JurisKnowledge

INTERPRETATION OF STATUTES
Summary View

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INTERPRETATION OF STATUTES – AS PER MY UNDERSTANDING
PAPER – 1 Interpretation of Statutes (Paper Code : K-6001)

The course shall comprise of the following :

1. Introductory: Meaning, Purpose and Scope of Interpretation of Statutes; Nature of Statutes and their
classification
2. Internal Aids to Interpretation: Title, Preamble; Headings and Marginal Notes
3. External Aids to Interpretation; Parliamentary History; Stare Decisis (Judicial Precedents); Dictionaries
4. Rules of Statutory Interpretation: Primary (Basic) rules; Secondary (Subsidiary) Rules; Literal Rule; Golden
Rule; Mischief Rule
5. Judicial Activism: Nature and Scope
6. Presumptions in Statutory Interpretation: Presumption as to Jurisdiction; Presumption as to Prospective
Operation of Statutes; Presumption Against Violation of International Law.
7. Maxims of Statutory Interpretation: Ejusdem Generis; Expressio Unius Est Exuclusio Alterius; Ut Res Magis
Valeat Quam Paraet, Noscitur a sociis, Raddendo singular singulis
8. Interpretation with reference to the subject Matter and purpose of Statutes: Penal Statutes; Taxing Statutes;
Welfare Legislation; Prospective and Retrospective operation
9. Principles of Constitutional interpretation: Harmonious construction; Doctrine of Pith and Substance;
Doctrine of Colourable Legislation; Occupied Field; Repungancy

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INTERPRETATION OF STATUTES – LAST YEAR QUESTION PAPERS
2018 - Interpretation of Statutes - Questions 2017 - Interpretation of Statutes - Questions

Part A: (4 marks each. Attempt all questions) Part A: (4 marks each. Attempt all questions)

Q1. What are the different parts of a Statute? Q1. Social welfare Legislation
Q2. What are the strict construction and penal construction of statutes? Q2. Proviso
Q3. Explain the distinction between proviso and exception.
Q3. Law and Social change
Q4. To what extent precedent can be used as an aid to the interpretation of statutes
Q4. Identical expressions to have same meaning
Q5. What is the beneficial and restrictive construction?
Q5. Retrospective effect of criminal laws.
Part B: (10 marks question. Attempt any 2)
Part B: (10 marks question. Attempt any 2)
Q6. Evaluate the role of illustration and explanation in interpretation of Statutes.
Q6. What do you understand by the rule of "Ejusdem Generis"
Q7. Explain the rule of Ejusdum Generis
Q7. Explain the rule of "Harmonious Construction"
Q8. Explain the meaning of Constitution
Q8. Explain the doctrine of "Pit and Substantce"
Part C: (20 marks question. Attempt any 3)
Part C: (20 marks question. Attempt any 3)
Q9. Is there any difference in approach between the construction of deeds and statues?
State the general principles of construction of wills. Q9. What do you mean by "Interpretation of Statutes"?
Q10. Explain the scope and nature of legislative delegation. Is there any limit to
Q10. Explain the value of external aids in the construction of Statutes.
delegated legislation.
Q11. What is the "Golden Rule of Interpretation"? Why it is also called the modifying rule? Discuss
Q11. What are the presumptions in favour of constitutionality of a statute? What are the
effects of constitutionality?
with case laws.

Q12. Can a statute operate retrospectively, state the general principles and discuss the Q12. What do you understand by the strict-construction of penal statutes? Explain with the help of
circumstances under which retrospective operation of statutes is permissible? decided cases.

Q13. What is meant by mischief rule? Explain with the help of recent Indian cases? Q13. Discuss the rules of Interpreting the Indian constitution.

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1.Introductory:
- Meaning, Purpose and Scope of
Interpretation of Statutes;
- Nature of Statutes and their classification

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GENERAL DEFINITIONS

Proviso
A condition, stipulation, or limitation inserted in a document.
A condition or a provision in a deed, lease, mortgage, or
contract, the performance or non-performance of which
affects the validity of the instrument. It generally begins with the
word provided.
A proviso clause in a statute excepts something from statutory
requirements, qualifies the statute, or excludes some potential
area of misinterpretation.

Exception Constitution
The act of excepting or excluding from a number designated or
from a description; that which is excepted or separated from The fundamental law, written or unwritten, that establishes the
others in a general rule or description; a person, thing, or case character of a government by defining the basic principles to
specified as distinct or not included; an act of excepting, which a society must conform; by describing the organization of
omitting from mention, or leaving out of consideration. Express the government and regulation, distribution, and limitations on
exclusion of something from operation of contract or deed. An the functions of different government departments; and by
exception operates to take something out of a thing granted prescribing the extent and manner of the exercise of its
that would otherwise pass or be included. sovereign powers.

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MEANING OF INTERPRETATION OF STATUTES
Statutory interpretation in its broadest sense is the process of determining the true meaning of a written document. Interpretation is
necessary when case involves subtle or ambiguous aspects of a statute.
Courts may be called upon to interpret a statute due to disputes over the meaning of a word or phrase contained within a statute.
These disputes may arise through a variety of reasons:

1. The draftsman may refrain from using certain words that he or she regards as necessarily implied. The problem here is that the
users may not realize that this is the case.
2. The draftsman may use a broad term (“a word or phrase of wide meaning”) and leave it to the user to judge what situations fall
within it.
3. Ambiguous words may be used.
4. There may be unforeseeable developments.
5. There are many ways in which the wording may be inadequate. There may be a printing error, a drafting error or another error.

A judge is then forced to resort to documentation of legislative intent, which may also be unhelpful, and then finally to his or her own
judgment of what outcome is ultimately fair and logical under the totality of the circumstances.

Types of Interpretation

Legal Interpretation Doctrinal Interpretation

Authentic and Usual Grammatical and Logical

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NEED / PURPOSE FOR INTERPRETATION

Need / Purpose for

Interpretation

2.Change in the
1. The ambiguity of
environment: 5.Drafting error: 6.Incomplete rules:
the words used in the 3.Complexities of the 4.When legislation
statute: We all know that statutes: doesn’t cover a The draft may be There are few implied
society changes from specific area: made without rules and regulations
Sometimes there will usually statutes are
time to time and sufficient knowledge and some implied
be words that have complex and huge, it Every time when
there may be new of the subject. It may powers and privileges
more than one contains complicated legislations are out it
developments also happen due to which are not
meaning. And it may words, jargon and doesn’t cover all the
happening in a the lack of necessary mentioned in the
not be clear which some technical terms area it leaves some
society that is not words and correct statute and when
meaning has to be which are not easy to grey areas and
taken into grammar. This makes these are not defined
used. There could be understand and this interpretation helps in
consideration, this the draft unclear and properly in the statute
multiple complexity may lead bridging the gaps
lacks the creates ambiguity in this leads to
interpretations made to confusion. between.
predictability of the the legislature. ambiguity.
out of it.
future event.

