Bombay High Court Quashes Industrial Court's Order and Allows Written Statement in Appeal Under Industrial Employment (Standing Orders) Act, 1946. Industrial Court Must Permit Filing of Written Statement and Lead Evidence as Rule 13 of Bombay Rules Does Not Prohibit Pleadings in Appeal.

High Court: Bombay High Court Bench: AURANGABAD In Favour of Prosecution
  • 9
Judgement Image
Font size:
Print

Case Note & Summary

The writ petition arose from an appeal under the Industrial Employment (Standing Orders) Act, 1946, pending before the Industrial Court. The management, aggrieved by the certified model standing orders, preferred an appeal. The respondent union filed a written statement and later sought to amend it before issues were cast. The Industrial Court rejected the amendment application, holding that no written statement is permissible in an appeal under the Act and that the proposed amendment contained arguments. The union challenged this order by way of a writ petition under Articles 226 and 227 of the Constitution of India. The central legal issue was whether filing of a written statement is allowed in such an appeal. The union argued that the rules do not prohibit written statements and that the Industrial Court misconstrued the nature of the proceeding. The management contended that the appeal is summary in nature and limited to the grounds of appeal, not requiring a written statement. The High Court examined Rule 13 of the Bombay Industrial Employment (Standing Orders) Rules, 1959, which prescribes the procedure in appeal. The court noted that although termed an 'appeal', the rule enables the Industrial Court to call for evidence and direct parties to lead evidence, indicating that the proceeding is not one-sided. The court further observed that the Industrial Court must apply its mind at the stages under Rule 13(2) and (3) and record reasons, but the parties waived any grievance regarding past non-compliance. Holding that the Industrial Court erred in rejecting the amendment on the ground that no written statement is permissible, the High Court quashed the impugned order. The Industrial Court was directed to permit the filing of the written statement, cast issues, and proceed further. The rule was made absolute with no order as to costs.

Headnote

A) Industrial Law - Standing Orders - Appeal Procedure - Industrial Employment (Standing Orders) Act, 1946 / Bombay Industrial Employment (Standing Orders) Rules, 1959, Rule 13 - The Industrial Court, while hearing an appeal against certification of standing orders, may permit the respondent to file a written statement and may also allow oral evidence if necessary - The word 'appeal' does not connote a one-sided proceeding; the rules provide for calling evidence and giving opportunity to both sides - Held that the Industrial Court erred in rejecting the amendment to written statement on the ground that no written statement is permissible in appeal - Directed that the written statement be taken on record, issues be cast, and the matter proceed (Paras 9-17, 30)

B) Industrial Law - Procedural Compliance - Application of Mind - Bombay Industrial Employment (Standing Orders) Rules, 1959, Rule 13(2) and (3) - The Industrial Court must apply its mind at two stages: first, to decide whether to confirm the certification or not, and second, to fix a date for hearing and issue notices if not confirmed - Failure to record reasons at these stages would render the decision susceptible to challenge - However, on facts, the parties waived any grievance regarding past non-compliance due to the time spent and multiple rounds of litigation (Paras 12-14)

Subscribe to unlock Headnote Subscribe Now

Issue of Consideration

Whether filing of a Written Statement / Say should be permitted in an Appeal under the Industrial Employment (Standing Orders) Act, 1946 and the Bombay Industrial Employment (Standing Orders) Rules, 1959

Subscribe to unlock Issue of Consideration Subscribe Now

Final Decision

The writ petition is allowed. The impugned order dated 13.10.2016 is quashed and set aside. The Industrial Court is directed to permit the filing of the written statement, cast issues, and proceed further in accordance with law. The rule is made absolute with no order as to costs.

