High Court Sets Aside Interim Order in Fair Price Shop Dispute — Ensures Hearing for Affected Parties.

High Court: Andhra Pradesh High Court
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Case Note & Summary

The dispute arose from a writ petition challenging the suspension of authorization for Fair Price Shop No.1337037, which was issued by the Revenue Divisional Officer on 31.03.2026. The writ petitioner contended that the suspension violated principles of natural justice as he was not given a hearing prior to the order. The learned Single Bench granted interim relief by suspending the operation of the suspension order and allowing the writ petitioner to distribute commodities through the Fair Price Shop. The appellant, who was appointed as a temporary dealer on 24.04.2026, argued that she was not impleaded in the writ petition despite being aware of the interim arrangement. The appellant's counsel emphasized that the learned Single Bench failed to consider the provisions of the Andhra Pradesh State Targeted Public Distribution System (Control Order) 2018, which allowed for suspension without prior notice, but required a hearing before final orders. The respondent's counsel supported the Single Bench's order and sought dismissal of the appeal. The court noted that the Single Bench recognized the appellant's temporary appointment but failed to implead her in the writ petition, which directly affected her interests. The court concluded that the interim order was invalid as it did not provide for a hearing to the appellant. Consequently, the court set aside the impugned order and directed that the matter be placed before the Single Bench for a fresh hearing, ensuring all parties, including the appellant, were heard. The court maintained the status quo until the next hearing date, 05.08.2026.

Headnote

A) Administrative Law - Natural Justice - Requirement of Hearing - Fair Price Shop authorization - Court held that the appellant, being a temporary dealer, should have been given an opportunity to be heard before the suspension order was passed, as her interests were directly affected. The impugned order was set aside for not adhering to principles of natural justice (Paras 9-10).

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Issue of Consideration

Whether the interim order suspending the authorization of a Fair Price Shop was valid without affording an opportunity of hearing to the affected party.

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Final Decision

The court set aside the interim order dated 22.05.2026, directed that the appellant be impleaded as a party in the writ petition, and requested the Single Bench to hear the matter afresh, maintaining the status quo until the next hearing.

Law Points

  • Natural justice
  • Interim relief
  • Fair Price Shop authorization
  • Public interest suspension
  • Opportunity of hearing
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Case Details

2026 LawText (AP) (08) 11

Writ Appeal No: 921 of 2026

2026-08-03

LISA GILL, BALAJI MEDAMALLI

Ms. Sanaka Manaswi, GP for Civil Supplies, Mr. M. M. M. Srinivasa Rao

Smt. P. Hemalatha

P. Satish Reddy and Others

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Nature of Litigation

Writ appeal challenging an interim order regarding Fair Price Shop authorization.

Remedy Sought

Appellant sought to set aside the interim order and be heard in the matter.

Filing Reason

The writ petitioner challenged the suspension of his Fair Price Shop authorization.

Previous Decisions

The learned Single Bench had suspended the operation of the suspension order.

Issues

Validity of interim order without hearing affected party Consideration of natural justice principles

Submissions/Arguments

Appellant argued lack of hearing violated natural justice Respondent supported the Single Bench's interim order

Ratio Decidendi

The court emphasized the necessity of adhering to principles of natural justice, particularly the right to be heard, before passing orders that affect a party's interests.

Judgment Excerpts

The order which is now impugned cannot stand even for a limited cause in view of the ratio laid down by the Hon’ble Supreme Court. It would have been appropriate to implead present appellant as party to writ petition and afford an opportunity of hearing.

Procedural History

The writ petition was filed challenging the suspension order, leading to an interim order by the Single Bench, which was then appealed.

Acts & Sections

  • Andhra Pradesh State Targeted Public Distribution System (Control Order): Clause 8
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