Unit 2 Delegated Legislation
Unit 2 Delegated Legislation
9. The World War -II with all its evils was another crisis which
necessitated the giving of the wide powers to the administra
tion for various purposes, e.g., food supplies, war supplies,
etc. A number of important rules and regulations were
framed to deal with diverse problems in a speedy and
effective manner.
10. The two World Wars and the enormous scientific and tech
nological progress together with the industrial and social
progress showed the fallacy(idea) of “Laissez Faire” and the
concept of “Social Welfare State” became firmly entrenched.
• The Act under consideration was the Act XXII of 1869 Act of the Council
of the Governor-General. It removed Garo hills from the civil and
criminal jurisdiction of Bengal and placed its administration under an
officer appointed by the Lt. Governor. Section 9 of the Act, authorized
the Lt. Governor, to extend the provisions of the Act, to Khasi and Jantia
Hills, with incidental changes. Burah was tried for murder by the
Commissioner of Khasi and Jaintia Hills and was subsequently sentenced.
• The Federal Court held that the delegation of power of extension with
modification is ultra vires the Bihar Provincial Legislature as it is an
essential legislative function. A dissenting opinion was delivered by
J.Faizal Ali, wherein, he held that the delegation of power of extension
was constitutional as it only amounted to continuation of the Act.
Post - Constitution
In re Delhi Laws Act case
One view propounded that the legislature can delegate to the extent to
the limit it does not abdicate its own power and have control over the
delegate: that is it must retain in its hands the ultimate control over the
authority so as to be able to withdraw the delegation whenever delegate
did something wrong.
Second view propounded that the legislature cannot delegate its essential
functions which comprised the formulation of policy etc. According to the
opinion of Mukhreaja J – if the policy laid down in an Act is in broad
terms, the formulation of the details of the policy can generally to be
passed to the executive.
• Section 7 of the Delhi Laws Act, 1912 and Section 2 of the
Ajmer-Merwara (Extension of Laws) Act, 1947 were held to be
valid. Section 2 of the Part C States (Laws) Act, 1950 was also
held valid except that part of the section which delegated the
power of repeal and amend any existing law.
1. Supreme Legislation:
• Salmond:- “An Act of Legislature proceeds from the supreme power of the
State and has no rival in the field. It also does not derive its authority
from any other organ of the State.
• Legislature can lay down the policy and purpose of legislation and leave it to the
executive for working details within the framework of the enactment.
7. Speediness:
• It is the merit of the DL. It does not require more time,
voting, lengthy procedure, etc.
Classification of Delegated Legislation
I. Title-based classification
2. Regulations:
• An instrument by which orders, decisions and acts of the
government are made known to the public.( e.g. Trade Associations
etc.)
3. By-laws:
• The rules made by the semi-government authorities established
under the Act or Statute. e.g. rules made by local authority,
statutory corporation etc.
4. Orders:
• It is applied to various forms of legislative and quasi-judicial
decisions. The order may be general or specific.( Govt. Orders)
5. Directions:
• It is used to refer the administrative rule making under the
authority of the law or rules or orders made thereunder.
6. Schemes:
• It is used to refer to a situation where the executive or
administrative authority is authorised by the Act or Statute to
lay down a framework within which the concerned authority
is to function.(pensions, grants in aid, minority welfare etc.)
II. Discretion – based classification (conditional
legislation)
• (2) For the purpose of bringing the provisions of any law in force in
the territory of India into accord with the provisions of this
Constitution, the President may by order make such adaptations
and modifications of such law, whether by way of repeal or
amendment, as may be necessary or expedient, and provide that
the law shall, as from such date as may be specified in the order,
have effect subject to the adaptations and modifications so made,
and any such adaptation or modification shall not be questioned in
any court of law.
b) e.g. Sec.34(1) of the ATs Act,1985 reads thus:
(1) If any difficulty arises in giving effect to the
provisions of this Act, the Central Government may,
by order published in the Official Gazette, make such
provisions, not inconsistent with the provisions of
this Act as appear to it to be necessary or expedient
for removing the difficulty.