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DEFINITION CLAUSE

Types / Categories of
Definition

1. RESTRICTIVE DEFINITIONS 2. EXTENSIVE DEFINITION

A restrictive definition means that When the word defined contains 3. EXHAUSTIVE DEFINITION 4. AMBIGUOUS DEFINITIONS
the meaning so defined in the ‘include’ in the meaning, the A definition using ‘mean and There are definitions that are
statute for a particular word has a definition is extensive in nature. include’ is considered as ambiguous in itself. This happens
very restrictive ambit, so much so
In case of an extensive definition, exhaustive. This means that the when the definition itself is not clear
that its meaning cannot go beyond
the definition of the word has the definition will embrace only what is as to its scope and meaning and
what has been defined. There is
scope and ambit to go beyond compared within the ordinary there requires further interpretation
nothing that can be included in the
what has been stated and it also meaning of the ‘means’, together of those words or phrases in order to
meaning beyond what has been
gives the scope to interpret and with what is mentioned in the understand or make it applicable to
stated. There is seldom any scope
incorporate as to what all can be ‘includes’ part of the definition. a certain case.
for interpretation in case of a
restrictive definition. included in that definition.

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CLASSIFICATION OF STATUTES
A Statute is a formal written enactment of Legislative authority that governs a country, state, city or county. Typically Statutes command or prohibit
something, or declare Policy, the word is often used to distinguish law made by legislative bodies from the judicial decisions of the common law and the
regulations used by government agencies.
A statute may generally be classified with reference to its duration method, object, and extent of application.

Classification of
Statutes

B. Classification
A. Classification C. Classification
with reference
with reference with Reference
to Nature of
to duration to Object
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operation
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CLASSIFICATION OF STATUTES
A Statute is a formal written enactment of Legislative authority that governs a country, state, city or county. Typically Statutes command or prohibit
something, or declare Policy, the word is often used to distinguish law made by legislative bodies from the judicial decisions of the common law and the
regulations used by government agencies.
A statute may generally be classified with reference to its duration method, object, and extent of application.

B. Classification
A. Classification
with reference to
with reference to
Nature of
duration
operation

Permanent
Prospective Retrospective
Temporary Statute Statute/Perpetual Directory Statute Mandatory Statute
Statutes Statute
Statute

A temporary Statute is In simple words, it is A Statute which Every Statute takes away Directory statutes merely Mandatory Statutes
one where its period of operates upon act or impairs vested rights direct or permits
perpetual when no acquired under the existing he is one which
operation or validity has and transactions anything to be done
been fixed by the time is fixed for its laws or creates new
without compelling its
compels
duration and such which have not obligations into a new duty performance of
statute youth itself. A performance. It is
occurred when the or attaches new disability
statute is temporary statute remains in in respect of transactions generally affirmative in certain things or
when its duration is only statutes take effect,
force until it's repeal or considerations already its terms recommends a compels that a
for a specified time and that is which regulates certain act or omissions,
which may be the future is
passed are deemed certain thing must
it expires on the expiry of retrospective or retroactive but it does not impose
the specified time unless express or implied. prospective Statutes. statutes. the penalty on non-
be done in a
it is repealed earlier. observance of its certain manner or
provisions. form.
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CLASSIFICATION OF STATUTES
A Statute is a formal written enactment of Legislative authority that governs a country, state, city or county. Typically Statutes command or prohibit
something, or declare Policy, the word is often used to distinguish law made by legislative bodies from the judicial decisions of the common law and the
regulations used by government agencies.
A statute may generally be classified with reference to its duration method, object, and extent of application.

C. Classification with Reference

to Object

Curative for
Codifying Consolidating Remedial Enabling Disabling Explanatory Amending Repealing
Penal Statute Taxing Statute Validating
Statute Statute Statute Statute Statutes Statute Statute Statute
Statute

A Codifying Consolidating The remedial Enabling This type of A Penal statute A taxing An explanatory It is a statute A Repealing It is passed to cure
defects in the prior
Statute is one statute is one statute is one statutes are statutes restricts is one which statute is one statute is one which makes statute is one law and to
which Codifies which whereby new statutes which or cut down a punishes which imposes which explains and addition to which repeals validate legal
the law. The consolidates favor or a new enlarges the right conferred certain acts or taxes on a law or operates to an earlier proceedings,
code contains the law on a remedy is common law by the wrong. income or change the statute. instruments or act
of public and
the pre-existing particular conferred. where it is too common law. Examples - certain other original law as private
provision in subject at one strict or narrow. An Act Indian Penal kinds of to effect administrative
different place; it It is a statute restraining a Code1860, transactions. It improvement powers which in
the absence of
statutes on the collects all which makes it common law Arms Act 1959, may be in the or more which statute
subject as well statutory lawful to do right is a Prevention of form of income effectively would be void for
as the enactments on something disabling Act. Food tax, wealth tax, carry out the want of
common law a specific which would Adulteration gift tax, sales purpose of for conformity with
existing level
on it subject and not otherwise Act 1954 etc. tax etc. which the requirements but
gives them the be lawful. original law which would have
shape of one was passed. been valid if the
Statute has so
statute with provided at the
minor time of enacting.
amendments if
necessary.

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2. Internal Aids to Interpretation:

- Title, Preamble;
- Headings and Marginal Notes

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INTERNAL AIDS TO INTERPRETATION
Judges while interpreting a statute takes many things into consideration. Determining the primary meaning of the statutory words. And
where there is ambiguity in the meaning of the words in the statute. Answers to the many questions of ambiguity will be there in the
statute itself. Those are called ‘Internal Aids’.