Law Points

  • Appeal under Industrial Employment (Standing Orders) Act
  • 1946 is not a one-sided appellate proceeding but a quasi-judicial proceeding where evidence may be led and written statements may be filed
  • Rule 13 of Bombay Industrial Employment (Standing Orders) Rules
  • 1959 enables Industrial Court to call for evidence and direct parties to file pleadings
  • Industrial Court must apply mind and record reasons at preliminary stages under Rule 13(2) and (3)
Subscribe to unlock Law Points Subscribe Now

Case Details

2017 LawText (BOM) (01) 97

Writ Petition No. 10852 of 2016

2017-01-12

Ravindra V. Ghuge

Shri T.K. Prabhakaran, Shri Sandesh R. Patil

Foundation Brake Kamgar Sanghatna

M/s Foundation Brake Manufacturing Private Limited

Subscribe to unlock Case Details (Citation, Judge, Date & more) Subscribe Now

Nature of Litigation

Writ petition under Articles 226 and 227 of the Constitution of India challenging the order of the Industrial Court rejecting an application for amendment of a written statement in an appeal under the Industrial Employment (Standing Orders) Act, 1946.

Remedy Sought

The petitioner union sought quashing of the order dated 13.10.2016 and a direction to the Industrial Court to permit the filing of the written statement and its amendment.

Filing Reason

The Industrial Court held that no written statement could be filed in an appeal under the Act and that the amendment application contained arguments, hence rejected it.

Previous Decisions

The Industrial Court in Appeal (IESO) No.1 of 2015 rejected the union's application Exhibit U/8 for amendment of written statement on 13.10.2016; prior to that, the union had already filed a written statement.

Issues

Whether filing of a Written Statement / Say is permissible in an appeal under the Industrial Employment (Standing Orders) Act, 1946 and the Bombay Industrial Employment (Standing Orders) Rules, 1959?

Submissions/Arguments

The petitioner union contended that the Industrial Court misread the provisions and that written statements are not prohibited in such appeals, and the amendment should be allowed. The respondent management argued that the appeal under the Act is a summary proceeding confined to the grounds of appeal and does not contemplate a written statement or amendment thereof.

Ratio Decidendi

The Industrial Employment (Standing Orders) Act, 1946 and the Bombay Rules of 1959 do not bar the filing of a written statement or leading of evidence in an appeal. Rule 13 empowers the Industrial Court to call for evidence and conduct the proceedings in a manner that ensures both sides are heard. The term 'appeal' does not rigidly confine the proceeding to a one-sided review; the court has discretion to permit pleadings and evidence. The Industrial Court must apply its mind at the preliminary stages under Rule 13(2) and (3) and record reasons, but in this case, the parties waived any grievance regarding past non-compliance due to the advanced stage.

Judgment Excerpts

It is, therefore, apparent that though the proceedings before the Industrial Court are termed as appeal proceedings, there is a specific method prescribed under Rule 13, thereby enabling the Industrial Court to direct or permit the litigating sides to lead evidence. If Rule 13(1), (2) and (3) are significant and if the fullest meaning is to be attributed to the said provisions, the Industrial Court has to apply it's mind at two stages.

Procedural History

The management filed Appeal (IESO) No.1 of 2015 before the Industrial Court under the Industrial Employment (Standing Orders) Act, 1946, challenging the certified model standing orders. The union (respondent in appeal) filed a written statement. Before issues were cast, the union filed an application Exhibit U/8 seeking to amend its written statement. The Industrial Court rejected the application on 13.10.2016, holding that no written statement is contemplated in an appeal under the Act and that the proposed amendment contained arguments. The union then filed the present writ petition challenging that order.

Acts & Sections

  • Industrial Employment (Standing Orders) Act, 1946:
  • Bombay Industrial Employment (Standing Orders) Rules, 1959: Rule 13
Subscribe to unlock full Legal Analysis Subscribe Now
Related Judgement
High Court Bombay High Court Quashes Industrial Court's Order and Allows Written Statement in Appeal Under Industrial Employment (Standing Orders) Act, 1946. Industrial Court Must Permit Filing of Written Statement and Lead Evidence as Rule 13 of Bombay Rules D...
Related Judgement
High Court High Court of Bombay Directs Food Authorities to Follow Due Process for Seizure of Confectionery Batches Exceeding Colour Limits, While Examining Legality of Lactic Acid Addition. The court held that the question of permissibility of lactic acid in s...