them do raise important issues of policy which must be assessed and evaluated by the Union Government. Whether a change in the law is warranted is a matter which has to be determined by the Union Government after taking a considered decision bearing in mind the diverse considerations which fall within its remit in making policy choices and decisions. (Para 12)

Having regard to these features, we are of the view that the issue of interpretation which has been referred to the Constitution Bench by the referral order dated 8 March 2022 should await a careful evaluation of the policy considerations which may weigh with the Government in deciding as to whether the reversal of the decision as it obtains in Mukund Dewangan (supra) is warranted and, if so, the way forward that must be adopted bearing in mind the diverging interests, some of which have been noted in the earlier part of the order. (Para 13)

Hence, in view of the consequences which may arise by the reversal of the judgment in Mukund Dewangan (supra), it would be appropriate if the entire matter is evaluated by the Government before this Court embarks upon the interpretative exercise. Once the Court is apprised of the considered view of the Union Government, the proceedings before the Constitution Bench can be taken up. (Para 14)

SUPREME COURT OF INDIA

2023 STPL(Web) 293 SC

[2023 INSC 832]

M/S Bajaj Alliance General Insurance Co Ltd. Vs. Rambha Devi & Ors.

Civil Appeal No 841 of 2018 WITH SLP(C) No. 10918/2018 SLP(C) No. 9604/2018 SLP(C) No. 9613/2018 Diary No(s). 24834/2018 Diary No(s). 25256/2018 SLP(C) No. 24671/2018 Diary No(s). 32753/2018 Diary No(s). 32756/2018 Diary No(s). 37055/2018 Diary No(s). 39059/2018 SLP(C) No. 426/2019 SLP(C) No. 505-506/2019 SLP(C) No. 17506/2018 Diary No(s). 23638/2018 Diary No(s). 24137/2018 Diary No(s). 24530/2018 Diary No(s). 24534/2018 SLP(C) No. 5958/2019 SLP(C) No. 8918-8919/2019 Digitally signed by Sanjay Kumar Date: 2023.09.15 16:23:31 IST Reason: 2 SLP(C) No. 11503-11504/2019 SLP(C) No. 8277/2020 SLP(C) No. 8123-8124/2022 SLP(C) No. 14645-14646/2017 SLP(C) No. 35472-35473/2017 SLP(C) No. 6055/2018 SLP(C) No. 18849/2019 SLP(C) No. 20449/2019 SLP(C) No. 21547/2019 SLP(C) No. 23017-23018/2019 C.A. No. 8001-8002/2019 SLP(C) No. 766/2020 SLP(C) No. 24545/2019 SLP(C) No. 30601/2019 SLP(C) No. 696/2021 C.A. No. 1477/2018 C.A. No. 842/2018 C.A. No. 1479/2018 C.A. No. 483/2018 C.A. No. 1506/2018 C.A. No. 1478/2018 Diary No(s). 40406/2017 C.A. No. 1476/2018 Diary No(s). 41949/2017 SLP(C) No. 2684-2685/2018 SLP(C) No. 597/2018 SLP(C) No. 524/2018 Diary No(s). 2524/2018 3 SLP(C) No. 19242-19244/2018 Diary No(s). 23636/2018 SLP(C) No. 28906/2018 SLP(C) No. 13315/2019 SLP(C) No. 14523-14524/2019 Diary No(s). 37270/2017 C.A. No. 1475/2018 SLP(C) No. 5065/2018 SLP(C) No. 10459/2018 SLP(C) No. 9908/2018 SLP(C) No. 6668/2018 Diary No(s). 4869/2018 Diary No(s). 6119/2018 Diary No(s). 6264/2018 SLP(C) No. 8816/2018 SLP(C) No. 9607/2018 SLP(C) No. 9610/2018 SLP(C) No. 9612/2018 SLP(C) No. 9606/2018 SLP(C) No. 9609/2018 Diary No(s). 9963/2018 Diary No(s). 9970/2018 Diary No(s). 990/2018 SLP(C) No. 5193/2018 SLP(C) No. 5188/2018 SLP(C) No. 9611/2018 SLP(C) No. 9608/2018 SLP(C) No. 9605/2018 SLP(C) No. 20221/2023-Decided on 13-9-2023

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Contract: Demurrage not allowed

Indian Contract Act, 1872 – Demurrage – Contractual Liability – Liquidated Damages – Breach of Contract – Adjudication of Claims – The petitioner, engaged in transportation business, participated in a competitive bidding process and was awarded a transportation contract by the Food Corporation of India (FCI). Dispute arose when FCI began deducting demurrage charges from petitioner’s bills for alleged delay in unloading wagons, despite petitioner not being responsible for wagon unloading.

The petitioner contested the deduction, arguing that as per the contract, demurrage cannot be unilaterally imposed by FCI unless liability is determined through due process of law.

The Court examined the relevant contract clause, which allowed FCI to recover costs, damages, etc., due to contractor’s negligence, but found it did not specifically authorize demurrage deduction.