Sec. 133 of the Trade and Merchandise Marks Act, 1958 etc.
(1) The Central Government may, by notification in the Official Gazette
and subject to the condition of previous publication, make rules to
carry out the purposes of this Act.
7. Power to determine the issue as to whether or not
conditions required to be fulfilled for operation of the Act,
have been fulfilled:
e.g. Sec.79 -the Customs Tariff Act, 1975 - Power to levy tax or
duty.
IV. Authority – based classification: (sub-delegation)
• A statute may also empower the executive to delegate
further powers conferred on it to its subordinate authority.
This is known as “sub-delegation”.
A.K. Roy v. State of Punjab(1986) 4 SCC 326)
• In this case the power to initiate prosecution for offences
under Section 20(1) of the Food Adulteration Act, 1954 had
been given to the State Government. The Act had not
authorised sub-delegation of power. Nevertheless, under the
Rule 3 of the Prevention of Food Adulteration (Punjab)Rules,
1958, the power of prosecution was delegated to the Food
Inspector. The Court held the sub-delegation as ultravires the
Parent Act.
V. Nature – based classification
1. Normal delegation
a. Positive – where limits of delegation are clearly defined in
the enabling Act.
b. Negative – where power delegated does not include power
to do certain things, i.e. legislate on matters of policy.
2. Exceptional delegation(also known as Henry VIII clause
to indicate executive autocracy)
4. Abdication(Abandonment of sovereignty)
4. Principles:
• The question whether there is excessive delegation or not,
has to be examined in the light of three broad principles:
1. Commencement:
• “Sec.1(3) of the Consumer Act, 1986 provides that the Act shall come into
force on such date as the central government may by notification appoint. It is
only the duty of delegated authority to take necessary publication, notification
etc. of such Act in the Official Gazette.
• The Legal Services Act, 1987 was brought into force only in 1997.
• Sir Cecil Carr: “ The Legislature provides the gun and prescribe the target, but
leaves to the executive the task of pressing the trigger.”
2. Supplying details:
• Sec.3 of the All India Services Act,1951 authorises the Central Government to
make rules to regulate conditions of service in the All India Services.
3. Inclusion:
The Minimum Wages Act, 1948.
The Essential Commodities Act, 1955.
4. Exclusion:
Payment of Bonus Act, 1965( Sec.36).
5. Suspension:
The Tea Act, 1953( Sec. 48(1) empowers the Central Govt. to
suspend the operation of all or any of the provisions the Act
under certain circumstances.
6. Application of existing laws:
The Income Tax Act,1961.
7. Modification:
• Under the powers conferred by the Delhi Laws Act, 1912 the
Central Government extended the application of the Bombay
Agricultural Debtors’ Relief Act,1947 to Delhi.
5) Removal of difficulties
6) Retrospective operation
7) Future Acts
8) Imposition of tax
9) Ouster of jurisdiction of courts
10) Offences and penalty
Conditional Legislation or Contingent Legislation
2) Hart:
• "Conditional legislation is a statute that provides controls but specifies
that they are to go into effect only when a given administrative authority
fulfils the existence or conditions defined in the Act“.
Categories of conditional legislation:
I. Judicial Control
I. Judicial Control:
1) Substantive ultra vires:
2) Procedural ultra vires:
Judicial Control
1) Substantive ultra vires – Grounds
A. Where Parent Act is unconstitutional
NJAC Act,2015 case
The SC Bench in a majority of 4:1 rejected the NJAC Act and the
99th Constitutional amendment as “unconstitutional and
void.” This amendment which sought to give politicians and civil
society a final say in the appointment of judges to the highest
courts.
But interestingly, the Bench admitted that all is not well even with
the collegium system of “judges appointing judges”, and that the
time is ripe to improve the old system of judicial appointments.
