Supreme Court Dismisses Trade Union Appeal Against Tender Notice Due to Lack of Employment Rights. Bazarmen Not Considered Seamen Under Merchant Shipping Act, 1958, Section 95, Lacking Privity of Contract with A&N Administration.

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Case Note & Summary

The dispute involved the Forward Seamen Union of India, representing Bazarmen employed by canteen contractors on ships operated by the Andaman & Nicobar Administration. The Bazarmen were aggrieved by a tender notice issued for catering services, which they believed would adversely affect their employment opportunities. They approached the Calcutta High Court, which initially ruled in their favor, declaring the tender conditions illegal and directing the local Seamens’ Employment Office to manage the employment list of Bazarmen. However, this decision was reversed by a division bench, which held that the Bazarmen were not seamen and had no contractual relationship with the A&N Administration. The division bench noted that the employment of Bazarmen was under the contractors, and the government was not responsible for their recruitment. The appellant challenged this ruling, arguing it violated earlier court orders that had attained finality. The Supreme Court ultimately dismissed the appeal, affirming that the Bazarmen did not possess enforceable rights against the A&N Administration and that the division bench's decision was justified. The court emphasized that the earlier orders were interim solutions in a public interest litigation and did not establish any rights for the Bazarmen against the Administration.

Headnote

A) Employment Law - Rights of Workers - Challenge to Tender Notice - Merchant Shipping Act, 1958, Section 95 - The court held that the Bazarmen, being employees of canteen contractors and not seamen, lacked privity of contract with the A&N Administration, thus had no standing to challenge the tender notice. The division bench's dismissal of the writ petition was justified as the earlier orders did not confer enforceable rights against the Administration (Paras 5-6).

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Issue of Consideration

Whether the Bazarmen, represented by the appellant trade union, had the right to challenge the tender notice issued by the A&N Administration.

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Final Decision

The Supreme Court dismissed the appeal, affirming the division bench's ruling that Bazarmen lacked the right to challenge the tender notice as they were not seamen and had no contractual relationship with the A&N Administration.

Law Points

  • Public Interest Litigation
  • Employment Rights
  • Merchant Shipping Act
  • 1958
  • Contractual Relations
  • Seafarers Definition
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Case Details

2009 LawText (SC) (03) 59

Civil Appeal No. 5645 of 2005

2009-03-05

R. V. Raveendran, Markandey Katju

Forward Seamen Union of India

Union of India & Ors.

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Nature of Litigation

Challenge to tender notice affecting employment of canteen workers.

Remedy Sought

Quashing of the tender notice dated 18.11.2002.

Filing Reason

Concerns over employment opportunities for Bazarmen due to tender conditions.

Previous Decisions

Initial ruling by the Calcutta High Court in favor of Bazarmen, later reversed by a division bench.

Issues

Rights of Bazarmen to challenge tender notice Definition of seamen under the Merchant Shipping Act

Submissions/Arguments

Appellant argued violation of earlier court orders and rights of Bazarmen. Respondents contended that Bazarmen were not seamen and had no enforceable rights.

Ratio Decidendi

The Bazarmen, being employees of contractors and not seamen, did not have enforceable rights against the A&N Administration, thus lacked standing to challenge the tender notice.

Judgment Excerpts

The Bazarmen, that is workers in the canteens run by the contractors were not seamen. The division bench was therefore justified in dismissing the writ petition.

Procedural History

The case began with a public interest litigation filed by the Andaman Chamber of Commerce, leading to interim orders by the Calcutta High Court, followed by a writ petition by the appellant, which was initially allowed and then reversed by a division bench.

Acts & Sections

  • Merchant Shipping Act, 1958: Section 95
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