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2012 Supreme(SC) 511

Supreme Court of India
R.M. LODHA & ANIL R. DAVE
Bar Council of India
Versus
Union of India
WRIT PETITION (CIVIL) NO. 666 OF 2002
Decided on : : 03-08-2012

IMPORTANT POINT
Chapter VIA of Legal Services Authorities Act, 1987 is not unconstitutional.

Headnote:(a) Legal services Authorities Act, 1987 - Validity - Setting up other institutional mechanism with adjudicatory power - In addition to and not in derogation of Fora provided under various statutes - Not arbitrary. (Paras 20 and 21)

        (b) Legal Services Authorities Act, 1987 - Section 22C(8) - Validity - Permanent Lok Adalat empowered to adjudicate on failure of settlement - Such Tribunals may not necessarily have all the trappings of the court - Essentially such tribunals should be creature of statutes and give reasonable opportunity to the parties - Adjudication of disputes by courts only, not a constitutional right - Section 22C(8) not unconstitutional - Competence of the Parliament to make a law creating tribunals to deal with disputes arising under or relating to a particular statute or statutes or particular disputes is beyond question. (Paras 22 and 27)

        (1962) 2 SCR 339; (1965) 2 SCR 366; 1992 Supp (2) SCC 651; (2010) 11 SCC 1 - Relied upon

        (c) Legal Services Authorities Act, 1987 - Chapter VIA - Validity - Apprehension of pre-emption by public service provider - Unfounded - Jurisdiction of other for a created under special statutes not ousted in any manner whatsoever - Provision not unconstitutional. (Para 28)

        Writ Petition (Civil) No. 543/2002(SC); decided on 28.10.2002 - Relied upon

        (1976) (1) SCC 496; (1996) 6 SCC 385; (2000) 5 SCC 294; (2011) 10 SCC 316; (2012) 2 SCC 506; (2004) 1 SCC 305; (2007) 4 SCC 579; 1985 (Supp) SCC 432; (2004) 1 SCC 121; AIR 1967 SC 1480; (1989) 1 SCC 101; (1999) 6 SCC 172 - Distinguished impliedly

        (d) Legal Services Authorities Act, 1987 - Section 22 - Permanent Lok Adalat comprises of one judicial officer and two other persons having adequate experience in public utility service - No abhorrence to rule of law - Such composition not violative of principles of fairness and justice nor contrary to Articles 14 and 21 of the Constitution of India - The two non-judicial members might disagree with the judicial member but that does not mean that such majority decision lacks in fairness or sense of justice. (Paras 31 and 32)

        (e) Legal Services Authorities Act, 1987 - Section 22E - To appeal is not an inherent right - It is a statutory right - Non-provision of appeal does not render a provision unconstitutional. (Para 33)

       Facts of the case:

        Bar Council of India has raised challenge to the vires of Sections 22-A, 22-B, 22-C, 22-D and 22-E of the Legal Services Authorities Act, 1987 as inserted by the Legal Services Authorities (Amendment) Act, 2002 in this writ petition.

       Finding of the Court:

        Then Legal Services Authorities Act, 1987 (Chapter VIA) is not unconstitutional.

       Result : Writ petition dismissed.

       

JUDGMENT :-

R.M. LODHA, J.

Bar Council of India by means of this writ petition under Article 32 of the Constitution of India has raised challenge to the vires of Sections 22-A, 22-B, 22-C, 22-D and 22-E of the Legal Services Authorities Act, 1987 (for short, ‘1987 Act’) as inserted by the Legal Services Authorities (Amendment) Act, 2002 (for short, ‘2002 Amendment Act’).

2. By 2002 Amendment Act, in Section 22 of the 1987 Act, the words “Lok Adalat” were substituted by “Lok Adalat or Permanent Lok Adalat” and a new Chapter VI-A entitled “Pre-litigation Conciliation and Settlement” comprising of Sections 22-A to 22-E came to be inserted. In Section 23 of the 1987 Act, the words “members of the Lok Adalats” were substituted by the words “members of the Lok Adalats or the persons constituting Permanent Lok Adalats”.

3. The challenge is principally on the ground that Sections 22-A, 22-B, 22-C, 22-D and 22-E are arbitrary per se; violative of Article 14 of the Constitution of India and are contrary to the rule of law as they deny fair, unbiased and even-handed justice to all.

4. We have heard Mr. Manoj Goel, learned counsel for the petitioner and Mr. T. S. Doabia, learned senior counsel for the Union of India. After oral arguments were over, Mr. Manoj Goel, learned counsel for the petitioner has also filed written submissions. Elaborating the vice of arbitrariness in the impugned provisions, in the written submissions, it is submitted that Section 22-C(1) read with Section 22-C(2) provides that a dispute before Permanent Lok Adalat can be raised by moving an application to it unilaterally by any party to the dispute (before the dispute is brought before any court for settlement). The public utility service provider, thus, can play mischief by preempting an aggrieved consumer from going to the consumer fora or availing other judicial process for redressal of his grievance and enforcement of his rights. Permanent Lok Adalats have been empowered to decide dispute on merits upon failure between the parties to arrive at a settlement under Section 22-C(8). While deciding the case on merits, the Permanent Lok Adalat is not required to follow the provisions of the Civil Procedure Code or the Evidence Act. Section 22-C(8) prevents the courts and the consumer fora to examine the deficiencies in services such as transport, postal and telegraph, supply of power, light or water, public conservancy or sanitation, service in hospital, etc. and renders the provisions under challenge arbitrary and irrational.

5. It has been submitted on behalf of the petitioner that award of the Permanent Lok Adalat on merits is made final and binding and cannot be called in question in any forum or court of law under Section 22-E(1) and (4). No right to appeal has been provided for against the award in any court of law. Since all the public utility services basically relate to the fundamental right to life provided under Article 21 of the Constitution, any adverse decision on merits by Permanent Lok Adalat would immediately impinge upon fundamental right of an aggrieved citizen and, therefore, even absence of one right of appeal makes these provisions unconstitutional as it is against the fundamental principles of fair procedure. To say that an aggrieved person can approach the High Court under Articles 226/227 of the Constitution against awards given by the Permanent Lok Adalats on merits and, therefore, absence of right of appeal does not matter, is completely misplaced. The writ jurisdiction under Articles 226/227 is extremely limited and is no substitute of the appellate jurisdiction.

6. An argument was raised that though Permanent Lok Adalat supplants the civil court, consumer court or motor accident claims tribunal yet its mechanism and delivery of justice are not as effective as the above fora as the Permanent Lok Adalat is not required to follow the procedure contemplated in the Code of Civil Procedure and the Evidence Act. Moreover an award given on me





















































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