Interpretation of Statutes Problem Type Questions

1. Avatar contends before the competent court that the sale of betel leaves shall not be made
liable for sale tax relying a dictionary meaning given on the said term as vegetable. Decide.

Ans – Literal/ General Interpretation - Ramavtar v Assistant Sales Tax Officer (AIR 1961SC
1325)the question before the court was whether the sale of betel leaves was subject to sales
tax. The contention given by the appellant was that betel leaves being vegetables were not
subject to sales tax. The appellant relied on the dictionary meaning of vegetable which says that
a vegetable is that which is pertaining to, comprised or consisting of, or derived, or obtained
from plants or their parts. The Supreme Court rejected the contention and held that betel leaves
could not be given the dictionary, technical or botanical meaning when the ordinary and natural
meaning is clear and unambiguous. Being a word of everyday use it must be understood in its
popular sense by which the people are conversant with it as also the meaning which the statute
dealing with the matter would attribute to it. Therefore, the sale of betel leaves was liable to
sales tax.

2. Ram who is sentenced to life imprisonment pleas to the court which passed such sentence
to set-off the period of pre-conviction u/s 428 of Cr.P.C. But the Government pleader
opposes it u/s 433-A of Cr. P.C. Decide.

Ans - Liberal Construction of Remedial Statutes - Bhagirath v Delhi Administration (AIR 1985
SC 1050) In this case the Supreme Court held that the beneficient provision of s 428, Cr PC
directing set-off of the period of pre-conviction detention against the 'term' of imprisonment is
applicable even to cases where the sentence is imprisonment for life and that such a sentence is
also imprisonment 'for a term' within the section.

3. S. 418 of the Delhi Municipal Corporation Act, 1957 authorised the officers to raid and
impound the cattle abandoned. Petitioner let his cattle unattended on the street, the officer
impounded the same. Petitioner argued that the provision enabled the officer to impound
only the abandoned cattle, that is to say, ownerless cattle. Municipality contends that it
meant impounding of cattle owned and let loose or unattended causing disturbance to
public. Decide with reference to applicable rule of interpretation.

Ans - The Mischief Rule - Kanwar Singh vs Delhi Administration (1965 AIR 871). In this case
court held that the word "abandoned" occurred in section 418(1), the meaning which can
reasonably be attached to it is "let loose" in the sense of being "left unattended" and
certainly not "ownerless". It is the duty of the Court in construing a statute to give effect to the
intention of the legislature so as to "advance the remedy and suppress the mischief". The
legislature when it used the word "abandoned" in section 418(1) did not intend to say that the
cattle must be "ownerless".

4. A statutory provision provides, "Government may appoint as many special judges as may be
necessary for any area as for any case or group of cases". Government through an order
appointed ten judges for an area, two judges for a case of national importance and three
judges to decide a group of special cases. It was argued in challenge that the Government
may either appoint judges for an area or for a case or for a group of cases and as such the
present order is void. Decide with reasons.

Ans - Conjunctive and Disjunctive words -In J Jayalalitha v Union of India, S 3 of the Prevention of
Corruption Act, 1988 empowers the Government to appoint as many special judges as may be
necessary for such area or areas or for such case or group of cases, as may be specified in the
notification. Construing the italicized ‘or’ it was held that it would mean that the Government has
the power to do either or both the things, i.e., the Government may, even for an area for which a
special judge has been appointed, appoint a special for a case or group of cases. The case illustrates
that the alternatives joined by ‘or’ need not always be mutually exclusive.

5. Petitioner the dealer in betel leaves was assessed to sales tax under the C.P and Berar Sales
Tax Act, 1947. According to S.6, items mentioned in II schedule are exempt from tax.
Scheduled items included "vegetables" and "betal leaf" but subsequently by amendment
"betel leaf' is omitted. It was contended that the betel leaf though omitted is still included in
the word "vegetable" and as such not taxable. Decide applying relevant rule of
interpretation.

