2008 Supreme(Ker) 220
Judgename : H.L.DATTU,K.T.SANKARAN
Union of India - Appellant
Versus
Godrej – G E Appliances Ltd., - Respondents
Case No : W.A.Nos.218 of 2003(b), 1098 of 2003, 1217 of 2003,1268 of 2003, 1287 of 2003, 291 of 2004 and o.p.nos.12058 of 1993, 16410 of 1993, 17873 of 1993, 15944 of 1994, 11776 of 1998, 16411 of 1998, 18575 of 1998, 21869 of 1998, 5157 of 1999, 9544 of 1999, 17181 of 1999, 21390 of 1999, 21966 of 1999, 27234 of 1999, 29816 of 1999, 2074 of 2000, 7575 of 2000, 11318 of 2000, 32784 of 2000, 12395 of 2001, 13446 of 2001, 16338 of 2001, 19313 of 2001, 24323 of 2001, 17675 of 2002 and 1656 of 2003
Decided On : 04/09/2008
Headnote:
Standards of Weights and Measures (Packaged Commodities) Rules, 1977, - Rules 2(b), 2(l), 13(5) and 23 - They filed the Writ Petition when show cause notices were issued on the ground that the statutory declarations as laid down under the said Rules are not made on the package containing refrigerators - Products manufactured and despatched by them in corrugated boxes are so despatched primarily and essentially for the purpose of protecting the goods while in transit from the factory to the warehouse and thereafter from warehouse to the dealers' shops - Thermocole and polythene covers are used to protect the devices or equipments - The goods do not satisfy the definition of commodity in packaged form or pre-packed commodity - Products would be displayed in the shops after opening from the package - The customer would inspect the product and, if satisfied, would place an order and the product would be supplied to him - It was contended that the products manufactured by the petitioner do not come within the ambit of the aforesaid Rules - Held, Even if a commodity is taken out of the package at the retail out let and sold to consumer with the package or without the package, that does not absolve the necessary declarations to be made on the package - Applications dismissed.
K.T. Sankaran, J.
This batch of Writ Appeals and Writ Petitions are disposed of by a common judgment since common questions relating to interpretation of the provisions of the Standards of Weights and Measures Act, 1976 (hereinafter referred to as "the Standards Act"), the Standards of Weights and Measures (Enforcement) Act, 1985 (hereinafter referred to as "the Enforcement Act") and the Standards of Weights and Measures (Packaged Commodities) Rules, 1977 (hereinafter referred to as "the Rules") are involved in these cases.
2. W.A.Nos.218 of 2003 and 1098 of 2003 arise out of O.P.No.16488 of 1998. The Original Petition was filed by Godrej/GE Appliances Limited, first respondent in the Writ Appeals. These Writ Appeals are being dealt with at first so that the decision herein can be followed, to the extent possible, in
other cases.
3. O.P.No.16488 of 1998 was filed for the following reliefs:
"(a) for an order and declaration of this Honble Court that the provisions of Standards of Weights and Measures Act, 1976 and the Standards of Weights and Measures (Packaged Commodities) Rules, 1977 and the Standards of Weights and Measures (Enforcement) Act, 1985 do not apply to the products manufactured and marketed by the petitioner;
.(b) for an order and declaration of this Honble Court that Section 33 of the Standards of Weights and Measures (Enforcement) Act, 1985 is ultra vires the Constitution of India and is void and liable to be struck down;
.(c) for a writ of certiorari, or a writ in the nature of certiorari, or any other appropriate writ, order or direction of this Honble Court calling for the records of the case and, after perusing the same, to quash and set aside all actions initiated against the petitioner including Exts.P1, P3 and P5 of 3rd Respondent;
.(d) for a writ of mandamus, or a writ in the nature of mandamus, or any other appropriate writ, order or direction of this Honble Court restraining the Respondents by themselves, their officers, servants and agents, from taking any action whatsoever against the petitioner pursuant to or in implementation of any of the provisions of the Standards of Weights and Measures Act, 1976, the Standards of Weights and Measures (Packaged Commodities) Rules, 1977, and the Standards of Weights and Measures (Enforcement) Act, 1985 in respect of the manufacture, sale, storage, packing and distribution in the petitioners products including by launching and/or initiating any legal proceedings, civil or criminal whatsoever against the petitioner or the Directors, servant and agents of the petitioner;"
4. The petitioner in the writ petition, namely, Godrej/GE Appliances Limited, manufactures refrigerators, air-conditioners and washing machines. They filed the writ petition when show cause notices were issued on the ground that the statutory declarations as laid down under Rule 6(1)(c), (f) and Rule 12(5) (f) of the Rules are not made on the package containing refrigerators. According to the petitioner, the products manufactured and despatched by them in corrugated boxes are so despatched primarily and essentially for the purpose of protecting the goods while in transit from the factory to the warehouse and thereafter from warehouse to the dealers shops. Thermocole and polythene covers are used to protect the devices or equipments. The goods do not satisfy the definition of commodity in packaged form or pre-packed commodity. The products would be displayed in the shops after opening from the package. The customer would inspect the product and, if satisfied, would place an order and the product would be supplied to him. It was contended that the products manufactured by the petitioner do not come within the ambit of the aforesaid Rules of the Standards of Weights and Measures (Packaged Commodities) Rules, 1977. The learned Single Judge allowed the Original Petition. It was held thus:
"By reason of Standards of Weights and Measures (Enforcement) Act 1985, the former is made applicable fo