Supreme Court weekly round up - Judgments [January 24-29, 2022]

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  1. Keywords: Monopolies and Restrictive Trade Practices Act, 1969, unfair trade practices, DLF Universal Limited, Builder-buyer agreement, homebuyers, Consumer Protection Act, compensation
    [Unfair Trade Practices] The Supreme Court has dismissed an appeal filed by a few homebuyers wherein certain allegations were made against DLF Universal Limited for engaging in unfair/restrictive trade by demanding extra charges after the construction of the apartments had already begun. Relying on the Apartment Buyer Agreement, the Court opined that the extra charges that were demanded by the respondent were pursuant to clauses 2(b), 4, 15 and 16 of the ABA and were thus allowed.
    Bench: Justices L Nageshwar Rao, BR Gavai and BV Nagarathna
    Case Title: B.B. Patel & Ors. vs DLF Universal Ltd.
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  2. Keywords: Acquittal, conviction, Code of Criminal Procedure, manifest error of law, Section 401(3), judicial order, revisional jurisdiction, appellate jurisdiction 
    [Section 401(3) CrPC]  
    The Supreme Court has held that sub-section (3) of Section 401 Code of Criminal Procedure  prohibits/bars the High Court to convert a finding of acquittal into one of conviction. Moreover, the Court added that the High Court has revisional power to examine whether there is manifest error of law or procedure etc., however, after giving its own findings on the findings recorded by the Court, acquitting the accused and after setting aside the order of acquittal, the High Court has to remit the matter to the Trial Court and/or the first appellate Court, as the case may be.
    Bench: Justices MR Shah and Sanjiv Khanna.
    Case Title: Joseph Stephen and others vs Santhanasamy and others
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  3. Keywords: Parliamentary privileges, Constitution of India, Article 14, Article 21, Part III, Powers of speaker, suspension of MLA, fundamental rights, Bharatiya Janata Party, expulsion, disqualification
    [Privileges of Legislature] Noting that the Constitution, by itself, does not specify the limitation on the privileges of the Legislature, the top court has held that, indubitably, those privileges are subject to the provisions of the Constitution, which ought to include the rights guaranteed to the citizens under Part III of the Constitution. The top court has further clarified that such limitations have been predicated in the opening part of Article 194(1) as also in Article 208(1) requiring the House of the Legislature to make rules for regulating its procedure.
    Bench: Justices AM Khanwilkar, Dinesh Maheshwari and CT Ravikumar
    Case Title: ASHISH SHELAR & ORS. v THE MAHARASHTRA LEGISLATIVE ASSEMBLY & ANR.
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  4. Keywords: Sports quota, reservation, writ of mandamus, policy decisions, Article 226
    [3% reservation for sports persons] The Supreme Court recently held that the Punjab and Haryana High Court had committed a grave error in issuing a writ of mandamus and directing the State Government to provide for 3% reservation/quota for sports persons, instead of 1% as provided by the State Government. "A conscious policy decision was taken by the State Government to provide for 1% reservation/quota for sports persons. A specific order dated 25.07.2019 was also issued by the State Government. Therefore, the High Court has exceeded its jurisdiction while issuing a writ of mandamus directing the State to provide a particular percentage of reservation for sports persons,.....", said the court.
    Bench: Justices MR Shah and BV Nagarathna
    Case Title: The State of Punjab v. Anshika Goyal and others
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  5. Keywords: Gift deed, execution of documents, evidentiary value, mutation, revenue authority, bona fide claim, registration of document, gratuitous transfer of land
    [Validity of gift deed] The Supreme Court has held that a gift deed must be weighed on the evidence of its validity first. The Top Court, while hearing a case wherein the very origin of the gift deed was disputed by the executant during her lifetime by a lower court stated that it was right in doing so instead of weighing it on its form and content. It was further noted that appreciation of evidence is an exercise based on facts and circumstances where the preponderance of probability can take varying forms and configurations.
    Bench: Justices MR Shah and Sanjiv Khanna
    Case Title: KESHAV AND OTHERS v GIAN CHAND AND ANOTHER
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  6. Keywords: Inherent legal limitations, Article 226, natural justice, departmental f=proceedings, bank employee, forgery, merits of case, breach of duty, Industrial tribunal
    [Limitations on scrutiny of Award] The Supreme Court has emphasized that there are certain inherent legal limitations to the scrutiny of an award of a Tribunal by the High Court while exercising jurisdiction under Article 226 of the Constitution of India. Accordingly, the court added, "If there is no jurisdictional error or violation of natural justice or error of law apparent on the face of the record, there is no occasion for the High Court to get into the merits of the controversy as an appellate court."
    Bench: Justices Sanjay Kishan Kaul and MM Sundresh.
    Case Title: INDIAN OVERSEAS BANK & ORS. v OM PRAKASH LAL SRIVASTAVA
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  7. Keywords: Driving under the influence, PAC, dismissal, compulsory retirement, misconduct
    [Drunk Driving] The Supreme Court recently converted the order of dismissal into compulsory retirement of a PAC driver posted at the 12th Battalion, PAC at Fatehpur who while was on duty driving a truck carrying the PAC personnel from Fatehpur to Allahabad on Kumbh Mela duty met with a motor accident with a jeep while driving under the influence of alcohol. "Merely because there was no major loss and it was a minor accident cannot be a ground to show leniency. It was sheer good luck that the accident was not a fatal accident. It could have been a fatal accident....", added the bench.
    Bench: Justices MR Shah and BV Nagarathna.
    Case Title: Brijesh Chandra Dwivedi (Dead) Thr. LRs. v Sanya Sahayak and Ors.
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  8. Keywords: Tax exemptions, interpretation of statue, legislative intent, strict interpretation, plain language, sales tax, tax incentive, eligibility criteria
    [Tax exemptions] "An exception and/or an exempting provision in a taxing statute should be construed strictly and it is not open to the court to ignore the conditions prescribed in industrial policy and the exemption notifications", remarked the Supreme Court while adding that it is settled law that the notification has to be read as a whole and if any of the conditions laid down in the notification is not fulfilled, the party is not entitled to the benefit of that notification. The Statutory provisions providing for exemption have to be interpreted in the light of the words employed in them and there cannot be any addition or subtraction from the statutory provisions, the bench said.
    Bench: Justices MR Shah and Sanjiv Khanna
    Case Title: State of Gujarat v Arcelor Mittal Nippon Steel India Limited
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