B) Parent Act delegates essential legislative functions
L. Chandra Kumar v. UOI (AIR 1997 SC 1125)
• In 1976 Parliament passed the Constitution (Forty-Second Amendment)
Act, 1976 by which it added a new part in the Constitution i.e. Part- XIV-
A entitled as “Tribunals”. This part contains only two articles 323-A and
323-B
1) The first issue that raised in this instant case was whether the exclusion of
the jurisdiction of the High Court through Articles 323-A (2) (d) and 323-B
(3) (d) was against the doctrine of judicial review that was a basic feature
of the Constitution?
• The Court while delving upon this issue took recourse to Sec.28 of the
Administrative Tribunals Act,1985 along with the Sampat Kumar
Judgment (1985) and the Constitutional Assembly debates. The court,
after careful consideration of the above-mentioned events, concluded that
judicial review is indeed a basic feature of the Indian Constitution.
2) The second issue was whether the Tribunals constituted either under
Article 323B or Article 323A of the Indian Constitution, have the
competence to test the constitutional validity of a statutory rule or
provision?
• This served two purposes, first, it retained the High Courts’ power of
judicial review and
• secondly, the Tribunals will filter out litigation if they were false or
frivolous before the jurisdiction of High Court is invoked.
C) DL is inconsistent with Parent Act
Indian Council of Legal Aid &Advice v. BCI (AIR 1995 SC
691)
• The Bar Council of India by Resolution No. 64 of 1993 dated 22-8-
1993 added Rule 9 in Chapter III of Part VI of the Bar Council of
India Rules which resolution was gazetted on 25-9-1993. The said
newly added rule reads as under: "A person who has completed
the age of 45 years on the date on which he submits his
application for his enrolment as an advocate to the State Bar
Council shall not be enrolled as an advocate.“
• The legality and validity of the said rule is questioned in this
batch of petitions as inconsistent with Articles 14, 19(1)(g) and 21
of the Constitution and Section 24 of the Advocates Act, 1961.
• The SC has struck down the Rule 9 on the ground above mentioned
reasons.
D) DL is inconsistent with general law
Hindustan Times v. State of U.P(AIR 2003 SC 250)
• The petitioners have questioned the validity of an order dated 24th
September, 1991 as also one dated 16th October, 1991 issued by the
Special Secretary, Government of Uttar Pradesh, Lucknow, whereby and
where under a direction had been issued to the effect that at the time of
payment of bills for publication of Government advertisements in all
newspapers having a circulation of more than 25,000 copies, 5% of the
amount thereof, forming part of a fund for the purpose of granting
pension to the working journalists, would be deducted.
1) The impost, is not leviable either as a tax or as a fee having regard to the
fact that the legislative field in relation to the payment of retiral benefits
to the working journalists is covered by a Parliamentary Act known as
the Working Journalists and other Newspapers Employees (Conditions of
Service) and Miscellaneous Provisions Act, 1955.
2) As the State of Uttar Pradesh had no legislative competence, it could not
have issued the impugned orders in exercise of its power under Article
162 of the Constitution of India or otherwise.
3) Assuming, that welfare of the working journalists is a field falling within
Entry 24 of List III of the VII Schedule of the Constitution of India, any
State legislation would be the subject to the Central legislation and in
that view of the matter too, the impugned orders are ultra vires Article
14 of the Constitution.
• The SC held that orders dated 24th September, 1991 and 16th October,
1991 are unconstitutional and void.
E) Delegated legislation is unconstitutional
Himat Lal K.Shah v. Commnr. of Police (AIR 973 SC 87)
• In this case the SC held Rule 7 framed under the Bombay Police Act,
1951 as ultra vires Art.19(1)(b) of the Constitution. Sec. 33(1) of the
Bombay Police Act, 1951 had authorised the Commissioner to make
rules for the regulation of conduct and behaviour of assemblies and
processions by prescribing the routes and time.
• Rule 7 made thereunder provided that no public meeting will be
held without the previous permission of the Commissioner of Police.
The rule was held ultra vires of on the ground that the arbitrary
discretion vested in the administrative agency in granting or
refusing permission amounts to unreasonable restriction on the
exercise of the freedom of speech and expression.