Short Title:
Preamble:
Long title: Definitional/Interpretation Clauses:
Usually, the short title is used for the
purpose of referring and The main aim and objective of the Definition clause is used to define
identification of any Act. it ends act is found in the preamble of the Heading and Title of a chapter: all the important terms and to
Every statute starts with the long Marginal Notes:
with the year of the passing of the statute. All the Acts starts with the avoid the necessity of frequent
title, it gives the description of the repetitions in describing the same
Act. This is one of the important part preamble, stating the reasons Heading gives the key to the
object of that Act. Marginal notes are inserted at the subject matter to which the word or
of the statute but its role in behind the enactment of the act interpretation of the clauses under
interpretation is very minimum. and the main objective of the act. side of the section and help to expression defined is intended to
it and helps to know what the intent apply.
For example, the long title of the understand the effect of the
of the provision. Headings might be
Code of Civil Procedure, 1908, is – section. This cannot be used for
For example, Section 1 of the Code For example, the Preamble of the treated as the preamble to the
“An Act to consolidate and amend interpretation of the section.
of Civil Procedure, 1908, says –“This Indian Penal Code, 1860, is provision. Definition clause of one particular
the laws relating to the procedure Act is applied only on the particular
Act may be cited as the Code of “Whereas it is expedient to provide
of the Courts of Civil Judicature”. Act, not on any other Acts.
Civil Procedure, 1908. It shall come a general Penal Code for India; it is
into force on the first day of enacted as follows”.
January 1909.”

Proviso:
Proviso provides examples of specific Explanations: Schedules:
cases. These specific examples are given
to such cases where general words Punctuation:
Illustrations: require special meaning for it. Explanations are added to the The schedule forms an important
‘Exception’ is intended to restrain the section to explain and elaborate on part of the statute. This should be
Punctuation is one of the minor
enacting clause to particular cases. the meaning of the words in the read along with the section. It
Illustrations are the examples given element of the statue. It should be
‘Proviso’ is used to remove the special section. The purpose behind this contains minute details which adds
in the statutes for a better given importance only when there is
cases of the general enactment and give explanation is to explain, clarify, information to the provisions of the
understanding of the section. proper punctuation used and when
them special recognition. subtract or include something by enactment. The expressions of the
there is no doubt about its meaning.
‘Saving Clause’ is used to protect the elaboration. This forms an important schedule cannot override the
destruction of certain rights, privileges part while interpreting the laws. meaning of the provision.
and remedies already existing.

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3. External Aids to Interpretation;

- Parliamentary History;
- Stare Decisis (Judicial Precedents);
- Dictionaries

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EXTERNAL AIDS TO INTERPRETATION
When internal aids that are preamble, explanation, illustrations, etc. are inadequate for the purpose of interpretation, Judges may
take external aids into consideration. When the words of the Act are clear and unambiguous, the external aids are not required.

Social, Political and

Reference to Reports of Judicial Decisions Economical and Scientific
Committees: Developments:
(Precedents):
The reports made by the Dictionary: When the statute is being
Historical Background: various committees during the
interpreted it should
enactment of the legislation Every enactment made by
can be referred as it gives consider the present system
the parliament is based on When the meaning of the in society. It should take into
more clarity to the words and
This includes the original some or other case, so by word is not clear in the consideration the changes
also helps us to understand the Other materials:
idea of drafting such an intention behind the act, by referring to the previously statute, the meaning of in the situations and
Act. The reason behind this, we can figure out what giving judgments by the those words can be figured circumstances which have
enacting such laws the was the defect or mischief higher courts helps us to by looking into the occurred after the Courts can also refer to the
cases which influenced the which was present in the analyze and form laws. dictionary. And there are implementation of any act. books, journals, papers,
parliamentarians to bring previous law. These judgements may be certain words which have a And most importantly the articles which are published
out such laws. It also When parliament passes the Indian judgements or different legal definition and changes in the social by the eminent scholars
includes the debates made enactment based on the foreign judgements. Foreign common English definition, conditions and the scientific who are expert in that field.
during passing the laws. committee report and there is decisions can be taken into so whenever we are looking changes in terms of
And the first-hand hand any confusion or ambiguity in consideration when other for the legal meaning of technology should be given
information collected while the terms of the statute that countries also follow the any word it is good to
can be easily clarified by
at most importance. When
making the laws. same system of search that in the black court starts doing this kind of
referring that committee jurisprudence. But the dictionary.
reports and it helps in the interpretation this helps the
interpretation of the statute
priority should be given to legislature to bring out the
very efficiently. the Indian judgements. new amendments for the
statute.

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4. Rules of Statutory Interpretation:

- Primary (Basic) rules;
- Secondary (Subsidiary) Rules;
- Literal Rule;
- Golden Rule;
- Mischief Rule

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RULES OF INTERPRETATION
Statutory interpretation is therefore an exercise carried out by the court, with the aid of rules and procedures that are intended to
decipher ambiguous and vague legislation. In determining the actual meaning of the legislation, judges may use rules of interpretation
which the court will employ to determine the intention of the statute. The courts also rely on rules of language and materials to assist in
statutory interpretation.
The primary rule is to interpret words as they are. It should be taken into note that the rule can be applied only when the meanings of
the words are clear i.e. words should be simple so that the language is plain and only one meaning can be derived out of the statute.

Rules of
Interpretation

Secondary
Primary Rules
Rules

Optima
Rule of Rule of Reddendo Expressio Unius
Rule of Literal Ejusdem Noscitur a Contemporan Legum
Reasonable Golden Rule Harmonious Mischief Rule Singula Est Exclusio
Interpretation Generis sociis ea Expositio Interpres
Interpretation Construction Singulis Alterius
Consuetudo

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RULE OF LITERAL INTERPRETATION
The starting point where the courts are interpreting legislation is in the statute natural meaning, the Literal rule. The court considers what
the legislation is actually saying rather than considering what it might mean. Therefore the words in the legislation takes their literal
meaning which involves the use of plain, ordinary, literal, grammatical meaning. Words in the statute can result in a undesirable
outcome. In other words, the law must be read, word for word, and it should not divert from its true meaning.

Advantages of Literal Disadvantages of Literal

Interpretation Interpretation

There can be a
Provides no scope Fails to recognize Undermines
Upholds the disagreement as
Restricts the role for judges to use Creates loopholes the complexities public
separation of to what amounts Lead to injustice
of the judge their own opinions in the law and limitation of confidence in the
power to the ordinary or
or prejudices English language law
natural meaning

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GOLDEN RULE
The Golden rule is also called as British rule of interpretation, it is a form of statutory interpretation which allows a judge to depart from a normal meaning of the word in order to
avoid an absurd result. If the court applies the Literal rule and there was no decision, they will apply other rules of statutory interpretation. One is the Golden rule, which seeks to
apply a reasonable and rational result. Where the statute was passed to remedy a weakness, the interpretation will correct that weakness making complex cases easier to
understand.
This rule is used in two main situations:
1.When the meaning of the word is too narrow.
2.When the word itself has ambiguity or absurdity.

