Court Ruling - The Legal Chamber

Supreme Court Ends Confusion, Sets Uniform Rule for Accident Payouts

20Jan

By The Legal ChamberNo Comments

Supreme Court

Supreme Court Ends Confusion, Sets Uniform Rule for Accident Payouts

The Supreme Court held that the application of a "split multiplier" in motor accident compensation cases is impermissible. Relying on the structured formula from Sarla Verma and Pranay Sethi, the Court ruled that compensation must be calculated using a single multiplier based solely on the victim's age, as superannuation does not constitute an exceptional circumstance justifying a deviation from this settled method. Facts Of The Case: On 3rd August 2012, T.I. Krishnan, aged 51, died in a road accident on the Pala-Thodupuzha Road when his car was hit by a rashly driven bus. His surviving family—his wife and children—filed a claim petition before the Motor Accidents Claims Tribunal (MACT), Pala, seeking compensation. The Tribunal, in April 2014, awarded approximately ₹44 lakhs, determining...

Understanding the Supreme Court’s Verdict on Interstate Bus Permits and State Schemes

19Jan

By The Legal ChamberNo Comments

Supreme Court

Understanding the Supreme Court’s Verdict on Interstate Bus Permits and State Schemes

The Supreme Court ruled that an inter-state reciprocal transport agreement under Section 88 of the Motor Vehicles Act, 1988, does not override an approved nationalization scheme under Chapter VI. A notified route for a State Transport Undertaking prevails, prohibiting private operators from plying on any overlapping portion, even if part of an inter-state route. Facts Of The Case: The case centered on disputes arising from an Inter-State Reciprocal Transport (IS-RT) Agreement of 2006 between Madhya Pradesh (MP) and Uttar Pradesh (UP). The agreement reserved certain inter-state routes for the Madhya Pradesh State Road Transport Corporation (MPSRTC). After MPSRTC reportedly stopped operations, private operators obtained temporary permits from MP's transport authority to p...

Landmark Ruling Protects IP Owners: Supreme Court Says Continuous Infringement Creates Inherent Urgency

4Jan

By The Legal ChamberNo Comments

Supreme Court

Landmark Ruling Protects IP Owners: Supreme Court Says Continuous Infringement Creates Inherent Urgency

This Supreme Court judgment clarifies that under Section 12A of the Commercial Courts Act, a suit alleging continuing infringement of intellectual property rights inherently contemplates urgent interim relief. The Court held that mere delay in filing the suit does not negate urgency, as each ongoing act of infringement causes immediate and irreparable harm, and public interest in preventing market deception also factors into the assessment. Facts Of The Case: The appellant, a Danish company named Novenco Building and Industry A/S, held patents and design registrations in India for its industrial fans sold under the brand ‘Novenco ZerAx’. It had entered into a dealership agreement with respondent No. 1, Xero Energy Engineering Solutions Pvt. Ltd., in 2017. The appellant later discov...

Supreme Court Explains Why: Can’t File Contempt in Supreme Court for Violating High Court Order

29Dec

By The Legal ChamberNo Comments

Supreme Court

Supreme Court Explains Why: Can’t File Contempt in Supreme Court for Violating High Court Order

This Supreme Court judgment clarifies that the doctrine of merger is not of universal application. It holds that where the Supreme Court permits withdrawal of an intra-court appeal, the parties revert to the status under the original High Court Single Judge order. Consequently, contempt for its violation lies before the High Court, not the Supreme Court. Facts Of The Case: The petitioner, M/s Khurana Brothers, initially challenged an order of a Single Judge of the Uttarakhand High Court by filing an intra-court appeal before a Division Bench. While the Division Bench dismissed this appeal, it made certain observations that, according to the petitioner, worsened its legal position compared to the Single Judge's order. The petitioner then sought and was granted leave to appeal to t...

Supreme Court: Long Judgment Isn’t a Flaw If Quashing is Justified, Dismisses Telangana’s Plea

22Nov

By The Legal ChamberNo Comments

Supreme Court

Supreme Court: Long Judgment Isn’t a Flaw If Quashing is Justified, Dismisses Telangana’s Plea

The Supreme Court upheld the High Court's order quashing criminal proceedings, emphasizing that the FIR and complaint failed to disclose a cognizable offense against the accused. The Court found the allegations vague, unsubstantiated, and lacking any material to connect the accused to the crime, making the case unsustainable. Facts Of The Case: The case originated from a written complaint dated May 28, 2015, by a Member of the Legislative Assembly (MLA) to the Anti-Corruption Bureau in Hyderabad. He alleged that the fourth accused (A4), Jerusalem Mathai, had offered him Rs. 2 crores and a ticket to leave the country to abstain from voting in the upcoming Member of Legislative Council (MLC) elections. A subsequent paragraph in the same complaint mentioned a higher offer of Rs. 5 crores fr...