Ans - Ramavtar v Assistant Sales Tax Officer (AIR 1961SC 1325)the question before the court was
whether the sale of betel leaves was subject to sales tax. The contention given by the appellant was
that betel leaves being vegetables were not subject to sales tax. The appellant relied on the
dictionary meaning of vegetable which says that a vegetable is that which is pertaining to, comprised
or consisting of, or derived, or obtained from plants or their parts. The Supreme Court rejected the
contention and held that betel leaves could not be given the dictionary, technical or botanical
meaning when the ordinary and natural meaning is clear and unambiguous. Being a word of
everyday use it must be understood in its popular sense by which the people are conversant with it
as also the meaning which the statute dealing with the matter would attribute to it. Therefore, the
sale of betel leaves was liable to sales tax.

6. There exists an agreement between two parties to resolve the dispute by arbitration. But
the parties invoke the jurisdiction of the consumer forum to resolve their dispute. Can
consumer forum be mandated to refer the dispute u/s 8(1) of Arbitration and Conciliation
Act? Decide.

Ans - Historical Facts and Surrounding Circumstances – The state of things / affairs existing at the
time when a law was enacted are called ‘Historical Facts and Surrounding Circumstances

In Skypak Couriers Ltd. v. Tata Chemicals, (2000) 5 SCC 294, SC Court laid down that, “Even if there
exists an arbitration clause in an agreement and a complaint is made by the consumer, in relation to
a certain deficiency of service, then the existence of an arbitration clause will not be a bar to the
entertainment of the complaint by the Redressal Agency, constituted under the Consumer
Protection Act, since the remedy provided under the Act is in addition to the provisions of any other
law for the time being in force.”

Another judgment which is relevant for the present issue is National Seeds Corporation Limited vs.
M. Madhusudhan Reddy and another, (2012) 2 SCC 506. In this case, the respondent filed a
complaint in the District Consumer Redressal Forum that they had suffered loss due to failure of the
crops/less yield because the seeds sold/supplied by the appellant were defective. The compensation
was awarded against which appeal was dismissed. The appellant challenged the order of the
Commission and main contention was that the District Forum has no jurisdiction to entertain the
complaint, in view of the provisions of Seeds Act, 1966 it was contended that there was arbitration
clause contained in the agreement and the only remedy available to the respondent is an
appropriate arbitration and the District Forum has no jurisdiction to entertain the complaint. This
Court repelled the submission and dismissed the appeal. (In National Seeds Corporation Limited v
Madhusudhan Reddy & Anr.172, the Supreme Court has considered the background in which the
Consumer Protection Act, 1986, was enacted as well as its salient features to hold that framers /
growers would fall within the wide definition of ‘consumer’ in S 2 (1) (d) of the Act, and would be
entitled to claim compensatory relief for loss suffered on account of defective seeds supplied to
them, and that arbitration was not the only available remedy, but rather an optional remedy.
Historical evolution of a provision in the statute is also sometimes a useful guide to its construction.)

7. An appraiser whose service is often sought by the Bank to weigh and test gold ornaments
brought as security for bank loan claims himself as workman u/s 2(S) of Industrial Dispute
Act, 1947. Decide.

Ans - M/S PURI URBAN COOPERATIVE BANK V. MADHUSUDAN SAHU AND ANOTHER, SC court held
that appraisers are not workmen, there is no master – servant relationship.

8. Mohan files a water pollution case in criminal court under Section 133 of Cr.P.C. but
magistrate does not entertain the case stating Pollution Control Board has jurisdiction under
the Water (Prevention and Control of Pollution) Act, 1974, not the Criminal Court. Advice
Mohan with the help of suitable rule of interpretation.

Ans – Implied repeal - The doctrine of implied repeal is based on the theory that the Legislature,
which is presumed to know the existing law, did not intent to create any confusion by retaining
conflicting provisions and, therefore, when the Court applies the doctrine, it does no more than give
effect to the intention of the Legislate by examining the scope and the object of the two enactments
and by a comparison of their provisions. A repeal by implication will not be inferred merely from
something contained in the preamble of the Act. The continuance of existing legislation, in the
absence of an express provision of repeal, being presumed, the burden to show that there has been
a repeal by implication lies on the party asserting the same.

The Supreme Court in the case of State of M.P v. Kedia Leather & Liquor Ltd. (2000) declared that
the enactment of new pollution control laws doesn’t repeal Section 133. It was also said that areas
of this section and pollution laws are not identical in nature.