This method of interpretation is also known as the compromise method between literal rule and the mischief rule. In the literal rule, judges will only use the word meaning nothing
else, but sometimes this may be irrational and gives us unexpected results which will be unlikely to the legislator’s intention.

Advantages of Golden Rule Disadvantages of Golden Rule

Decisions are Judges are unable

Errors in drafting can to change or add Judges have no
generally more in Often gives a more Bring common sense
be corrected Closes loopholes. meaning to statutes power to intervene
line with Parliament’s just result. to the law.
immediately and thereby for pure injustice
intention.
become law makers where there is no
infringing the absurdity.
separate of power.

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MISCHIEF RULE
The mischief rule is a kind of statutory interpretation where it attempts to determine the intention of the legislators. This rule is also called as purposive
construction as there is a purpose behind making this ruling. Here court attempts to know the intention of the legislators for bringing in the change in the law.
It also tries to analyze the mischief and the defect which was present in the previous law which leads to the creation of the new law.

The main purpose of bringing the amendments in the statute is to add on additional areas or to make certain changes in the existing law and make it wider
where it covers many other circumstances.

Disadvantages of
Advantages of Mischief Rule
Mischief Rule

It is considered as an Gives excess power to the

Law commission finds
•It avoids unjust and outdated rule as it came judiciary who are
mischief rule more This makes the law
absurd results in into the picture in the 16th unelected and it is
efficient as it opposed to uncertain.
sentencing. century. considered
Literal and Golden rule.
undemocratic.

In the 16th century, the

kings used to give
judiciary complete power
to draft laws so at that
time they were well
qualified about the
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5. Judicial Activism:
- Nature and Scope

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JUDICIAL ACTIVISM - DEFINITION
Judicial Activism occurs when judges fail to apply the constitution or laws impartially according to their original public meaning, regardless of the outcome,
or do not follow binding precedent of a higher court and instead decide the case based on personal preference.
Judicial Activism believes that judges assume a role as an independent policy makers or independent trustees on behalf of the society that goes beyond
their traditional role as interpreters of the constitution and law.
Origin of the term “Judicial Activism”: It was introduced by Arthur Schlesinger Jr. in January 1947 in his article titled “The Supreme Court: 1947”

Case Law: Keshavananda Bharti v/s Govt. of Kerala (1973): Court held that a constitutional amendment duly passed by the legislature was invalid as
damaging and destroying the basic structure of the constitution. It was one of the finest and powerful case of Judicial activism.

When Judges start thinking they can solve all the problems
Justification for in society and start performing legislative and executive
Judicial functions (because the legislature and executive have in
their perception failed in their duties), all kinds of problems
Activism are bound to arise. Judges can no doubt intervene in
some extreme cases, but otherwise they neither have the
expertise nor resources to solve major problems in society.

Vacuum Filling Social Wants/Needs

(Judiciary fills the vacuum created by the (When there are loopholes in legislature,
inactivity, incompetence, negligence or judiciary takes on the role of legislature to
corruption amongst the other two organs of take care of social needs / wants, which are
democracy (Legislative and Executive) ignored by the Legislative

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JUDICIAL ACTIVISM AND CONSTITUTION OF INDIA

Provisions in the Indian Constitution which

directly or indirectly related to Judicial
Activism

Article 13:
Power of Article 131: Article 136:
Article 32: Article 226: Article 141:
“Judicial Power to Article 132: Power to Article 142:
Writ Writ Authority to
Review” decide Constitution grant Power to do
Jurisdiction Jurisdiction make final
(Explained Inter- al Appellate special complete
of Supreme of High declaration
in detail on government Jurisdiction leave to justice
Court Court of law.
the previous al disputes. appeal
slide)

Article 133: Article 134:

Civil Criminal
Appellate Appellate
Jurisdiction Jurisdiction

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JUDICIAL ACTIVISM AND PIL (PUBLIC INTEREST LITIGATION)
Development of PIL has provided significant aid in making the judicial activism meaningful. On account of this type of litigation the court has found chance
to give directions in public interest and enforce the public duties.

The essential aspect of a genuine PIL is that the person who moves the court has no personal interest in the outcome of the proceedings apart from a
general standing as a citizen before the court. It is a powerful instrument to preserve the rule of law and to ensure the accountability of and transparency
within structures of governance.

Case Law: A.K. Gopalan v/s State of Madras (1950): Supreme court rejected the Case Law: Vishaka v/s State of Rajasthan: Petition originated from a gang rape
argument that to deprive a person of his life or liberty not only the procedure of a grassroots social worker. Court invoked the text of convention for the
prescribed by law for doing so must be followed but also that procedure must elimination of all forms of discrimination against women and framed guidelines
be fair, reasonable and just. for establishing redressal mechanisms to tackle sexual harassment of women at
workplace.

Case Law: Hussainara Khatoon v/s State of Bihar: Series of articles published by Case Law: Sun Film Case: Supreme court in 2012 prohibited the use of tinted
Indian express which exposed the plight of under trial prisoners in the state of glass or sun films on the windshields and windows that restricted the vision
Bihar. The Supreme court accepted the locus standi of the advocate to beyond permissible limit fixed under Motor Vehicle Act 1989. Tinted vehicles
maintain the writ petition, gave directions through which “right to speedy trial” were used by criminals to escape after committing crimes such as sexual
was highlighted assault, robbery etc.

Case Law: National Anthem Case: Supreme court ruled that all cinema halls
shall play the national anthem before a film starts and that all shall stand up.
Case Law: Parmanand Katara v/s Union of India: The court held that no
medical authority can refuse to provide immediate medical attention to a
patient in need of an emergency case. Supreme court ruled that access to Case Law: Liquor stop case: Supreme court gave directions to the state
healthcare, is a justifiable right. government NOT to grant licenses for alcohol shops which appear on the
highway.

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JUDICIAL REVIEW
Judicial review is a doctrine under which legislative and executive actions are subject to review (and possible invalidation) by the
Judiciary.
Article 13: Power of “Judicial Review” and its effect thereof. It ensure that the fundamental rights cannot be infringed by the state
either by enacting a law to that effect or through an administrative action. It declares that all pre-constitution laws shall be void to the
extent of their inconsistency with the fundamental rights and expressly provides that the State shall not make any law which takes
away or abridges the fundamental rights and a law contravening a fundamental right is, to the extent of such contravention is void.

