High Court Of Calcutta
S. B. SINHA, S. N. BHATTACHARJEE
KHAITAN (INDIA) LTD. - Appellant
Versus
UNION OF INDIA - Respondent
M. A. T. 1065 Of 1999
Decided On : 04/06/1999
WRIT PETITION - MONOPOLIES AND RESTRICTIVE TRADE PRACTICES ACT, 1969 - SECTION 55 - ALTERNATIVE REMEDY - NATURAL JUSTICE - JURISDICTION - APPEALABILITY OF INJUNCTION ORDER - SECTION 100 CPC - PRINCIPLE OF LAW - EXISTENCE OF ALTERNATIVE REMEDY - VIOLATION OF NATURAL JUSTICE - WRIT JURISDICTION - APPEAL COURT'S JURISDICTION - SECTION 107 CPC - INTERLOCUTORY ORDER - ADEQUATE LEGAL REMEDY - REVIEW OF ORDER - JURISDICTION OF HIGH COURT - DISCRETION OF TRIAL COURT - APPEAL COURT'S INTERFERENCE - APPEAL DISMISSED.
Fact of the Case:
The appellant filed a writ petition in the Calcutta High Court challenging an interim injunction order passed by the Monopolies and Restrictive Trade Practices Commission (MRTPC) against them. The appellant argued that the MRTPC's order violated the principles of natural justice and that the High Court had territorial jurisdiction to entertain the writ petition.
Finding of the Court:
The High Court held that the existence of an alternative remedy, in this case, an appeal to the Supreme Court under section 55 of the Monopolies and Restrictive Trade Practices Act, 1969, was a factor to be considered in determining whether to entertain a writ petition. The Court also held that the MRTPC's order did not violate the principles of natural justice and that the High Court did not have territorial jurisdiction to entertain the writ petition.
Issues: 1. Whether the existence of an alternative remedy barred the High Court from entertaining the writ petition? 2. Whether the MRTPC's order violated the principles of natural justice? 3. Whether the High Court had territorial jurisdiction to entertain the writ petition?
Ratio Decidendi: 1. The existence of an alternative remedy is a factor to be considered in determining whether to entertain a writ petition. However, the High Court may still entertain a writ petition if the order in question was passed without jurisdiction, in violation of the principles of natural justice, or if the vires of the Act is in question. 2. The MRTPC's order did not violate the principles of natural justice as the appellant was given an opportunity to meet the new points raised by the respondent. 3. The High Court did not have territorial jurisdiction to entertain the writ petition as the application was filed and the impugned order was passed in Delhi.
Final Decision: The High Court dismissed the appeal and upheld the order of the learned trial Judge.
( 2 ) THE respondent herein had filed an application before the Monopolies and Restrictive Trade Practices Commission, Delhi, inter alia, on the ground that the appellant herein has taken recourse to unfair trade practices.
( 3 ) IN the said proceeding an application for injunction has been filed which had been granted by an order dated 8th March, 1999. Questioning the said order a writ application was filed and upon dispensing with the requirement of Rule 27 of the writ Rules framed by this court, the learned trial Judge passed interim order in favour of the writ petitioner on 11th March, 1999. The respondents having been noticed, raised preliminary questions as regards the maintainability of the writ application.
( 4 ) BOTH the aforementioned contentions as had been raised by the respondents herein, as indicated hereinbefore, had found favour with the learned trial Judge as a result whereof the writ application was dismissed.
( 5 ) MR. Soumen Ghosh, the learned Advocate appearing on behalf of the appellant had principally raised three contentions in support of this appeal. The learned counsel submitted that although under section 55 of the Monoplies and Restrictive Trade Practices Act, 1969 a forum of appeal before the Supreme Court of India has been created, the same has its own limitations. In that view of the matter, contends Shri Ghosh, as the appellant herein has raised a question of violation of the principles of natural justice by the Commission, this writ application could not have been thrown out on the ground of existence of alternative remedy. In support of the aforesaid contention strong reliance has been placed on AIR, 1969 SC 656 and AIR, 1971 SC 33. The learned counsel submits that in a case of this nature, normally, the Supreme Court does not exercise its jurisdiction and in support of the said contention strong reliance has been placed in the decision reported in AIR, 1998 SC 526 [hindustan Lever Ltd. v. Colgate Palmolive (I) Ltd. and Anr. ]. It has further been contended that the Commission acted illegality in passing the interim order of injunction as a result whereof, the entire scheme of the appellant shall fail and the application filed by the respondent herein would be allowed in its entirety. The learned counsel has, relied upon AIR 1987 SC 2186, AIR 1964 SC 1264, AIR 1997 SC 2838 and (1995)4 SCC 51. As regards the finding of lack of territorial jurisdiction of this court, the learned counsel submitted that only because the application had been filed at Delhi and the impugned order has been passed by the Commission at Delhi, the same, by itself, would not disentitle this court from entertaining the writ application as a part of cause of action arose within the jurisdiction this court. In support of the said contention the reliance has strongly been placed upon AIR 1983 Cal 257 and AIR 1983 Cal 307.
( 6 ) MR. Jayanta Mitra, the learned senior counsel appearing on behalf of the respondent No. 3, on the other hand, submitted that a bare perusal of section 55 of the Monopolies and Restrictive Trade Practices Act, 1969 would clearly show that an order passed under section 12a of the said Act is also appealable in terms whereof, the Commission is empowered to pass an order of injunction. The learned counsel pointed out relying on or on the basis of the decision of the apex court in Mahindra and Mahindra Limited v. Union of India and Ors. reported in AIR 1979 SC 789 that as section 100 of the Code of Civil Procedure, 1908 has been incorporated by reference in the said Act, the old provisions thereof shall apply despite the fact that the same
REFERRED TO : Hindustan Lever Ltd. v. Colgate Palmolive (I) Ltd. and Anr.
Mahindra and Mahindra Limited v. Union of India and Ors.
State Bank of Patiala and Ors. v. S.K. Sharma
Union of India and Ors. v. M/s. Oswal Woolen Mills Ltd. and Ors.
Dr. Smt. Kuntesh Gupta v. Management of Hindu Kanya Mahabidyalaya, Sitapur (U.P.) and Ors.
M/s. Baburam Prakesh Chandra Maheswari v. Antarim Zulla Parishad now Zilla Parishad, Muzaffarnagar
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