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1959 Supreme(SC) 2

SUPREME COURT OF INDIA
15th January, 1959.
S.R. DAS, C.J.I., N.H. BHAGWATI, B.P. SINHA, K. SUBBA RAO AND K.N. WANCHOO, JJ.
1. Deep Chand (In C. A. No. 380 of 58), 2. Brahman Lal Singh and another (In C. A. No. 381 of 58), 3. Niranjan Singh (In C. A. No. 382 of 58), 4. M/s. Hari Shanker Shyam Lal and another (In C. A. No. 383 of 58), 5. Ram Prasad (In C. A, No. 384 of 58), 6. Jain Transport and General Trading Co. (In C. A. No. 385 of 58), 7. Jaipal Sing (In C. A. No. 386 of 58), 8. Virendra Pal Gupta (In C. A. No. 387 of 58), 9. Vishambhar Dayal Gupta (In C. A. No. 388 of 58), 10. Rejendrapal (In C. A. No. 389 of 58), 11. Sia Ram (In C. A. No. 391 of 58), 12. Brijpal Singh (In C. A. No. 392 of 58), 13. Pandit Srinivas (In C. As. Nos. 393 and 394 of 58), 14. Madho Ram (In C. A. No. 395 of 58), 15, Mohi Uddin (In C. As. Nos. 396 and 397 of 58), 16. Jagat Prasad (In C. A. No. 398 of 58), 17. Jai Singh (In C. A. No. 399 of 58), 18. Nand Lal (In C. A. No. 401 of 58), 19. Pramod Kumar Singh (In C. A. Nos. 429 and 431of 58), 20. Amarjeet Singh (In C. A. No. 432 of 58), 21. Tribeni Rai (In C. A. No. 433 of 58) and 22. Thakur Raj Narain Singh In C. A. No. 434 of 58, Appellants
Versus
The State of U.P. and others, Respondents.
Civil Appeals Nos. 380 to 389, 391 to 399, 401, 429 and 431 to 484 of 1958.
Advocates appeared
Mr. M. K. Nambiyar, Senior Advocate and Mr. Shyam Nath Kacker, Advocate (M/s. J. B. Dadachanji, S. N. Andley and Rameshwar Nath, Advocates of M/s. Rajinder Narain and Co. with them), for Appellants (in C. As. Nos. 380-385, 387-389, 391-399 and 401 of 1958); Mr. S. N. Kacker, Advocate (Mr. J. B. Dadachanji, Advocate of M/s. Rajinder Narain & Co. with him), for Appellant (in C. A. No. 386/58); Mr. Naunit Lal, Advocate, for Appellants (in C. As. Nos. 429 and 431-434/58); M/s. K. B. Asthana and G. N. Dikshit, Advocates, for Respondents.

Advocates:
G.N.DIKSHIT, J.B.DADACHAN, K.B.ASTHANA, M.K.NAMBIYAR, NAUNIT LAL, RAMESHWAR NATH ROY, S.N.ANDLEY, SHYAM NATH KACKER

Headnote:DISTINCTION BETWEEN CLAUSES (1) AND (2) OF ARTICLE 13 - ACTION TAKEN UNDER LAW PASSED WITHOUT LEGISLATIVE COMPETENCE - DOCTRINE OF ELLIPSE—APPLICABLE IN PRE-CONSTITUTION LAWS BUT NOT IN POST-CONSTITUTIONAL - DISTINCTION BETWEEN CLAUSES (1) AND (2) OF ARTICLE 13 - ARTICLES 245, 246, 13, 31—EFFECT - LAW OF STATE AND LAW MADE BY PARLIAMENT

       -held, legislature of State can legislate on topic in relevant lists in Seventh Schedule of Constitution subject to provisions in Article 13.

       -held, to the extent of repugnancy to law of Parliament, law of State would be repugnant, Pre-constitution State law subsists in post-constitution period also so far as part transactions are concerned by reason of parity evenafter law is made by Parliament. There is co-existence of two laws. Clause (1) of Article is a general rule, Clause (2) an exception and proviso qualifies the exception.

