Bombay High Court Dismisses Writ Petition by National Aviation Company Challenging Regularisation Award - Petition Barred by Laches and Unexplained Delay. The court held that the petitioner's challenge to the industrial award after participating in proceedings and without challenging the reference order was not maintainable.

High Court: Bombay High Court Bench: BOMBAY
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Case Note & Summary

The petitioner, National Aviation Co. of India Ltd., an amalgam of Indian Airlines Ltd. and Air India Ltd., and a 'State' under Article 12 of the Constitution, challenged an industrial award dated 28.11.2003 passed by the Central Government Industrial Tribunal No.1, Mumbai. The award directed regularisation of 1269 casual workers whose cause was espoused by respondent No.1, Mumbai Mazdoor Sangh, a registered trade union. The dispute arose when the union raised a demand for regularisation, which was initially declined by the appropriate Government by communication dated 17.7.1999. The union then filed Writ Petition No.1116 of 1999, which was allowed on 22.9.2003, directing the Government to make a reference under Section 10 of the Industrial Disputes Act, 1947. Consequently, the Government made the reference on 28.11.2003. The Tribunal, after hearing the parties, passed the impugned award directing regularisation. The petitioner challenged the award in the present writ petition filed in 2009, raising preliminary objections regarding laches and also contesting the merits. The court, after considering the submissions, held that the petition was liable to be dismissed on the ground of laches as the petitioner did not challenge the reference order and participated in the proceedings before the Tribunal without any objection. The court also noted that the award was not perverse or without jurisdiction. Accordingly, the writ petition was dismissed with no order as to costs.

Headnote

A) Industrial Law - Regularisation of Casual Workers - Section 10 Industrial Disputes Act, 1947 - Reference and Award - The dispute pertained to demand for regularisation of 1269 casual workers by the trade union - The appropriate Government initially declined reference but was directed by the High Court to make reference - The Tribunal awarded regularisation - The petitioner challenged the award on grounds of laches and merits - Held that the petition was liable to be dismissed on the ground of laches as the petitioner did not challenge the reference order and participated in proceedings without objection (Paras 1-10).

B) Industrial Law - Laches - Writ Jurisdiction - Delay and Laches in Challenging Industrial Award - The petitioner challenged the award after almost 5 years from the date of reference and after participating in the proceedings - The court held that the petition was barred by laches and unexplained delay, and the preliminary objection raised by the respondent was sustainable (Paras 1, 10).

C) Industrial Law - Regularisation - Merits - The Tribunal's award directing regularisation was based on evidence of continuous employment and availability of work - The court did not examine the merits in detail due to dismissal on laches, but noted that the award was not perverse or without jurisdiction (Paras 11-15).

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Issue of Consideration

Whether the Industrial Tribunal's award directing regularisation of 1269 casual workers of the petitioner-company is sustainable in law and on facts, and whether the writ petition challenging the award is maintainable despite delay and laches.

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Final Decision

The writ petition is dismissed. Rule is discharged. There shall be no order as to costs.

Law Points

  • Regularisation of casual workers
  • Industrial Disputes Act
  • 1947
  • Section 10 reference
  • Laches
  • Writ jurisdiction
  • Article 12 State
  • Scheme of amalgamation
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Case Details

2013 LawText (BOM) (12) 51

Writ Petition No.247 of 2009

2013-12-20

M.S. Sonak, J

Ms. Lancy D'souza, Mr. V.M. Parkar & Ms. Pranjali Deulkar for Petitioner; Mr. V.P. Vaidya i/b. Anjali Helekar for Respondent No.1

National Aviation Co. of India Ltd.

Mumbai Mazdoor Sangh & Anr.

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Nature of Litigation

Writ petition under Article 226 of the Constitution challenging an industrial award directing regularisation of casual workers.

Remedy Sought

Petitioner sought quashing of the industrial award dated 28.11.2003 passed by the Central Government Industrial Tribunal No.1, Mumbai.

Filing Reason

Petitioner challenged the award on grounds of laches and on merits, contending that the Tribunal erred in directing regularisation.

Previous Decisions

The appropriate Government initially declined reference by communication dated 17.7.1999; the union filed Writ Petition No.1116 of 1999 which was allowed on 22.9.2003 directing reference; reference was made on 28.11.2003; the Tribunal passed the impugned award.

Issues

Whether the writ petition is maintainable in view of delay and laches? Whether the industrial award directing regularisation of casual workers is sustainable?

Submissions/Arguments

Petitioner argued that the petition was filed without undue delay and that the award was erroneous on merits. Respondent No.1 raised preliminary objection that the petition was barred by laches as the petitioner did not challenge the reference order and participated in proceedings.

Ratio Decidendi

A writ petition challenging an industrial award is liable to be dismissed on the ground of laches if the petitioner fails to challenge the reference order at the earliest opportunity and participates in the proceedings before the Tribunal without any objection. The court declined to examine the merits of the award in detail due to the dismissal on laches.

Judgment Excerpts

Rule was issued in this petition on 10.6.2009, after overruling the preliminary objection that this petition be dismissed on the ground of laches. The Petitioner is an amalgam of Indian Airlines Ltd. and Air India Limited. Respondent No.1 purporting to espouse the cause of the almost 1269 casual workers raised an industrial dispute demanding 'regularisation'.

Procedural History

The dispute was raised by the union, conciliation failed, Government declined reference on 17.7.1999, union filed WP 1116/1999 which was allowed on 22.9.2003 directing reference, reference made on 28.11.2003, Tribunal passed award, petitioner filed WP 247/2009 on 10.6.2009, rule issued, and after hearing, petition dismissed on 20.12.2013.

Acts & Sections

  • Industrial Disputes Act, 1947: Section 10
  • Trade Unions Act, 1926:
  • Constitution of India: Article 12
  • Companies Act, 1956:
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