statutory override - The Legal Chamber

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...

The Supreme Court held that tariff fixation for port facilities is a technical and expert-driven function, best adjudicated by specialized bodies like TAMP. It emphasized that contractual agreements cannot override statutory tariff-setting mechanisms under the Major Port Authorities Act, 2021. The Court remanded the matter to TAMP for fresh determination, underscoring the need for expert appraisal of tariff revisions and compliance with natural justice. Facts Of The Case: A bilateral agreement was executed in 1985 between Paradip Port Trust (now Authority) and Paradeep Phosphates Ltd. (PPL), then a public sector unit, for the exclusive use of a captive fertilizer berth. The agreement stipulated a tariff schedule, with a clause for future mutual enhancement. In 1993, the Port unilaterally...

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