SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

2019 Supreme(SC) 1555

SUPREME COURT OF INDIA
Arun Mishra, Navin Sinha, JJ.
Sanjay Geoffrey - Appellant
Versus
Alembic Pharmaceutical Ltd & Anr. - Respondents
Civil Appeal No. 1129 of 2019, 1130 of 2019
Decided On : 25-01-2019

Advocates Appeared:
Vishal Malik, Adv., Baljeet Rathi, Adv., K.S. Rana, Adv., Gopal Singh, Adv., Manish Kumar, Adv., Shivam Singh, Adv.

Jurisdiction under specific labor laws and the authority of the Labour Court to pass awards under the appropriate legislation.

Headnote:

Labour Court - Jurisdiction under Sales Promotion Employees (Conditions of Service) Act, 1976 - The court quashed the award passed by the Labour Court in favor of the appellant, holding that the proceedings could have been initiated only under the Industrial Disputes Act, 1947 and not under the U.P. Industrial Disputes Act, 1947.

Fact of the Case:

The appellant, a trainee Medical Representative, was discharged from service without sufficient reasons, show cause notice, or opportunity of hearing. The Labour Court found in favor of the appellant, but the High Court quashed the award, citing jurisdictional issues.

Finding of the Court:

The court found it appropriate to order the company to pay compensation of Rs. 5,00,000 to the appellant, considering the appellant's nine years of service and to cut short the litigation.

Issues: Jurisdiction under the Sales Promotion Employees (Conditions of Service) Act, 1976 and the Industrial Disputes Act, 1947.

Ratio Decidendi: The court held that the proceedings could have been initiated only under the Industrial Disputes Act, 1947 and not under the U.P. Industrial Disputes Act, 1947.

Final Decision: The company was directed to pay Rs. 5,00,000 to the appellant within two months, and the impugned order(s) were set aside. The appeals were partly allowed to the extent of the compensation.

ORDER

1. Delay condoned. Leave granted.

2. These appeals arise out of the final Judgment and Order dated 22.01.2015 passed by the High Court of Judicature at Allahabad in C.M. W.P.No. 1925 of 2015 and order dated 31.07.2015 in Review/Recall Application No. 60832 of 2015 in C.M.W.P.No. 1925 of 2015, whereby the High Court has quashed the award passed by the Labour Court in favour of the appellant herein.

3. The brief facts of this case are as follows :- The appellant was appointed as a trainee Medical Representative on 03.09.2001 in Respondent No. 1 - company. Allegedly, the appellant was discharged from service on 04.11.2010 without assigning any sufficient reasons and without serving him any show cause notice and without giving any opportunity of hearing.

4. The dispute was raised before the Labour Court, Jhansi. The Labour Court, by its order dated 14.03.2014, held that a conspiracy was hatched to transfer the appellant herein from Jhansi to Aligarh and that Respondent No. 1 adopted unfair labour practice. The Labour Court found the order passed by the company to be non-maintainable and, therefore, ordered the company to pay the allowance of the appellant from the date of discharge without any break in service.

5. Being aggrieved, Respondent No. 1 - company filed a writ petition before the High Court seeking quashing the award passed by the Labour Court in favour of the appellant. The High Court held that the Labour Court had no jurisdiction to pass the award since as per Section 1(4) read with Section 6(2) of the Sales Promotion Employees (Conditions of Service) Act, 1976, the proceedings could have been initiated only under the Industrial Disputes Act, 1947 (14 of 1947) and not under the U.P. Industrial Disputes Act, 1947. Hence, the High Court, by the impugned order dated 22.01.2015, set aside the award passed by the Labour Court dated 14.03.2014.

6. Being aggrieved, the appellant filed a review application before the High Court, which has also been dismissed. Hence, the appellant is before this Court in the instant appeals, by way of special leave.

7. We have heard Mr. Vishal Malik, learned counsel, along with Mr. K.S.Rana, Advocate-on-Record appearing for the appellant and Mr. Gopal Singh, learned counsel appearing for Respondent No. 1 and perused the other materials on record.

8. To cut short the litigation and dragging the matter from one court to another on the ground of jurisdiction, we have heard the matter finally and find it appropriate that since the appellant has already served more than nine years of service in Respondent No. 1 - company, in case the compensation of Rs. 5,00,000/- (Rupees Five Lakhs) in addition is paid to the appellant-workman, that will take care of all the claims of the appellant raised in the matter or to be raised with respect to employment. Ordered accordingly.

9. Accordingly, Respondent No. 1 - company is directed to pay an amount of Rs. 5,00,000/- (Rupees Five Lakhs) to the appellant - workman within a period of two months from today. The impugned order(s) is/are set aside. The appeals are partly allowed to the aforesaid extent.

Click Here to Read the rest of this document
1
2
3
4
5
6
7
8
9
10
11
SupremeToday Portrait Ad
supreme today icon
logo-black

An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

Please visit our Training & Support
Center or Contact Us for assistance

qr

Scan Me!

India’s Legal research and Law Firm App, Download now!

For Daily Legal Updates, Join us on :

whatsapp-icon Back to top