Scope of Judicial
Reviews

Ensure the
To Rule on
Ensure Fairness in Fundamental Rights
questions of
Administrative are protected and
legislation between
Action guaranteed to the
Center and State
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JUDICIAL RESTRAINT
Judicial restraint is judges restraining themselves from going beyond the scope of law defined by the legislative. The concept relies on uniform adherence to
case law. Judicial restraint is considered the antonym of judicial activism. Judges who practice judicial restraint hand down rulings that strictly adhere to the
“original intent” of the Constitution. Their decisions also draw from stare decisis, which means they rule based on precedents set by previous courts.

When a judge favoring judicial restraint approaches the question of whether a law is constitutional, they tend to side with the government unless the
unconstitutionality of the law is extremely clear.

The courts should hesitate to use judicial review to promote new ideas or policy preferences. In short, the courts should interpret the law and not intervene in
policy-making.

Judicial Restraint:
Judges should
always try to
decide cases on
the basis of:

1. The original
2. Precedent – past 3. The court should
intent of those who
decisions in earlier leave policy
wrote the
cases. making to others.
constitution.

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JUDICIAL ACTIVISM VS. JUDICIAL RESTRAINT
Judicial Activism Vs. Judicial Restraint
• Judicial Activism lets judges look beyond the • Judicial Restraint let’s judges look at the
intent original intent of the framers original intent of the writers of the
constitution.
• Judicial Activism intends to focus on orders
by courts as the means to enforce policy. • Judicial Restraint looks at changing the laws
by means of constitutional amendments
• Judicial activism is the interpretation of the
constitution to advocate contemporary • Judicial restraint is limiting the powers of the
values and conditions. judges to strike down a law
• Judicial activism, it gives the power to • Judicial restraint helps in preserving a
overrule certain acts or judgments. balance among the three branches of
government, judiciary, executive, and
legislative. In this case, the judges and the
court encourage reviewing an existing law
rather than modifying the existing law.

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6. Presumptions in Statutory Interpretation:

- Presumption as to Jurisdiction;
- Presumption as to Prospective Operation of
Statutes;
- Presumption Against Violation of International
Law.

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PRESUMPTIONS
• Presumptions in interpretation are guidelines used by courts in the process of interpretation.
Presumptions are made by certain assumptions made by the Courts. They are used only as a starting
point.
• Presumptions are more like conclusions. It is believed that presumptions are only used if there are any
ambiguities in language; however they can be used either of the times.
• The courts can make certain presumptions/assumptions about the Law. However if the statute clearly
states the opposite to the presumption, it is void.

Types of Presumptions
Examples of Presumption:

- A presumption against the change in the common law.

- A presumption that mens rea is required in criminal cases.
- A presumption that the crown is not bound by any statute, unless specifically
stated so.
- A presumption that legislation does not apply retrospectively.
Presumptions of General
Application
(Presumptions that applies
to all legislation across the Specific Presumptions
board. As a result law
makers need not list each
such proceeding
Created in all bills)
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PRESUMPTIONS
Pre-Determined Presumption Circumstances Description
Presumption as to validity All Statutes are presumed to be valid, legal and
acceptable. They however can be rebutted by
producing evidence which should be legal and
admissible in the court of law.
Presumption as to nature / operation Statutes are territorial in nature. A statute has generally
effect only in the country enacted.
Presumption as to Jurisdiction Statute generally do not enlarge or decrease the
jurisdiction of any court. They should not be construed so
as to take away the jurisdiction of any superior court or to
extend the jurisdiction by giving right to appeal.
However, if there is any statute, expressly giving
jurisdiction to subordinate courts, tribunals it must be
strictly construed. When a jurisdiction is conferred, it is
implied that all powers are granted which is necessary
for execution.
Presumption against intended injustice Statutes are meant for the purpose of providing justice to
people and remove any injustice. However, there are
situations when the injustice is done by the statute itself.
For example, depriving a person from his property in the
name of larger public interest. In such cases, the person
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PRESUMPTIONS
Pre-Determined Presumption Circumstances Description
Presumption against what is inconvenient and absurd Any statute is presumed to be logical and reasonable in
its interpretation. They are not supposed to be causing
any inconvenience or absurdity by their interpretation.
The interpretation of any statute should be in the lines of
justice. For example, a statute is not supposed to deprive
anyone from his right to liberty unless it is required as per
the immigration laws; case scenario.
Also, statute cannot impose criminal liability without
proof of guilty intention; if done, it will be absurd in
nature.
Presumption against impairing obligation A statute does not repeal any other statute. Any point on
which statute leaves a gap / omission is outside the
scope of the statute. They do not alter the existing
common law. If the statute is capable to have multiple
interpretation, one altering the common law and the
other one not, then the latter will be used as
interpretation.
Presumption against retrospective operation A statute does not have retrospective effect to a date
earlier than its becoming law.

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DELEGATED LEGISLATION
The Constitution of India gives powers to the Legislature to delegate its functions to other authorities, to frame the policies to carry out the laws made by it.
Article 312 of the Constitution of India deals with the powers of delegated legislation.

Delegated legislation is important in the wake of the rise in the number of legislations and technicalities involved. At the same time with the rise in delegated
legislation, the need to control it also arises because with the increase in the delegation of power also increases the chance of the abuse of power.
The judicial control apart from the legislative and procedural control is the way how the delegation of power can be controlled. Thus, the delegated
legislation can be questioned on the grounds of substantive ultra vires and on the ground of the constitutionality of the parent act and the delegated
legislation.

Need For
Delegated
Legislation Criticism Of
Delegated
Legislation

The process of
delegated
legislation also It often covers
Reduces the Delegated legislation
Delegated legislation
plays a those situations subject to less
burden of generally suffers from
significant role in which have not Parliamentary scrutiny
already It enables authorities
It is against the spirit of than primary
a lack of publicity.
It allows the law an emergency been other than Legislation Since the law made
overburdened democracy as too legislation. Parliament,
to be made by situation since anticipated by to make and amend by a statutory
Legislature by laws thus resulting in
much-delegated therefore, has a lack
authority not notified
those who have there is no need the Parliament legislation is made by of control over
enabling the overlapping of to the public. On the
the required to wait for during the time unelected people. delegated legislation,
executive to functions.
and this can lead to
other hand, the laws
knowledge and particular Act to of enacting of the Parliament are
make or alter the inconsistencies in
experience. be passed legislation, which widely publicised.
law under the laws.
through makes it flexible
authority of
Parliament to and very useful
Legislature.
resolve the to law-making.
particular
situation.