Simplifying the Supreme Court’s Order 37 Judgment: Why “Leave to Defend” is Mandatory

19Nov

By The Legal ChamberNo Comments

Supreme Court

Simplifying the Supreme Court’s Order 37 Judgment: Why “Leave to Defend” is Mandatory

The Supreme Court held that in a summary suit under Order XXXVII CPC, a defendant cannot file a defence without first obtaining "leave to defend" from the court. Permitting a reply to a summons for judgment bypasses this mandatory procedure, which effaces the fundamental distinction between a summary suit and an ordinary suit. The Court set aside the impugned order for this procedural deviation. Facts Of The Case: The case originated from a commercial summary suit filed by the appellant, Executive Trading Company, to recover a sum of over Rs. 2.38 crore from the respondent, Grow Well Mercantile. The suit was instituted under the special fast-track procedure of Order XXXVII of the Civil Procedure Code (CPC). After the defendant entered appearance, the plaintiff served a "summons for judgm...

No Interest on Delayed Payment Clause: Supreme Court Explains Its Limits

9Oct

By The Legal ChamberNo Comments

Supreme Court

No Interest on Delayed Payment Clause: Supreme Court Explains Its Limits

This Supreme Court judgment clarifies that a contractual clause merely barring interest on delayed or disputed payments does not, by itself, expressly or by necessary implication prohibit an arbitral tribunal from awarding pendente lite interest. The power to award such interest under Section 31(7)(a) of the Arbitration and Conciliation Act, 1996, is only denuded if the agreement contains a clear and comprehensive bar. Facts Of The Case: The dispute arose from an arbitral award dated 21.11.2004, which directed the appellant, Oil and Natural Gas Corporation Ltd. (ONGC), to pay a total sum of USD 6,56,272.34 to the respondent, M/s G & T Beckfield Drilling Services Pvt. Ltd., for outstanding invoices and other claims. The arbitral tribunal rejected ONGC's preliminary objection to the ma...

Supreme Court Ruling : Businesses Take Note ,Email Exchanges Can Create a Binding Arbitration Agreement

29Sep

By The Legal ChamberNo Comments

Supreme Court

Supreme Court Ruling : Businesses Take Note ,Email Exchanges Can Create a Binding Arbitration Agreement

This Supreme Court judgment reaffirms that a valid arbitration agreement can be constituted through conduct and correspondence, without a signed contract. The Supreme Court held that if parties have demonstrably acted upon the terms of an unsigned agreement, they are bound by its arbitration clause, and a referral court need only conduct a prima facie review of the agreement's existence. Facts Of The Case: The dispute arose from a proposed contract for the sale of 6,000 metric tons of zinc metal between Glencore International AG (Appellant) and Shree Ganesh Metals (Respondent No.1). The terms were negotiated via email, and Glencore sent a formal contract (No. 061-16-12115-S) incorporating an arbitration clause, which it signed. The Respondent, however, never signed this document. Despite...

Supreme Court Returns Children to Adoptive Parents, Prioritizes Family Bonds Over Procedure

13Sep

By The Legal ChamberNo Comments

Supreme Court

Supreme Court Returns Children to Adoptive Parents, Prioritizes Family Bonds Over Procedure

The Supreme Court ruled that removing children from their adoptive parents violated the principle of the child's best interest, a cornerstone of juvenile justice law. Invoking Article 142 to ensure complete justice, the Court ordered the children's immediate return, prioritizing family bonds and rehabilitation over procedural non-compliance in adoption. Facts Of The Case: In a series of connected cases, multiple sets of appellants from Andhra Pradesh and Telangana claimed to be the adoptive parents of minor girls. They had adopted the children, ranging from two days to twenty days old, directly from the biological parents between 2021 and early 2024 under the provisions of the Hindu Adoptions and Maintenance Act, 1956. However, on May 22, 2024, police authorities forcibly took custody of...

Supreme Court Upholds Rape Conviction, Rules Victim’s Testimony Alone Is Enough

5Sep

By The Legal ChamberNo Comments

Supreme Court

Supreme Court Upholds Rape Conviction, Rules Victim’s Testimony Alone Is Enough

The Supreme Court upheld that a rape conviction can be based solely on the sole, credible testimony of the prosecutrix. Corroboration through medical evidence is not a legal necessity. The absence of injuries does not disprove the offense, especially when the victim's account is consistent and inspires confidence. Facts Of The Case: On April 3, 2018, at approximately noon, a 15-year-old victim and her 11-year-old brother were alone at their home in Rajnandgaon, Chhattisgarh, as their parents had gone to a nearby village to attend a funeral. The appellant-accused, Deepak Kumar Sahu, who was known to the family and lived in the neighbourhood, entered the house. Finding the victim alone, he sent her younger brother away to buy chewing tobacco. Once the brother left, the accused forced the v...