       

Judgement Key Points

Key Points: - The judgment holds that the Uttar Pradesh Act did not become wholly void upon the Motor Vehicles (Amendment) Act, 1956; it continued to be a valid and subsisting law supporting the pre-existing scheme (Art. 254(1) and General Clauses saving effects) (!) , (!) . - It examines the effect of the Constitution (Fourth Amendment) Act, 1955 on debates about compensation under Article 31(2) and applies the eclipse doctrine to post-Constitution laws with caveats; it recognizes potential applicability but resolves based on pre-Amendment terms (!) , (!) , (!) , (!) . - The court determines that the U.P. Act’s compensation provisions (Section 11 with Schedule I) provide adequate compensation for premature cancellation or curtailment of permits, satisfying Article 31(2) requirements, and that compensation includes potential referral to a District Judge for adequacy (!) , (!) . - The Amending Act occupies the same field for schemes initiated after its enactment, and it overrides contradictory aspects for those post-Amendment schemes; but schemes finalized under the U.P. Act prior to the Amending Act remain valid to support those actions (!) , (!) , (!) , (!) . - The appeals were dismissed with costs, upholding the state’s scheme and its compensation framework as constitutional under the cited Articles and doctrines (!) , (!) .

What is the scope and effect of Article 254(1) and Article 254(2) in relation to state vs central legislation on repugnancy?

What is the effect of Article 13(1) and 13(2) on pre- and post-Constitution laws, and how does the doctrine of eclipse apply in this case?

What is the court's ruling on whether the Uttar Pradesh Transport Services (Development) Act, 1955 violates Article 31(2) and whether compensation under it meets the constitutional requirement?


Judgment

S. R. DAS CJI. : We have had the advantage of perusing the judgment prepared by our learned Brother Subba Rao and we agree with the order proposed by him, namely, that all the above appeals should be dismissed with costs, although we, do not subscribe to all the reasons advanced by him.

2. The relevant facts and the several points raised by learned counsel for the appellants and the petitioners in support of the appeals have been fully set out in the judgment which our learned Brother will presently deliver and it is not necessary for us to set out the same here. Without committing ourselves to all the reasons adopted by our learned Brother, we agree with his following conclusions, namely, (1) that the Uttar Pradesh Transport Service (Development) Act 1955 (Act IX of 1955), hereinafter referred to as the U. P. Act, did not, on the passing of the Motor Vehicles (Amendment) Act, 1956 (100 of 1956), hereinafter referred to as the Central Act, become wholly void under Art. 254 (1) of the Constitution but continued to be a valid & subsisting law supporting the scheme already framed under the U. P. Act; (2) that, even if the Central Act be construed as amounting, under Art. 254 (2), to a repeal of the U. P. Act, such repeal did not destroy or efface the scheme ready framed under the U. P. Act, for the provisions of S. 6 of the General Clauses Act saved the same; (3) that the U. P. Act did not offend the provisions of Art. 31 of the Constitution, as it stood before the Constitution (4th Amendment) Act, 1955, for the U. P. Act and in particular S. 11(5) thereof provided for the payment of adequate compensation. These finding are quite sufficient to dispose of the points urged by Mr. Nambiyar and Mr. Naunit Lal in support of the claims and contentions of their respective clients.

3. In view of the aforesaid finding that the U. P. Act did not infringe the fundamental rights guaranteed by Art. 31, it is wholly unnecessary to discuss the following questions, namely, (a) whether the provisions of Part III the Constitution enshrining the fundamental rights are mere checks or limitations on the legislative competency conferred on Parliament and the State Legislatures by Arts. 245 and 246 read with the relevant entries in the Lists in the Seventh Schedule to the Constitution or are an integral part of the provisions defining prescribing and conferring the legislative competency itself and (b) whether the doctrine of eclipse is applicable only to pre-Constitution laws or can apply also to any post-Constitution law which falls under Art. 13(2) of the Constitution. As, however, our learned Brother has thought fit to embark upon a discussion of these questions, we desire to guard ourselves against being understood as accepting or acquiescing in the conclusion that the doctrine of eclipse cannot apply to any post-Constitution law. A post-Constitution law may infringe either a fundamental right conferred on citizens only or a fundamental right conferred on any person, citizen or non-citizen. In the first case the law will not stand in the way of the exercise by the citizens of that fundamental right and, therefore, will not have any operation on the rights of the citizens, but it will be quite effective as regards non-citizens. In such a case the fundamental right will, qua the citizens, throw a shadow on the law which will nevertheless be on the Statute Book as a valid law binding on non-citizens and if that shadow is removed by a constitutional amendment the law will 653 immediately be applicable even to the citizens without being re-enacted. The decision in John M. Wilkerson v. Charles A. Rahrer, (1891) 140 US 545: 35 Law Ed 572 cited by our learned Brother is squarely in point. In other words the doctrine of eclipse as explained by this Court in Bhikaji Naraki Dhakras v. State of Madhya Pradesh, 195-52 SCR 589 also applies to a post-Constitution law of this kind. Whether a post-Constitution law of the other kind, namely, which infringes a














































































































































































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