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PRESUMPTION OF CONSTITUTIONALITY
The term ‘presumption of constitutionality’ is a legal principle that is used by courts during statutory interpretation.
• Statutory interpretation means the process by which courts interpret and apply a law passed by the legislature such
as Parliament.
• Presumption of constitutionality says that the judiciary should presume statutes enacted by the legislature to be
constitutional, unless the law is clearly unconstitutional or a fundamental right is implicated.
• The presumption is not absolute. It does not stand when there is a gross violation of the Constitution. Hence, there
are limitations to the doctrine.

Limitations to the doctrine:

A three-judge Bench in ‘NDMC v State of Punjab’ (1996) spoke of the limitations to the doctrine.
The Bench observed that the Doctrine is not one of infinite application; it has recognized limitations.
The Court has consistently followed a policy of not putting an unnatural and forced meaning on the words that have
been used by the legislature in the search for an interpretation which would save the statutory provisions.

When does this apply?

• It is a cardinal principle of construction that the Statute and the Rule or the Regulation must be held to be
constitutionally valid unless and until it is established they violate any specific provision of the Constitution.
• Further it is the duty of the Court to harmoniously construe different provisions of any Act or Rule or Regulation, if
possible, and to sustain the same rather than striking down the provisions out right.
• The presumption is not absolute, however, and does not stand when there is a gross violation of the Constitution.

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7. Maxims of Statutory Interpretation:

- Ejusdem Generis;
- Expressio Unius Est Exuclusio Alterius;
- Ut Res Magis Valeat Quam Paraet,
- Noscitur a sociis,
- Raddendo singular singulis

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EJUSDEM GENERIS
Ejusdem Generis means of the same kind. Generally, the words should be given their natural meaning, unless it requires special meaning based on that
context. When general words follow specific words that are distinct in nature, the general words should also be given the specific meaning to it.

The courts will interpret such general words follow specific words in a restricted way. It will be based on the facts and circumstances of the case which may
change case to case. The legislative intent on principle of Ejusdem Generis is if the general words to be used in the restricted sense that means those words
will be having a special meaning to it or else why would they even use specific words.

For example in an act dealing with the slaughter of animals for food for human consumption, the expressions used are “cows, goats, sheep, and other
animals”.

Basic Requirements
to be present for
applying “ejusdem
generis”:

5.The class or
1.The statue should 3.There should be 4.The series of the
2.The general term category should
contain an no different intent enumeration
should follow the not be exhausted
enumeration of of the legislature to should constitute a
specific term. by the enumeration
specific words. the general terms. class or category.
of specific words.

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EXPRESSIO UNIUS EST EXUCLUSIO ALTERIUS
It is a Latin phrase that says ‘Express Mention and Implied Exclusion’ that means
express mention of one thing excludes all other things. Here it is considered that
the items which are not on the list are not covered by the statute. When
something is expressly mentioned in the statute it leads to the presumption that
the things which are not specified in the statute are excluded.

- It is a maxim for ascertaining the intent of the legislature. Where the statutory
language is plain and has a clear meaning, there is no scope for applying this
rule.
- General words in a statute must receive a general construction unless the
statute is specifying any special meaning to the general words.
- Whenever something is added in the statute it is added with the due
consciousness.
- It is assumed that if something is not added in the statute there is a reason
behind it, which is to exclude that from the particular statute.

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UT RES MAGIS VALEAT QUAM PARAET
Ut Res Magis Valeat Quam Pereat is a legal maxim, used in India, with the following meaning: It is
better for a thing to have effect than to be made void, i.e., it is better to validate a thing than to
invalidate it.

The maxim is a rule of construction which literally means the construction of a rule should give
effect to the rule rather than destroying it .i.e., when there are two constructions possible from a
provision, of which one gives effect to the provision and the other renders the provision
inoperative, the former which gives effect to the provision is adopted and the latter is discarded.

Case Laws:
- Avtar Singh vs State of Punjab, AIR 1955 SC 1107 166 - Appellant was convicted of theft of
electricity under Section 39 of Electricity Act, 1990. He contented that the proceeding were
illegal because they were not initiated by any of the persons as mandated by Section 50 of the
act. It was held that under this principle, the requirement of Section 50 should be given effect.
- The landmark case of Indra Sawhney (2000), where the Supreme Court struck down the state
legislation as it was violative of constitution and ultra-vires of the legislative competency.

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NOSCITUR A SOCIIS
The principle of “Noscitur a Sociis” is a rule of construction. It is one of the rules of language
used by court to interpret legislation. This means that, the meaning of an unclear word or
phrase should be determined by the words immediately surrounding it. In other words, the
meaning of a word is to be judged by the company it keeps. The questionable meaning of a
doubtful word can be derived from its association with other words. It can be used wherever
a statutory provision contains a word or phrase that is capable of bearing more than one
meaning.

If two or more words which are capable of analogous meaning are grouped together, they
should be understood in cognate sense i.e. they take their color from each other and are
given a similar or related meaning.

The importance of this rule is it aims to interpret by reading the whole statute. It doesn’t
emphasize one particular word but it tends to interpret the word by looking into its preceding
and succeeding words. The words are understood in a cognitive sense and the intention of
the legislatures can be easily understood.

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RADDENDO SINGULAR SINGULIS
When a list of words has a modifying phrase at the end, the phrase refers only
to the last word, e.g., firemen, policemen, and doctors in a hospital. Here, "in a
hospital" only applies to doctors and not to firemen or policemen.

In simple words “reddendo singula singulis” means that when a list of words
has a modifying phase at the end, the phrase refers only to the last. It is a rule
of construction used usually in distributing property.

Another example: “If anyone shall draw or load any sword or gun, the word
draw is applied to sword only and the word load to gun only, the former verb
to former noun and latter to latter, because it is impossible to load a sword or
to draw a gun, and so of other applications of different sets of words to one
another.”

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CONTEMPORANEA EXPOSITIO EST OPTIMA ET FORTISSIMA IN LEGE
It is one of the best and the strongest way of interpretation. As time passes by
words used in the statute will undergo changes in their meaning but when it is
interpreted the word should bear its original and same meaning as the statute
intended when it was passed.

The meaning of the law should be interpreted in the context when the law
was formulated. Old statutes must be interpreted in such a way where that
defines its purpose of introducing it. And it also considers the prior usage and
interest or of enforcing the act at the time when the law was enacted.

