IN THE HIGH COURT OF BOMBAY
Chagla, C.J. and Tendolkar, J.
Appellants: Narottamdas Jethabhai
Vs.
Respondent: Aloysious Pinto Phillips
O.C.J. Suit No. 240 of 1950
Decided On: 28.03.1950
Counsels:
For Appellant/Petitioner/Plaintiff: Jamshedji Kanga, H.M. Seervai, R.J. Joshi and Bhatt, Advs.
For State: C.K. Daphtary, Adv. General and M.P. Amin, Adv.
A.Delegated legislation - Jurisdiction - pecuniary jurisdiction - City Civil Court created with minimum pecuniary jurisdiction of Rs.10,000/- which can be extended by the provincial government by notification - subordinate agency for legislative functions - notification conferring jurisdiction challenged being ultra vires - if the Legislature passes law and lays down its policy, the application of that law to a particular territory may be left to the discretion of the executive; and what is more even the time at which that Act should come into force may also be left to the discretion of the executive. The policy is already determined and because of convenience and of administrative experience which the executive has the Legislature may well think fit to leave it to the executive to determine the time when a particular enactment should come into force - provincial government cannot invest jurisdiction upon a court - notification is ultra vires. ( para 11 and 16)
B. Delegated legislation - subordinate authority - scope of delegating the power to legislate - it is open to a sovereign Legislature, as our Legislature undoubtedly is, to create an agency for the object of carrying the enactments which it has passed into effect. It may also create agencies which are ancillary to legislation and which may also help it to deal with the various details and machinery which may be necessary to set up in order to carry out legislation; but it is not open to the Legislature to efface itself and to substitute in its place another authority with co-ordinate power - it is solely the privilege of the Legislature to make laws. In exercising that privilege it may entrust subordinates and agents with the power to carry out its policy and to give effect to the legislation, but the subordinates and agents must act within the policy laid down by the Legislature. It cannot create a parallel or alternative law-making authority. (PARA 13 and 14)
Chagla, C.J.
1. Four issues relating to jurisdiction have been raised on the summons for judgment taken out by the plaintiff, and they have now come before us for decision.
2. The suit in which these issues arise was filed for recovering a sum of Rs. 11,704-5-4, and the main question that we have to consider is whether in view of the notification issued by the Government on 20th January 1950, this Court has jurisdiction to try this suit.
3. In order to understand and appreciate the contentions raised before us it is necessary to look at the Bombay City Civil Court Act (Bom. Act XL [40] of 1948). That Act was passed by the Bombay Legislature in order to establish an additional Civil Court for Greater Bombay, Section 3 of that Act deals with the constitution of the new Court and provides that:
"The Provincial Government may, by Notification in the Official Gazette, establish for the Greater Bombay a Court, to be called the Bombay City Civil Court. Notwithstanding anything contained in any law, such Court shall have jurisdiction to receive, try and dispose of all suits and other proceedings of a civil nature not exceeding ten thousand rupees in value, and arising within the Greater Bombay, except suits or proceedings which are cognizable..."
Then follow the four sub-clauses which exempt from the jurisdiction of the City Civil Court suits mentioned in these four sub-clauses. Then there is a proviso enabling the Provincial Government, from time to time, after consultation with the High Court, by a like notification to extend the jurisdiction of the City Court to any suits or proceedings of the nature specified in Clauses (a) and (b) of that section. Then we come to Section 4 which provides that :
"Subject to the exceptions specified in Section 3, the Provincial Government may, by notification in the Official Gazette, invest the City Civil Court with jurisdiction to receive, try and dispose of all suits and other proceedings of a civil nature arising within the Greater Bombay and of such value not exceeding twenty-five thousand rupees as may be specified in the Notification."
Pursuant to the powers which the Provincial Government thought it had under Section 4 of the Act, the Provincial Government issued a notification on 20th January 1950, and the notification was to this effect : The notification sets out the power conferred upon the Government under Section 4 of the Act and then proceeds to invest, with effect from and on the date of the notification, the City Civil Court with jurisdiction to receive, try and dispose of all suits and other proceedings of a civil nature not exceeding twenty-five thousand rupees in value, and arising within the Greater Bombay subject, however, to the exceptions specified in Section 3 of the said Act.
4. Sir Jamshedji contends in the first instance that Bombay Act XL [40] of 1948 is ultra vires the Provincial Legislature. The same contention came up before this Court in another proceeding Mulchand Jagtiani v. Raman Shah, 51 Bom. L. R. 86 : (A. I. R. (36) 1949 Bom. 197) and it was held by this Court in that case that the Act was intra vires the Bombay Legislature.
5. The further contention that has been raised is that Section 4 of the Act is ultra vires the Provincial Legislature. Sir Jamashedjis contention is that by Section 4 the Legislature has delegated its legislative powers to another authority and has given the right to the Provincial Government to invest the City Court with jurisdiction from ten thousand to twenty-five thousand rupees, a power which the legislature alone can exercise, and in conferring such power under Section 4 it has acted outside its powers. Now there can be no doubt that a Legislature can appoint a subordinate agency to carry out certain kinds of work which it would be impossible for the Legislature itself to attend to. As the affairs of the State get more and more complicated and complex it would be quite impossible for the Legislature to attend to every detail which may
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