Case Note & Summary
The dispute arose during the tenure of the first respondent as Depot Manager of the Bihar State Cooperative Marketing Union Ltd., where a shortage of coal was detected. The appellant made a claim for the loss and referred the matter to the Assistant Registrar under Section 48 of the Bihar and Orissa Cooperative Societies Act, 1935. The Assistant Registrar initially absolved the first respondent, but this decision was reversed by the Joint Registrar, leading to an award in favor of the appellant. The Patna High Court later set aside this award, ruling that since the matter fell under Section 40, Section 48 could not apply, relying on the legal maxim generalia specialibus non derogant. The High Court also rejected the claim under Section 40 due to a limitation issue. The Supreme Court, upon appeal, held that the validity of plural remedies cannot be doubted and that both Section 40 and Section 48 could apply concurrently. The court found that the claim against the first respondent was validly referred under Section 48 and that the limitation period under Section 40 did not apply to Section 48. The case was remitted to the High Court for a decision on remaining issues, with the appeal allowed without costs.
Headnote
A) Cooperative Societies Law - Plurality of Remedies - Validity of multiple remedies - Bihar and Orissa Cooperative Societies Act, 1935, Sections 40, 48 - The court held that the availability of plural remedies under the law cannot be doubted, and both remedies continue until one is elected. The provisions of Section 48 remain applicable even if Section 40 is also attracted, provided necessary conditions are fulfilled (Paras 6-7). B) Limitation - Applicability of Limitation Period - Bihar and Orissa Cooperative Societies Act, 1935, Section 40 - The court determined that the six-year limitation period under Section 40 does not govern references under Section 48, and the claim was not barred by limitation on the facts of the case (Paras 8-9).
Issue of Consideration
Whether a matter covered by Section 40 of the Bihar and Orissa Cooperative Societies Act, 1935, is excluded from the purview of Section 48 of the same Act.
Final Decision
The Supreme Court allowed the appeal, holding that both Section 40 and Section 48 could apply concurrently and that the limitation under Section 40 does not govern references under Section 48. The case was remitted to the High Court for a decision on remaining issues.
Law Points
- plurality of remedies
- election of remedies
- limitation period
- Section 40
- Section 48
- Bihar and Orissa Cooperative Societies Act
- 1935