If the word is wrongly interpreted for all these years those kinds of words will
not be eligible for interpretation. The words can only be interpreted by the
court when the title of the property may be affected or when everyday
transactions have been affected.

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8. Interpretation with reference to the subject

Matter and purpose of Statutes:
- Penal Statutes;
- Taxing Statutes;
- Welfare Legislation;
- Prospective and Retrospective operation

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RULE OF STRICT INTERPRETATION
Strict rule of interpretation is one of the principles used to interpret fiscal and
penal statutes.
According to this rule, plain, clear and direct meaning is given to words which
are used in common parlance by the general public to which such law is
applicable.

There can be no presumption by court with respect to particular meaning.

- Court cannot give particular meaning to a word which is not clear by
making a presumption that particular meaning is the intention of the
legislature.
- Court cannot under the guise of possible or likely intention of the legislature,
give meaning to the words which are not clear and where contextual
meaning cannot be made out.

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INTERPRETATION OF PENAL STATUTES
Penal statutes provide penalty for disobedience of laws making those who disobey
liable to imprisonment, fine, forfeiture or any other penalty as may be prescribed.
Penal statutes enforce obedience to the commands of law by punishing the law
breakers.

A statute providing for penal prosecution has to be construed strictly. Though this rule
Is not universal in nature; it depends upon case details. Penal provisions should be
construed in a manner which will suppress the mischief and advance the object
which the legislature had in view. The provisions of a penal statute cannot be
retrospectively applied.

In case of two interpretations: When there are two possible constructions, the court
must lean towards that construction which exempts the subject from penalty. It is not
competent to the court to stretch the meaning of an expression used by the
legislature in order to carry out the intention of the legislature.

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RULE OF INTERPRETATION APPLICABLE TO TAXATION STATUTE
Taxation statute is a fiscal statute which imposes the pecuniary burden on the taxpayer. So such statutes are
construed strictly. Plain, clear and direct grammatical meaning is given. Where there are two possible outcomes then
that interpretation is given which is in favour of assessee.

Taxation statute
involves three
stages:

Firstly, the subject on which Secondly, the assessment of Lastly, the recovery once the
tax is levied or imposed, the liability of assessee and assessment is made.

The first stage is where charging provisions of the act are involved. The second and third stage involved in any tax laws are assessment of the
These charging provisions must be clearly provided in the statute.
These charging provisions provide the extent and coverage of the
liability and recovery of dues respectively. These provisions are machinery
subjects as to whom the tax is applicable. It also provides the provisions which provides for technicalities and procedure to be followed under
outline in form of subjects which the legislature wants to cover the act to make it functional. These provisions are to be interpreted fairly and
under the law. Charging provisions are to be interpreted strictly as it
liberally to promote the intention of the legislature. In case of contradiction
results in financial burden. There cannot be any ambiguity and
meaning which is clear, obvious, direct is given. whereby two meaning are coming out then one which is reasonable, which will
Principal of equity has no role to play in case of taxation law. It is assist in fulfilling the intention of the legislature and solving the purpose for which
because there is lot of deeming legal fiction involved in tax laws. law was enacted is preferred. They are to be interpreted in such a way so as to
Thus, whatever is written must be strictly followed without
considering its justness. enforce and apply charging provisions smoothly.
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SOCIAL WELFARE LEGISLATION
Social Legislation is that branch of law which is an aggregate of laws relating to the various socio-economic condition of the people. It is a social institution that embodies
the social norms created on the initiative of a competent legislative agency. These laws are enacted keeping in view the needs of the time, the circumstances of the
nation and its socio-political ideals.
Social Legislations are needed to ensure social justice, bring about social reforms, promote social welfare, and to bring out the desired social change. Examples of Social
Legislations:
- Child Labor Act, 1986
- Protection of Civil Rights Act, 1995
- The Contract Labour Act, 1970
- Employees State Insurance Act, 1976
- Maternity Benefit (Amendment) Act, 2018

Objectives of
Social legislation

Safeguard rights of Eradication of

Removal of weaker section of traditional malpractices
Provision of social
discrimination based on society like children, and social evils such as
security
sex, religion, cast etc. women, elderly, widows untouchability, dowry,
etc. child marriage etc.

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PROSPECTIVE AND RETROSPECTIVE OPERATION
Prospective Operation Vs. Retrospective Operation
• Prospective operation is applying the laws in future or at least • Whereas the word retrospective when used
from the date of commencement of the statute
with reference to an enactment may mean:
• Normally, an enactment is prospective in nature. It does not
affect that which has gone, or completed and closed up 1. Effecting an existing contract or
already.
2. Reopening of the past , closed and completed
• Ordinarily, a legislature has power to make prospective laws, transactions, or
but Art.20 of the Indian Constitution, 1950 provides certain
safeguards to the persons accused of crime and so Art. 20(1) of 3. Affecting accrued rights and remedies, or
the Indian constitution imposes a limitation on the law making
power of the constitution. It prohibits the legislature to make 4. Affecting procedure.
retrospective criminal laws
- If an enactment expressly provides that it
• Article 20 of the Indian Constitution is divided into two parts.
Under the first part, a person is to be convicted for violating a should be deemed to have come into
law in force when the act charged is committed. A law effect from a past date, it is retrospective in
enacted later making an act done earlier as an offence, will
not make person liable for convicted for violating a law in force
nature.
when the act charged is committed. A law enacted later,
making an act done earlier as an offence, will not make person - However it does not prohibit a civil liability
liable for convicted under it. This means that if an act is not an retrospectively i.e. with effect from a past
offence at the date of its commission it cannot be an offence at
the date subsequent to its commission.
date. So a tax can be imposed
retrospectively.
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9. Principles of Constitutional interpretation:

- Harmonious construction;
- Doctrine of Pith and Substance;
- Doctrine of Colourable Legislation;
- Occupied Field;
- Repungancy

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RULE OF HARMONIOUS CONSTRUCTION
This rule of interpretation is adopted when there is a conflict between two or more statutes or between two provisions of the same statute. Every law has a
certain purpose set, so judges should take those purposes into consideration and it should be read as a whole while interpreting. Judges should apply such
provisions which are in accordance with the public interest. The laws which are applied must be consistent and shouldn’t overlap with other existing laws.
The courts should avoid using such laws which bring ambiguity to the subject and makes courts inconsistent.

Sometimes it’s impossible to harmonize between two provisions of the statute at that time the decision of the judges will prevail above everything. When
there is “a head-on clash” between the provisions of law the judges should bring harmony and make justice to both the parties.