9. A minor has right to maintenance under Cr.P.C. Muslim Women (Protection of Rights on
Divorce) Act, 1986 also enables Muslim woman to claim maintenance for her children.
Under which law can a Muslim minor claim maintenance ? Decide with the help of relevant
rule of interpretation.

Ans - In Noor Saba Khatoon v. Mohd Qasim, it was held that effect of a beneficial legislation is not
construed to be defeated by a subsequent legislation except through a clear provision. Therefore,
the rights of the minor children, irrespective of their religion, to get maintenance from their parents
as provided in s 127 of the Criminal Procedure Code 1973 was construed not to have been taken
away in respect of Muslims by the Muslim Women (Protection of Rights on Divorce) Act 1986.
Section 3(b) of the Muslim Women (Protection of Rights on Divorce) Act 1986, enables a divorced
Muslim woman to claim maintenance for the minor children up to the age of two years only from
her former husband. It has been held that the right of children to claim maintenance under s 125 Cr
PC is independent of the right of the divorced mother to claim maintenance for the infant children
and the former is not affected by the Muslim Women Act 1986.

10. Special Courts Act, 1992 which confers civil jurisdiction on special court relating to any
property bars the jurisdiction of any other court. Where as recovery of debts due to Banks
and Financial Institutions Act, 1993 provides for tribunals to recover debts due to Banks and
 financial institutions. Both are 'Non Obstante Clauses". Resolve the clash between the two
laws using relevant rule of interpretation.

Ans – KSL Industries Ltd v. Arihant Threads Ltd (2008) 9 SCC 763, - In a case involving interpretation
of non obstante clauses in s 22 of the Sick Industrial Companies (Special Provisions) Act 1985 (SICA)
and s 34 of the Recovery of Debts Due to Banks and Financial Institutions Act 1993 (RDDB Act), the
question before the court was that in case of a conflict which clause would prevail over the other.
According to the facts, Debt Recovery Tribunal (DRT) had decreed the bank's application under RDDB
Act. Recovery proceedings were initiated, auction sale of property was concluded, the highest bidder
had deposited the entire sale price and the DRAT had confirmed the auction sale in favour of that
bidder. At this stage, the debtor company approached the Board for Industrial and Financial
Reconstruction (BIFR) which in turn declared the debtor company as a 'sick company' and passed
orders for rehabilitation scheme. In these circumstances, it was held that the 1993 Act being
subsequent in point of time should be given priority and primacy over SICA. Moreover, in view of s
34(2) and. preamble of the RDDB Act, all other laws whether general or special, prior or subsequent
have to be interpreted and applied keeping in view the object of enactment of the 1993 Act. Hence,
in case of conflict, RDDB Act would prevail over SICA.

(Morgan Securities & Credit (P) Ltd v. Modi Rubber Ltd - It was held that the ordinary rule of
construction is that where there are two non obstante clauses, the latter shall prevail. But the
ultimate conclusion would depend upon the limited context of the statute. The endeavour of the
court would however, always be to adopt a rule of harmonious construction.)

11. Workmen in an industry resorted to strike without giving notice of strike. In an industrial
dispute raised by trade union for wages during strike period, it was decided by the Labour
Court that the strike was "illegal" and hence no wages are payable. Later, employer filed a
suit in a civil court claiming damages against the trade union for the loss of business during
strike period. Trade union argues civil court's jurisdiction to award compensation is ousted.
Decide with reasons.

Ans – Statutes affecting jurisdiction of court – when a new right or liability is created by a statute
which gives a special remedy for enforcing it, the ordinary remedy of approaching the civil court is
impliedly excluded - In Rohtas Industries Ltd v Rohtas Industries Staff Union it was held that for
wrongs created by the Act the only remedy is what is provided in the Act. Therefore, in case of a
strike which is illegal the employer can have the workers punished under s 26 but he has no right to
claim compensation for loss of business caused by the illegal strike.

