Case Note & Summary
The petitioners, an association of private unaided minority and non-minority schools running international curriculum schools, challenged the constitutional validity of Sections 2 and 4 of the Maharashtra Education Institutes (Prevention of Capitation Fees) Act, 1987, and Government Resolutions dated 15.7.2010 and 22.7.1999 regulating fees in unaided secondary schools. The petitioners argued that the State Government lacked the power to issue such resolutions and that the provisions violated their fundamental rights under Article 19(1)(g) and Article 14 of the Constitution. The State Government contended that the resolutions were issued under Section 13 of the Act and were necessary to prevent capitation fees and profiteering. The court, after hearing both sides, held that the Act and the Government Resolutions are constitutionally valid. The court observed that the State has the power to regulate fees to ensure that educational institutions do not charge capitation fees or engage in profiteering. The court dismissed the petition, upholding the validity of the impugned provisions and resolutions.
Headnote
A) Constitutional Law - Fee Regulation - Power of State - Sections 2, 4, 13 of Maharashtra Education Institutes (Prevention of Capitation Fees) Act, 1987 - The petitioners challenged the constitutional validity of Sections 2 and 4 of the Act and Government Resolutions dated 15.7.2010 and 22.7.1999 regulating fees in unaided secondary schools. The court held that the State has the power to regulate fees to prevent capitation fees and profiteering, and the impugned provisions and resolutions are valid. (Paras 1-3)
B) Education Law - Capitation Fees - Prevention - Section 2, Section 4 of Maharashtra Education Institutes (Prevention of Capitation Fees) Act, 1987 - The court examined the definition of capitation fees and the power of the State to regulate fees. Held that the Act and Resolutions are within the legislative competence and do not violate Article 19(1)(g) or Article 14 of the Constitution. (Paras 2-3)
Issue of Consideration
Whether Sections 2 and 4 of the Maharashtra Education Institutes (Prevention of Capitation Fees) Act, 1987 and the Government Resolutions dated 15.7.2010 and 22.7.1999 are constitutionally valid and whether the State Government has the power to regulate fees charged by unaided secondary schools.
Final Decision
The court dismissed the petition, upholding the constitutional validity of Sections 2 and 4 of the Maharashtra Education Institutes (Prevention of Capitation Fees) Act, 1987 and the Government Resolutions dated 15.7.2010 and 22.7.1999.
Law Points
- Constitutional validity of fee regulation
- power of State to regulate fees in unaided schools
- prevention of capitation fees
- interpretation of Section 2 and Section 4 of the Act
- validity of Government Resolutions under Section 13 of the Act
Case Details
2010 LawText (BOM) (09) 88
D.K. Deshmukh, N.D. Deshpande
Mr. Aspi Chinoy, Sr. Counsel with Mr. Navroz Seervai, Sr. Counsel with Mr. Prateek Seksaria, Mr. Sanjay Jain, Mr. I.J. Nankani, Mr. Lalit Jain, Mr. H.S. Khokawala and Mr. Cesar Pereira i/by M/s. Nankani & Associates for Petitioners. Mr. D.A. Nalawade, Government Pleader for Respondents.
Association of International Schools & Principals Foundation and Universal Education Foundation
The State of Maharashtra and The Department of Education, State of Maharashtra
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Nature of Litigation
Writ petition challenging constitutional validity of sections of an Act and Government Resolutions regulating fees in unaided secondary schools.
Remedy Sought
Declaration that Sections 2 and 4 of the Maharashtra Education Institutes (Prevention of Capitation Fees) Act, 1987 and Government Resolutions dated 15.7.2010 and 22.7.1999 are unconstitutional and void.
Filing Reason
Petitioners, an association of private unaided schools, challenged the State's power to regulate fees through the impugned Act and Resolutions.
Issues
Whether Sections 2 and 4 of the Maharashtra Education Institutes (Prevention of Capitation Fees) Act, 1987 are constitutionally valid.
Whether Government Resolutions dated 15.7.2010 and 22.7.1999 are valid and within the power of the State Government.
Submissions/Arguments
Petitioners argued that the State Government lacked power to issue the Government Resolutions and that the Act and Resolutions violate Article 19(1)(g) and Article 14 of the Constitution.
Respondents argued that the Resolutions were issued under Section 13 of the Act and are necessary to prevent capitation fees and profiteering.
Ratio Decidendi
The State has the power to regulate fees charged by unaided schools to prevent capitation fees and profiteering, and the impugned provisions and resolutions are within the legislative competence and do not violate fundamental rights.
Judgment Excerpts
The petitioners have filed this petition challenging the Constitutional validity of section 2 and 4 of the Maharashtra Education Institutes (Prevention of Capitation Fees) Act, 1987 as also challenging the validity of Government Resolution dated 15.7.2010 and 22.7.1999.
Perusal of the G.R. dated 15.7.2010 shows that it refers to the provisions of Section 4(3) and Section 2 of the Act and states that the Government Resolution contains instructions about fees that can be charged by the unaided secondary schools affiliated to State Education Board as also other Educational Boards.
Procedural History
The petition was filed on an unspecified date, rule was made returnable forthwith, and by consent of parties, heard finally on 1 September 2010.
Acts & Sections
- Maharashtra Education Institutes (Prevention of Capitation Fees) Act, 1987: 2, 4, 13
- Code of Civil Procedure, 1908: Order XXXVIII Rule 4