F) DL is unreasonable
Meenakshi Malik v. University of Delhi (AIR 1989) 3SCC 112)
• In this case a condition requiring schooling for the last two years in any
school in Delhi for admission to any medical college in Delhi was held
arbitrary and unreasonable.
• The petitioner was born and studied up to class IX in Delhi. In 1982
she left for Nigeria, along with her parents, where her father went on
deputation. There she passed the General Certificate of Education Ordinary
Level, conducted by University of London, which was recognized by the
Central Board of Secondary Education, New Delhi as equivalent to Class
XI in India. She returned to India along with her family in 1984.
• After passing the All India Senior School Certificate Examination in
1985, she appeared for entrance examination for admission to one of the
three Medical Colleges in Delhi and passed the test. But she was denied
admission because she had not satisfied the further condition that the
last two years of education should be had in a school in Delhi.
G) DL is Mala fide
D.C. Wadhwa v. State of Bihar (AIR 1987 SC 579)
• The State of Bihar adopted a practice of repromulgating the ordinances on a
massive scale from time to time without their provisions being enacted into acts
of the legislature. The practice was that, after the session of the State Legislature
was prorogued, the same ordinances which had ceased to operate were re-
promulgated containing substantially the same provisions almost in a routine
manner. The petitioners challenged the validity of this practice and in particular
they challenged the constitutional validity of different ordinances issued by the
Governor of Bihar.
• The SC struck down ordinance as unconstitutional and void and held that the
Governor cannot assume legislative function in excess of the strictly defined limits
set out in the Constitution because otherwise he would be usurping a function
which does not belong to him.
H) DL is Arbitrary
AIR India v. Nargesh Meerza (AIR 1981 SC 1829)
• The SC quashed the service Regulation 46 framed by Air India
which had provided for the termination of services of air
hostess on the first pregnancy. The Court held that regulation
as most unreasonable and arbitrary, and interfering with
ordinary course human nature, and hence violative of Art.14
of the Constitution.
I) Sub-delegation
a. Sub-delegation of legislative power
Blackpool Corpn. v. Locker(1948)All ER 85)
• In this case under the Defence Regulations 1939, the Minister was
empowered to take possession of land. By issuing circulars, he sub
delegated powers to the Blackpool Corporation, as was with in his powers.
The circulars contained certain conditions and one of them was that
furniture should not be requisitioned . The Corporation requisitioned the
plaintiff’s dwelling house with furniture. The Court of Appeal held the
impugned action ultravires since it went beyond the power conferred by
the Minister on the Corporation.
b. Sub-delegation of judicial power
G. Nageswara Rao v. APSRTC(AIR 1959 SC 308)
• In this case, under the Motor Vehicles Act 1939 amended by
an Act of 1956, and the rules, the Chief Minister was
empowered to hear the parties and to pass a final order, but
he sub-delegated his function of hearing to his Secretary, who
heard the parties and put up a note before the Chief Minister
for final decision and the order was passed by the CM.
Quashing the order, the SC held that it was not a judicial
hearing and if one person hears and another decides, personal
hearing becomes an empty formality.
c. Sub-delegation of administrative power
A.K Roy v. State of Punjab (AIR 1986 SC326)
• In this case, power to initiate prosecution for offences under
Sec. 20(1) of the Prevention of Food Adulteration Act, 1954
had been given to the State govt. The Act had not authorised
sub-delegation of power. Nevertheless, under Rule 3 of the
PFA(Punjab)Rules, 1958, the power of prosecution was
delegated to the Food Inspector. The Court held sub-
delegation as ultra vires the Parent Act.
J) DL Excludes of judicial review
a) Finality Clause
Even though the subject matter of the dispute may be civil in nature and
thus covered by Sec.9 of the CPC, 1908, a civil suit is barred by the statuary
provisions. e.g. sec.170 of The Representation of People Act,1951 reads:
• No civil court shall have jurisdiction to the question of legality of any action
taken or any decision given by the returning officer or by any other person
appointed under this Act in connection with an election.
b) Conclusive evidence
(Sec.35 of the Companies Act,1956)
Sec. 35 treats a certificate of incorporation given by the Registrar of the Joint
Stock Companies to be conclusive evidence that all the requirements of the
Act have been complied with.
c) Shall not be called in question
India General Navigation & Rly Co. Ltd. v. Workmen(AIR 1960 SC 219)
• In this case an award was made by the Industrial Tribunal, Assam under the ID Act,
1947 and it was published in accordance with Se. 17-A of the Act.