12. S. 36(1) of the Industrial Disputes Act, 1947 prohibits the appearance of parties. through an
advocate before the conciliation proceedings and before the court of inquiry and sub Section
(2) provides, in any proceedings, before the Labour Court, industrial Tribunal or National
Tribunal, a party to a dispute may be represented by a legal practitioner with the consent of
the other parties to the proceeding and with the leave of presiding officer. But S.30 of the
Advocates Act, 1961 provides, subject to provisions of this Act, every advocate whose name
is entered in the state roll shall be entitled as of right to practice throughout the territories
to which this Act extends, in all courts including the Supreme Court, before any tribunal to
person legally authorized to take evidence. Decide, if S.36 of the ID Act, 1947 is deemed to
be repealed by implication in light of contradicting provisions of S .30 of the Advocates Act,
1961. Give reasons.
Ans - Prior special law is not repealed by later general law - Ordinarily, a prior particular law or
special law is not readily inferred to be repealed by a later general law. The basis of this doctrine is
the principle of ‘GENERALIA SPECIALIBUS NON DEROGANT’ which means that general things do not
derogate from special things. Therefore, in the absence of clear and unequivocal words, a special law
cannot be abrogated by a subsequent general Act. - In Paradip Prot Trust, Paradip v Their
Workmen, S 36 (4) of Industrial Disputes Act, 1947 was in question which provides that a party
cannot be represented by a legal practitioner before a Labour Court, Tribunal or National Tribunal
except with consent of other parties and with leave of Labour Court , Tribunal or National Tribunal.
Industrial Disputes Act, 1947 is a special law. Subsequently, Advocates Act, 1961 was enacted S 30 of
which provides that every advocate shall be entitled as a right to practice in all courts and before any
Tribunal. It was held that the provision u/S 36 (4) of IDA was not affected by S 30 of AA.

13. Suraj was held liable to be punished for contravening S.7 of Prevention of Food Adulteration
Act, 1954 even though he had no guilty mind as he did not know that the food article was
adulterated. He challenges his conviction. Decide with the help of appropriate rule of
interpretation.

Ans - MENS REA in Statutory Offences - The principle related to MENS REA is expressed in the
maxim ‘ACTUS NON FACIT REUM NISI MENS SIT REA’ which means that the existence of a guilty
intent is an essential ingredient of a crime at common law. - In Sarjoo Prasad v State of UP, it was
held that any person, whether employer or employee contravening the provisions of S 7 of the Food
Adulteration Act, 1954 is liable to punishment u/S 16 and it was not necessary for the prosecution to
establish that the person concern has guilty knowledge or intention or that he knew that the article
was adulterated.

14. Employer has to pay maternity benefit by way of wages for the actual period of a woman's
absence for six weeks under Maternity Benefits Act while calculating wages he excludes
Sundays. Meena questions it and claims that she should get wages for Sundays also. Advice
her with the help of suitable rule.

Ans – Beneficial rule – In B. Shah v. Labour Court Coimbatore, court held that the computation of
maternity benefit has to be made for all the days including Sundays and rest days which may be
wage less holidays comprised in the actual period of absence of the woman extending upto six
weeks preceding and including the day of delivery as also for all the days falling within the six weeks
immediately following the day of delivery

15. B abused A by using unparliamentary words against him. A angered by this hit B on his head.
B fell unconscious and was taken to the hospital. where he was declared brought dead. A
was charged with the commission of a crime under Indian penal code. But A denied the
criminal liability holding that he exercised his right of self defence and the death was an
accident. Whether A is guilty of crime ? Decide with appropriate rule of interpretation.

Ans – Strict interpretation of Penal Statute- It is not self defence.

16. Prakash Ayurvedic Bhavan manufactures medicinal preparation for the internal and external
use of human being. For the manufacture of medicine, many ingredients are being used and
liquor is one amongst them. The excise commissioner sought to impose excise duty on the
liquor quantum used for the medicinal preparation. This was objected by the Bhavan on the
ground that it is medicine and not alcohol that they manufacture and sell. Decide by
applying suitable rule of interpretation. Whether imposition of excise duty is justified?
Ans – Strict interpretation of Taxing Statutes- he has to pay tax- Baidyanath Ayurved Bhawan (P)
... vs Excise Commissioner, U.P. & Ors

17. According to Karnataka Electricity Act, 1948, the Electricity Board is empowered to fix
electricity tariff depending upon nature of supply, geographic location, purpose of supply
and others. How to interpret the word 'Others' in this case ? Decide with suitable rule of
interpretation.

Ans - The Rule of Ejusdem Generis - literally means 'of the same kind or species'.