Supreme Court Dismisses Appeal Regarding Solicitors' Work as Industry Under Industrial Disputes Act. The Court held that the work of solicitors does not constitute an industry under section 2(j) of the Industrial Disputes Act, 1947, as it lacks the necessary cooperation between capital and labour.

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Case Note & Summary

The case arose from a dispute between the National Union of Commercial Employees and a firm of solicitors regarding a claim for bonus made by the employees for the years 1956 and 1957. The State Government referred the dispute to an Industrial Tribunal under the Industrial Disputes Act, 1947. The respondents contended that their profession did not qualify as an industry under section 2(j) of the Act, leading to a preliminary objection that the Tribunal lacked jurisdiction. The Tribunal upheld this objection, stating it had no jurisdiction to adjudicate the dispute. The appellants challenged this decision in the Bombay High Court, which agreed with the Tribunal's conclusion. Subsequently, the appellants sought a certificate from the High Court to appeal to the Supreme Court. The Supreme Court examined whether the solicitors' work could be classified as an industry. It referenced previous judgments, particularly the Hospital case, which established a working test for defining industry based on the cooperation between capital and labour. The Court concluded that the work of solicitors is fundamentally individualistic and does not involve the necessary cooperation to be classified as an industry. Therefore, the appeal was dismissed, affirming the lower courts' decisions. No order was made regarding costs.

Headnote

A) Industrial Law - Definition of Industry - Solicitors' Work Not an Industry - Industrial Disputes Act, 1947, Section 2(j) - The Supreme Court held that the work of solicitors does not constitute an industry as defined under the Act, emphasizing that the essential basis of an industrial dispute is the cooperation between capital and labour, which is absent in the case of liberal professions like solicitors. The Court reasoned that the professional service rendered by solicitors is individualistic and does not involve the direct cooperation necessary to satisfy the definition of 'industry' under the Act. (Paras 1-2).

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Issue of Consideration

Whether the work of solicitors constitutes an industry under section 2(j) of the Industrial Disputes Act, 1947.

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Final Decision

The Supreme Court dismissed the appeal, affirming that the work of solicitors does not constitute an industry under section 2(j) of the Industrial Disputes Act, 1947, and no order was made regarding costs.

Law Points

  • definition of industry
  • industrial dispute
  • professional service
  • co-operation between capital and labour
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Case Details

Civil Appeal No. 24 of 1961

1962-02-13

P. B. Gajendragadkar, A. K. Sarkar, K. N. Wanchoo

A. S. Chari, S. T. Dewan, V. J. Merchant

National Union of Commercial Employees

M. R. Meher, Industrial Tribunal, Bombay

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Nature of Litigation

Dispute regarding the classification of solicitors' work as an industry under the Industrial Disputes Act.

Remedy Sought

The appellants sought adjudication of the dispute regarding bonus claims.

Filing Reason

The respondents contended that the dispute was not an industrial dispute under the Act.

Previous Decisions

The Tribunal and the High Court both held that the solicitors' work did not constitute an industry.

Issues

Whether the work of solicitors constitutes an industry under section 2(j) of the Industrial Disputes Act.

Submissions/Arguments

The appellants argued that the work of solicitors involves cooperation between employees and employers, qualifying it as an industry. The respondents contended that the work is individualistic and does not meet the definition of industry.

Ratio Decidendi

The Court held that the work of solicitors is individualistic and lacks the necessary cooperation between capital and labour to be classified as an industry under section 2(j) of the Industrial Disputes Act, 1947.

Judgment Excerpts

The work of solicitors is not an industry within the meaning of s. 2(j) of the Industrial Disputes Act, 1947. The essential basis of an industrial dispute is that it arises between capital and labour.

Procedural History

The dispute was referred to the Industrial Tribunal by the State Government, which upheld the respondents' objection regarding jurisdiction. The High Court dismissed the appellants' writ petition, leading to the appeal in the Supreme Court.

Acts & Sections

  • Industrial Disputes Act, 1947: 2(j)
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