Act of Settlement 1781

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The key takeaways are that the Act of Settlement 1781 was passed to address defects in the Regulating Act of 1773 by clarifying the roles of the Supreme Court and Governor-General in Bengal and protecting native customs and laws.

Several issues arose from the administration of Warren Hastings, including controversial court cases. There was also tension between the Supreme Court and Governor-General which disrupted governance. A committee investigation recommended reforms.

The Act aimed to resolve ambiguities that created divisions between the court and government, support lawful governance of Bengal so revenue could be collected smoothly, and maintain native customs and laws.

Gust Indicature

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Timeline Pitts India Act 1784

For Better understanding


The Act of Settlement 1781

•The Act of Settlement was an Amending Act of 1781,


which was passed by British

Parliament on 5th July 1781 to remove the defects of


the Regulating Act 1773.

•It is also known as Declaratory Act, 1781


Amending Act
Bengal judiciary Act
Time stamp
720p/1080p
Notes link given in the discription box
Circumstances that led to the passing of Act of Settlement
Though the Regulating Act of 1773, brought a great level of change both in the
regulation of affairs and judiciary, there were some significant loopholes which
this act failed to resolve. Basically, to remove the defects of the Regulating act of
1773, the Act of Settlement 1781 was enacted.

Firstly, some serious issues with the administration of the Warren Hastings
werethere. The relevant examples of such issues are Patna case, Cosijurah Case
and particularly the Nand Kumar case where (Nand Kumar was hanged). These
all issues let to a lot of criticisms of administration of Warren Hastings.

Secondly, there was a big tussle between the Supreme Court and
Governor-General in Council which disturbed the balance of administration
to a great extent.
Also, there was interference in the personal laws of the communities which
had agitated the people.
Also, in the year 1777, a complaint was made by the directors
of the company against the Supreme Court as for them it was
difficult to run the administration. To address this complaint,
the House of Commons, appointed a committee known as
Touchet Committee to a do an inquiry about the
administration of Bengal, Bihar,
and Odisha.

The report of this committee led to the enactment of the Act


of Settlement of 1781
The Aim of the Act

The main objectives of the enactment of this Act were :

1. To remove ambiguity regarding the few provisions of the Regulating Act and the
Charter which had created the division between the court and the government.

2. To support the lawful government of Bengal, Bihar, and Orissa, so that revenue
could be collected smoothly.

3. To maintain and protect the laws and customs of the native people.
Key Provisions (features) of the Act

The Governor-General and Council were exempted from the Jurisdiction of the
Supreme Court for the acts done in official way.

Protection of native customs-Act provided that native customs and laws must
be applied when dispute is between natives. It stated that personal laws should be
applied to matters related to succession and inheritance etc.

Restriction over supreme court-Act stated that supreme court had no


jurisdiction over matter of revenue, it’s collection or any order relating to
revenue collection

No authority over executives –Act stated that Supreme court will not
exercise any authority over Governor and his council
1. The act declared that supreme court could not make any jurisdiction in revenue cases.
2. The persons who are having there lands or who came under the employment in the
province of Bengal, bihar and Orissa were free from the control of supreme court.
3. The officers of company and zamindars were also immuned from the jurisdiction of
supreme court in matters of inheritance, succession and contracts etc.
4. This act of settlement for the first time made the provincial council independent in the
decisions of civil and criminal cases. From the jurisdiction of supreme court.
5. Under this act supreme court was not empowered to take actions against the judicial
officers in their judicial capacity.
6. But it does not mean that they were exempted from action for corrupt practices. They could
be tried by the supreme court for bribery, corruption etc. but after being served due notice
about such action.
7. The act also provided provision for preserving the civil and religious law of the natives.
8. The act empowered the governor general and council to frame the rules for settling the
civil and criminal cases in provincial council.
9. The act directed that all the defendants of patna case should be released from the prisons
on the security given by governor general and council for payments of damages.
Impacts of the Act of the Settlement

The major impacts of this act were :

The act gave superior authority to the council over the court and favored the
council.

This act made the position of the council very strong so that it could continue to
have a good control over the Indian empire.

It was the first attempt to separate the executive from the judiciary by defining
the respective areas of jurisdiction.

Still, the Act failed to give a vibrant impact and to remove all the flaws of the
Regulating Act of 1773.
Conclusion
These to enactment brought many great changes to the system of administration
and justice.it can also be concluded that the Regulating Act of 1773 laid the
foundation of the Central Administration and Parliamentary Control. But, there
were also some drawbacks to both the acts which can’t be ignored.

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