Relying on the Supreme Court precedent in Food Corporation of India vs. Abhijit Paul, the Court held that demurrage could not be levied on the petitioner as the contract did not assign the task of wagon unloading to them.

The absence of a liquidated damages clause in the contract further supported the Court’s decision. The Court directed FCI to refund the deducted demurrage amount and refrain from further deductions, unless liability is determined through lawful adjudication.The order did not prevent FCI from seeking damages through proper legal channels. (Para 12, 15, 18, 22)

GAUHATI HIGH COURT

2023 STPL(Web) 184 Gauhati

[2024 STPL 1652 Gauhati]

Hi Speed Logistics Pvt Ltd. Vs. Food Corporation Of India And 5 Ors.

WP(C) 6317 of 2022-Decided on 8-11-2023

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Breach of peace: It must disturb public order, not just personal peace

Code of Criminal Procedure, 1973 – Sections 145, 146- Breach of peace – Emergency situation – Possession dispute – Civil litigation – Non-application of mind – Proceeding under Section 145 – Attachment under Section 146 – The application under Section 482 of the Code of Criminal Procedure, 1973 challenges the orders by the Executive Magistrate, concerning a dispute under Section 145 of the Code of Criminal Procedure, 1973 and subsequent attachment under Section 146(1) of the same.

The petitioner contests the legality of both orders, asserting that the initiation of the proceeding and the attachment were illegal and an abuse of process. It’s argued that the jurisdiction under Section 145 can only be invoked if there’s a likelihood of a breach of peace, which wasn’t sufficiently demonstrated in this case.

The petitioner highlights that the attachment order was passed ex-parte without affording them an opportunity to respond, which is contrary to the exceptional circumstances required for such an order. Reference is made to legal precedent discouraging parallel criminal proceedings when a civil litigation is pending regarding property possession, emphasizing the binding nature of civil court decrees.

The respondents counter by claiming entitlement to the land based on a partition deed and subsequent court judgments. They argue that emergency circumstances justified the attachment due to the petitioner’s attempt to construct on disputed land.

Legal precedents are cited to emphasize that the existence of an emergency, not just the use of the term “emergency,” warrants attachment under Section 146.

The judgment critically examines the orders and the circumstances leading to them. It observes discrepancies between the assertions made in the complaint and police report, highlighting the absence of clear grounds for apprehension of breach of peace.The judgment reiterates the requirement for a dispute likely to cause a breach of peace under Section 145, emphasizing that it must disturb public order, not just personal peace.

It concludes that the impugned orders suffer from non-application of mind and jurisdictional error, resulting in injustice to the petitioner. Consequently, both orders are quashed, and the petition is allowed. Important Paragraph Numbers of Judgment: (Para 13, 19, 30, 31)

GAUHATI HIGH COURT

2023 STPL(Web) 183 Gauhati

[2024 STPL 1651 Gauhati]

Md. Osman Ali Saikia And Anr. Vs. Chand Mahamod Saikia And 2 Ors.

Crl.Pet. 239 of 2021-Decided on 8-11-2023

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Electricity: Outstanding arrears from previous owner

Constitution of India, Article 226 – Assam Electricity Regulatory Commission [Electricity Supply Code and Related Matters] Regulations, 2004 – Electricity Act, 2003 – Section 43, 49, 50, 56 – Electricity – Outstanding arrears from previous owner – The petitioner, a partnership firm, sought a writ petition under Article 226 challenging a decision by the Assam Power Distribution Company Limited (APDCL) to deny a new electricity connection to their premises due to outstanding arrears from previous electricity bills.

The court directed interim relief for immediate electricity connection, subject to 50% payment of outstanding dues, with the remaining 50% to be paid upon dismissal of the writ petition.

The petitioner participated in an auction sale of a property and purchased a portion of land with a Business Centre cum Market Complex. They subsequently applied for a new electricity connection, which was denied by APDCL citing outstanding dues.

The court referred to the Assam Electricity Regulatory Commission [Electricity Supply Code and Related Matters] Regulations, 2004 and the Electricity Act, 2003. It cited a Supreme Court decision (K.C. Ninan vs. Kerala State Electricity Board) regarding the liability of auction purchasers for previous dues in properties sold on ‘as is where is’ basis.

The court dismissed the writ petition, holding the petitioner liable for outstanding electricity dues as per the auction sale agreement. It directed the petitioner to pay the outstanding dues as per the interim order, with APDCL waiving the accrued interest on the principal dues. (Para 15, 16)

GAUHATI HIGH COURT

2023 STPL(Web) 182 Gauhati

[2024 STPL 1650 Gauhati]

M/S Borah And Companyjiban Phukan Nagar Vs. Assam Power Distribution Company Ltd. And 3 Ors.

WP(C) 989 of 2014-Decided on 7-11-2023

2023 STPL(Web) 182 Gauhati

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