Gujarat High Court Dismisses State's Petition Challenging Gratuity Order Due to Smallness of Amount. Court declines to exercise writ jurisdiction under Articles 226 and 227 of the Constitution of India where the amount involved is only Rs.35,545/-.

High Court: Gujarat High Court
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Case Note & Summary

The petitioner, State of Gujarat through the Executive Engineer, filed a Special Civil Application under Articles 14, 226, and 227 of the Constitution of India challenging an order dated 16.10.2023 passed by the Controlling Authority under the Payment of Gratuity Act, 1972 in Gratuity Case No.67 of 2023. The impugned order directed the petitioner to pay Rs.35,545/- along with 10% interest to the respondent No.2 (the employee). The petitioner raised various grounds in the memo of petition. However, the High Court, after hearing the learned Assistant Government Pleader for the petitioner, observed that the total amount involved in the petition was only Rs.35,545/-. Considering the smallness of the amount, the Court deemed it fit not to exercise its jurisdiction under Articles 226 and 227 of the Constitution of India. Accordingly, without entering into the merits of the matter, the Court dismissed the petition solely on the ground of the smallness of the amount, with a clarification that this order shall not be considered as a precedent in other matters. The Court further directed that if the amount had not already been deposited, the petitioner shall deposit it within eight weeks from the date of receipt of the order, and once deposited, the amount shall be disbursed to the employee after verifying bank details and following due procedure through RTGS/NEFT. Notice was discharged.

Headnote

A) Constitutional Law - Writ Jurisdiction - Smallness of Amount - Articles 226 & 227 of the Constitution of India - The High Court declined to exercise its writ jurisdiction solely on the ground of the smallness of the amount involved (Rs.35,545/-), without entering into the merits of the case, and clarified that this order shall not be treated as a precedent. (Paras 3-4)

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Issue of Consideration

Whether the High Court should exercise its writ jurisdiction under Articles 226 and 227 of the Constitution of India to entertain a petition challenging an order of the Controlling Authority under the Payment of Gratuity Act, 1972, when the amount involved is only Rs.35,545/-.

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Final Decision

The petition is dismissed solely on the ground of smallness of amount (Rs.35,545/-) without entering into the merits. The petitioner is directed to deposit the amount within eight weeks if not already deposited, and upon deposit, the amount shall be disbursed to the employee after verification. The order shall not be treated as a precedent.

Law Points

  • Smallness of amount
  • Exercise of writ jurisdiction
  • Payment of Gratuity Act
  • 1972
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Case Details

2026:GUJHC:16482

R/Special Civil Application No. 14863 of 2025

2026-03-05

Hemant M. Prachchhak

2026:GUJHC:16482

Mr. Mrunal Dholaria (AGP for petitioner)

State of Gujarat through Executive Engineer

Controlling Authority, Anand under Payment of Gratuity Act, 1972 & Anr.

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Nature of Litigation

Writ petition under Articles 14, 226, and 227 of the Constitution of India challenging an order of the Controlling Authority under the Payment of Gratuity Act, 1972.

Remedy Sought

Petitioner (State of Gujarat) sought to challenge and set aside the order dated 16.10.2023 passed by the Controlling Authority directing payment of Rs.35,545/- with 10% interest to the respondent No.2.

Filing Reason

The petitioner was aggrieved by the order of the Controlling Authority under the Payment of Gratuity Act, 1972 directing payment of gratuity amount.

Previous Decisions

The Controlling Authority under the Payment of Gratuity Act, 1972 passed an order dated 16.10.2023 in Gratuity Case No.67 of 2023 directing the petitioner to pay Rs.35,545/- along with 10% interest to the respondent No.2.

Issues

Whether the High Court should exercise its writ jurisdiction under Articles 226 and 227 of the Constitution of India when the amount involved is only Rs.35,545/-.

Submissions/Arguments

Petitioner raised various grounds in the memo of petition challenging the order of the Controlling Authority.

Ratio Decidendi

The High Court may decline to exercise its writ jurisdiction under Articles 226 and 227 of the Constitution of India on the ground of the smallness of the amount involved, without adjudicating the merits of the case, and such dismissal shall not be treated as a precedent.

Judgment Excerpts

Considering the smallness of amount, this Court deems it fit not to exercise jurisdiction under Article 226 & 227 of the Constitution of India. without entering into the merits of the matter, only on the ground of smallness of amount with a further clarification that this may not be considered as precedent in other matters, the petition is dismissed.

Procedural History

The Controlling Authority under the Payment of Gratuity Act, 1972 passed an order dated 16.10.2023 in Gratuity Case No.67 of 2023 directing the petitioner to pay Rs.35,545/- with 10% interest. The petitioner challenged this order by filing Special Civil Application No.14863 of 2025 before the High Court of Gujarat. The High Court dismissed the petition on 05.03.2026 on the ground of smallness of amount.

Acts & Sections

  • Constitution of India: Articles 14, 226, 227
  • Payment of Gratuity Act, 1972:
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High Court Gujarat High Court Dismisses State's Petition Challenging Gratuity Order Due to Smallness of Amount. Court declines to exercise writ jurisdiction under Articles 226 and 227 of the Constitution of India where the amount involved is only Rs.35,545/-.
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