• In the present case, where the appellants, who were carrying on business in
water transport service, notified as a public utility service, dismissed their
workmen for joining an illegal strike, on enquiry but without serving a charge-
sheet on each individual workman and the Industrial Tribunal directed their
reinstatement, excluding only those who had been convicted under s. 143 of
the Indian Penal Code but including those convicted under s. 188 of the Code,
with full back wages and allowances.
• The SC held, that the decision of the Tribunal to reinstate those who had been
convicted under s. 188 of the' Code must be set aside and the wages and
allowances allowed to those reinstated must be reduced by half and the award
modified accordingly.
• Section 17(2) of the ID Act, 1947 provided that the award published u/s
17(1) shall be final and shall not be called in question by any court in any
manner whatsoever.
• Rejecting the contention, the SC held that, the provisions of the Act must
be read subject to the over-riding provisions of the
Constitution(Art.136).Therefore, whatever finality may claimed under the
provisions of the Act, in respect of the Award, by virtue of Ss. 17&17-A of
the Act, it must necessarily be subject to the result of the determination
of the appeal by special leave.
d) As if enacted in the Act
• One of the formulae adopted by the legislature for the exclusion of judicial
review is to give effect to rules, regulations, by-laws, schemes etc. framed
under the parent Act “as if enacted in the Act.”
General officer Commanding in Chief v. Subhash Chandra Yadav (AIR
1988 SC 876)
• The respondent was appointed a Sub-Charge, Cantonment General
Hospital, Lucknow by the Cantonment Board by an appointment letter
dated 23.4.1969, and was confirmed in that post on 1.12.1969. The
conditions of service of the employees of the Cantonment Board, a
statutory board, were governed by the provisions of the Cantonment
Funds Servants Rules, 1937. At the time of appointment, the services of
the respondent were not transferable as per the provisions of the Rules
as then prevailing. His appointment letter also did not include any
condition for transfer from one Board to another.
• By a notification dated 16.12.1972, the Rules were
amended and a new rule, being rule 5-C was added to
provide for the transfer of the services of the employees of
the Cantonment Boards from one post in one Board to
another post in another Board within the same State
• On March 23, 1964 the Central Government issued the Rice (Andhra
Pradesh) Price Control (3rd amendment) order 1964, and substituted Rs.
52.28 for Rs. 46.89 as the maximum price per quintal, of akkulu rice. The
appellant's claim for the benefit of the enhanced price for the earlier
sales was rejected by the Government of Andhra Pradesh. The appellants
succeeded before the Subordinate Judge, Machilipatnam in their suits
for recovery of the difference between the two controlled prices but lost
before the High Court, in appeals preferred by the State of Andhra
Pradesh.
• The SC held that In the absence of express words or
appropriate language from which retrospectivity may be
inferred, a notification takes effect from the date it is issued
and not from any prior date. Statutes should not be construed
so as to create new disabilities or obligations or impose new
duties in respect of transactions which were complete at the
time the Amending Act came into force.
2) Procedural Ultra vires:
1. Drafting
• The Committee on Sub-ordinate Legislation in India rightly recommended that the
language of rules should be simple and clear and not complicated or ambiguous. The
drafting of delegated legislation by an expert draftsman who is, at the same time, in a
position to advise whether the proposed rules and regulations are intra vires is
obviously a valuable safeguard. In the absence of this safeguard, poorly drafted rules, in
many situations, create great hardship for the people by increasing avoidable litigation.
2. Antenatal publicity:
• In India there is no separate law governing the procedure of administrative
rule-making and the Parent Act may or may not provide for the procedural
requirement. However, in some cases the Parents Acts have provided for
antenatal publicity.