Supreme Court explained harmonious rule as to when the two provisions of the same legislation are inconsistent with each other, both the provisions must be
interpreted in such a way where it gives equal importance to others. Here one provision will not override on other provision, it aims at harmonizing between
conflicting provisions and avoids destruction one provision.

Principles of rule of
Harmonious Construction

When the court fails to Courts should keep in mind

The courts should avoid
bring harmony to both that the interpretation
such provisions which are The courts should interpret
The provision of one parties, it should at least which reduces one
contradicting in nature in such a way that brings
section cannot defeat the interpret in such a manner provision to the dead is not
and which brings the harmony to the
other provision. where both the provisions harmonious, here
head-on clash between contradicting provisions.
are given effect as much harmonising doesn’t mean
each other.
as possible. destroying.

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DOCTRINE OF PITH AND SUBSTANCE
Article 246 of the Constitution divides the different matters in three groups i.e. union, state and concurrent list. These lists explain the
different matters on which the union sate and both have the power to legislate on respectively.

The Doctrine of Pith and Substance is applied when the legislature made by one of the legislatures encroaches or trespasses upon the
field assigned to another. The Doctrine of Pith and Substance is applied legislative competence of a legislature with regard to a
particular enactment is challenged with reference to the entries in different legislative list because a law dealing with a subject in one
list encroaches or trespasses upon the subject in another list.
Doctrine of Pith and Substance says that where the question arises of determining whether a particular law relates to a particular
subject the court looks to the substance of the matter. Thus, if the substance falls within one list, then the incidental encroachment by
the law on another list does not make it invalid.

In such a conflict between legislatures, it needs to be ascertained that if the pith and substance of the enactment is the true
character and nature of the legislation. Pith means ‘true nature’ or ‘essence of something’ and Substance means ‘the most important
or essential part of something’. If after assessing the statues it is found that legislation is in pith and substance, based on the matter
assigned to the legislative then such an act must be held valid in its entirety. Even though the legislature may incidentally trench upon
the matter beyond its competence still it is held to be valid as the statutes are in pith and substance related to the subject of the act
or law.

Case Laws:
- State of Rajasthan v. G. Chawla (Sound Amplifier banned by state, conflicting with broadcasting and communication, which is a
center subject)
- State of Mumbai v. F. N. Balsara (Liquor ban implied by Mumbai state conflicting with the import/export of liquor, which is a center
subject)

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DOCTRINE OF COLOURABLE LEGISLATION
This doctrine is based on the principle that "what cannot be done directly cannot be done indirectly".

In other words, if the constitution does not permit certain provision of a legislation, any provision that has the same effect but in a
roundabout manner is also unconstitutional. This doctrine is found on the wider doctrine of "fraud on the constitution". A thing is
Colourable when it seems to be one thing in the appearance but another thing underneath.

Doctrine of Colorable Legislation is built upon the founding stones of the Doctrine of Separation of Power. Separation of Power
mandates that a balance of power is to be struck between the different components of the State i.e. between the Legislature, the
Executive and the Judiciary. The primary function of the legislature is to make laws. Whenever Legislature tries to shift this balance of
power towards itself then the Doctrine of Colorable Legislation is attracted to take care of Legislative Accountability.

The Supreme Court of India in

different judicial pronouncement has
laid down the certain tests in order to
determine the true nature of the
legislation impeached as colorable:-

The court must look to the substance of the

impugned law, as distinguished from its form or the The doctrine does not involve any question of
The Doctrine of Colorable Legislation has nothing
label which the legislature has given it. For the bona fides or mala fides intention on the part of
to do with the motive of the legislation, it is in the
purpose of determining the substance of the legislature. If the legislature is competent enough
essence a question of vires or power of the
impugned law, the court will examine two things, to enact a particular law, then whatever motive
legislature to enact the law in question.
i.e. effect of the legislature and the object and which impelled it to act are irrelevant.
purpose of the act.

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DOCTRINE OF REPUGNANCY
The Doctrine of Repugnancy deals with the distribution of powers between the Central and State legislatures. This doctrine reflects the quasi-federal structure of the Constitution. It
has clearly laid down the powers of the Parliament and State legislature to avoid inconsistencies and conflicts.

India adopts a federal structure of governance, therefore the extent of legislative powers is distributed between the Centre and the States in VII Schedule of the Constitution. As per
Article 245, Parliament may make laws for whole or any part of India and the legislature of a State may make laws for whole or any part of the State and Article 246 clearly
mentions the extent of legislative powers of the Parliament and State governments.

The Centre has the exclusive power to legislate over the topics mentioned in List I and similarly, the State governments have the exclusive authority to legislate on the subject-
matters included in List II. List III or Concurrent list included those items which can be legislated upon by both the Centre and the States, thus leading to a possibility of collusion and
conflict.

The conditions which must

be satisfied before any
repugnancy could arise
are as follows:

3. That the inconsistency between the

provisions of the two Acts is of such nature as
1. That there is a clear and direct
2. That such an inconsistency is absolutely to bring the two Acts into direct collision with
inconsistency between the Central Act and
irreconcilable. each other and a situation is reached where
the State Act.
it is impossible to obey the one without
disobeying the other.”

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DOCTRINE OF OCCUPIED FIELD
There is a very minor difference between doctrine of Repugnancy and Doctrine of Occupied Field.
- Repugnance arises only if there is an actual conflict between two legislations, one enacted by the
State Legislature and the other by Parliament, both of which were competent to do so.
- On the other hand, doctrine of Occupied Field simply refers to those legislative entries of State List,
which are expressly made ‘subject’ to a corresponding Entry in either the Union List or the Concurrent
List.

Doctrine of Occupied Field has nothing to do with the conflict of laws between the state and the centre.
It is merely concerned with the ‘existence of legislative power’ whereas repugnance is concerned with
the ‘exercise of legislative power’ that is shown to exist.

In the case of State of Kerala & Ors v. M/S. Mar Appraem Kuri Co.Ltd. & Anr, the Centre enacted the
Chit Funds Act (Central Act). For the Law to become operative in any state, the Central Government
would have to issue a notification under Section 3 of the Central Act. In the meantime, the State of
Kerala enacted a separate act on ‘Chit Funds’ called as Kerala Chitties Act. However, the Central Act
did not get notified in Kerala resulting into a situation wherein there was only one Act in force in the
State of Kerala i.e. the Kerala Chitties Act. It was contended that the Kerala Chitties Act was repugnant
to the un-Notified Central Act. The Supreme Court held that even an un-notified Central law attracts art
254.

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