• Sec.15 of the Central Tea Board Act, 1949
• Sec.30(3) of the Chartered Accountants Act, 1949
• Sec.43 of the Co-operative Societies Act, 1912 may be cited as examples where it was
provided that the rules must first be published in draft form to give an opportunity to
the people to have their say in the rule-making.
3. Consultation with affected persons
a) Official consultation with a named body
e.g. The Banking Companies Act, 1970 provides for prior consultation with RBI
before making rules under the Act.
b) Consultation with administrative boards
e.g. The Mines Act, 1952 sets up Administrative Boards to advise the Govt. and
makes obligatory prior consultation with the Boards before Central Govt. makes
the rules under the Act.
c) Consultation with a statutory board in charge of a particular subject
e.g. The Tea Board Act, 1949 makes it obligatory to consult Tea Board before the
Govt. can frame the rules under the Act.
d) Consultation with interested persons
e.g. Amendments to Food Adulteration Rules and Standards, 2004 for food items
are similar for drugs and cosmetics as well as rates of minimum wages call for
representations and suggestions from the general public by publishing the draft
rules in the Official Gazette.
e) Preparation of rules by the affected interests
• In order to guarantee complete efficacy and acceptability, the mMines Act,
1952 empowers the owners of mines to draft rules themselves and submit
them to the inspector of mines. Such rules become operative on being
approved by the Govt.
4. Postnatal publicity (Post-publication)
State of Maharashtra v. Mayer Hans George (1965) 1 SCR 123
• The respondent, Mayer Hans George, a German smuggler, left Zurich by plane
on 27th November 1962 with 34 kilos of gold concealed on his person to be
delivered in Manila. The plane arrived at Bombay on 28th of November. The
Customs Authorities, as a part of their duties, inspected to check if any gold
was dispatched by any traveler and looked through George, seized his gold and
accused him of the offence under sec 8(10) and 23(1-A) of the Foreign
Exchange Regulation Act. This section of FRTA is read with a notification dated
November 8, 1962, of the RBI which was published in the Gazette of India on
24th of November.
• The respondent was convicted by the Magistrate, but acquitted by the High
Court, but the further appeal was made by the state in the court of law.
Issue
• Whether the respondent is guilty of bringing gold in India
under sec 8(1) and 23(1-A) of the FERA which was published
in the Gazette of India on 24th November 1962?
b) Mode of publication
• Even if requirement of publication is held to be mandatory, the mode or
manner of publication may be held to be directory and strict compliance
thereof may not be insisted upon.
c) Defect in publication
• If delegated legislation is not published at all, the defect goes to the root
and makes the instrument non est., ineffective and of no consequence.
But, if it is not published in a particular manner, it would not necessarily
make the instrument void. Effect to publish in the manner provided by law
would be considered by the court.
d) Omnibus curative clause: ’Ganga clause’
• Sometimes a statue or an Act provides that no act done or
proceeding taken shall be called in question merely on the
ground of any defect or irregularity in such Act or proceeding,
not affecting the merits of the case. This is known as the
conclusive evidence clause or omnibus curative clause or
Ganga clause.
II. Legislative Control:
Modes:
1. Laying on Table and its types
2. Scrutiny Committees
1. Laying on Table and its types
a) laying without further provision for control.
b) with deferred operation.
c) with immediate effect but subject to annulment.
d) in draft but subject to resolution that no further proceedings be taken.
e) in draft and requiring affirmative resolution.
f) with immediate effect but requiring affirmation resolution as a
condition for continuance.
Mandatory or Directory: A provision as to laying may be directory
or mandatory. It will depend upon the scheme of the Act, language
used, consequences enumerated in the relevant law and other
considerations.
2. Scrutiny Committees:
• (1)The Lok Sabha on Subordinate Legislation and 2) the Rajya Sabha
Committee on Subordinate Legislation)
• As there was no uniform practice in the laying procedure, the
Scrutiny Committee made the following suggestions -
2) They act as watch dogs which bark and arouse their master
from slumber when they find that an invasion on the
premises has taken place.
Advantages of Delegated Legislation