It is a common notion that Writs under Article 226 of the Constitution are
not maintainable where an Alternative Statutory Remedy is available. Most of the
writs are denied hearing/relief at the very outset on the preliminary ground
that Alternative Remedy is available. The moment the respondent's counsel argues
that an alternative remedy is available; the writ is virtually thrown out on
this preliminary ground alone.
The Apex Court and the High Court consistently deprecate the practice of filing
writ petitions in the High Court where an alternative remedy has been provided
under the relevant statute. But it is not an 'Absolute' Rule of Law and there
are
Valid Exceptions where the writ petitions are maintainable in the
High Court and in such cases, the petitioner ought not to be relegated to
alternative remedy.
The Apex Court has consistently held that the High Courts should exercise their
discretionary jurisdiction in-spite of availability of alternative remedy, where
the authority has acted without jurisdiction or in violation of the principles
of natural justice or where vires of the Act has been challenged or for
enforcement of a fundamental right. Let us examine some important judgments of
the Apex Court wherein the exceptions to this rule have been categorically
carved out.
It would be trite to refer to
Whirlpool Corporation vs. Registrar of Trade
marks, Mumbai & Ors.(1998) 8 SCC 1, wherein the Apex Court held as under:
Under Article 226 of the Constitution, the High Court, having regard to the
facts of the case, has a discretion to entertain or not to entertain a writ
petition. But the High Court has imposed upon itself certain restrictions one of
which is that if an effective and efficacious remedy is available, the High
Court would not normally exercise its jurisdiction. But the alternative remedy
has been consistently held by this Court not to operate as a bar in at least
three contingencies, namely, where the writ petition has been filed for the
enforcement of any of the Fundamental Rights or where there has been a violation
of the principle of natural justice or where the order or proceedings are wholly
without jurisdiction or the vires of an Act is challenged.
It would be relevant to refer to
Harbanslal Sahnia v Indian Oil Corpn. Ltd,
(2003) 2 SCC 107, wherein the Apex Court carved out the exceptions thus:
In an appropriate case, in spite of availability of the alternative remedy, the
High Court may still exercise its writ jurisdiction in at least three
contingencies: (i) where the writ petition seeks enforcement of any of the
fundamental rights; (ii) where there is failure of principles of natural
justice; or (iii) where the orders or proceedings are wholly without
jurisdiction or the vires of an Act is challenged.
In
CIT vs. Chhabil Dass Agarwal (2014) 1 SCC 603, the Apex Court
reiterated this proposition and struck a balance between admission and rejection
of writ under Article 226 of the Constitution in case of availability of
alternative remedy and held as under:
19. Thus, while it can be said that this Court has recognized some exceptions
to the rule of alternative remedy, i.e., where the statutory authority has not
acted in accordance with the provisions of the enactment in question, or in
defiance of the fundamental principles of judicial procedure, or has resorted to
invoke the provisions which are repealed, or when an order has been passed in
total violation of the principles of natural justice, the proposition laid down
in
Thansingh Nathmal case, Titagarh Paper Mills case and other similar
judgments that the High Court will not entertain a petition under Article 226 of
the Constitution if an effective alternative remedy is available to the
aggrieved person or the statute under which the action complained of has been
taken itself contains a mechanism for redressal of grievance still holds the
field.
This judgment clearly manifests that if the exceptions carved out consistently
by the Apex Court exist, the High Courts should entertain writ although
statutory alternative remedy is available.
It would be befitting to refer to the 3 member bench of the Apex Court in
Bar
Council of Delhi v. Surjeet Singh AIR 1980 SC 1612 which reiterated the
aforesaid principle and observed thus:
If the alternative remedy fully covers the challenge ..... then that
remedy and that remedy alone must be resorted to ....if the nature of the
grounds of the challenge ...... are such that the alternative remedy is no
remedy in the eye of law to cover the challenge, or, in any event, is not
adequate and efficacious remedy, then the remedy of writ petition ..... is still
available ....
It would be apropos to refer to a recent judgment of the Apex Court in
M/S.
Magadh Sugar And Energy Ltd. vs The State of Bihar in Civil Appeal No. 5728
of 2021 decided on 24 September, 2021, the Court reiterated the hypothesis and
categorically held as under:
19.While a High Court would normally not exercise its writ jurisdiction under
Article 226 of the Constitution if an effective and efficacious alternate remedy
is available, the existence of an alternate remedy does not by itself bar the
High Court from exercising its jurisdiction in certain contingencies. This
principle has been crystallized by this Court in
Whirpool Corporation v.
Registrar of Trademarks, Mumbai (1998) 8 SCC 1 and Harbanslal Sahni v.
Indian Oil Corporation Ltd (2003) 2 SCC 107......
It is necessary to refer to
Radha Krishan Industries v. State of Himachal
Pradesh & Ors 2021 SCC OnLine SC 334 wherein the Apex Court summarized the
principles governing the exercise of writ jurisdiction by the High Court in the
presence of an alternate remedy. The Court observed thus:
28. The principles of law which emerge are that:
- The power under Article 226 of the Constitution to issue writs can be
exercised not only for the enforcement of fundamental rights, but for any
other purpose as well;
- The High Court has the discretion not to entertain a writ petition. One
of the restrictions placed on the power of the High Court is where an
effective alternate remedy is available to the aggrieved person;
- Exceptions to the rule of alternate remedy arise where:
- the writ petition has been filed for the enforcement of a fundamental
right protected by Part III of the Constitution
- there has been a violation of the principles of natural justice;
- the order or proceedings are wholly without jurisdiction; or
- the vires of a legislation is challenged;
- An alternate remedy by itself does not divest the High Court of its
powers under Article 226 of the Constitution in an appropriate case though
ordinarily, a writ petition should not be entertained when an efficacious
alternate remedy is provided by law;
- When a right is created by a statute, which itself prescribes the remedy
or procedure for enforcing the right or liability, resort must be had to
that particular statutory remedy before invoking the discretionary remedy
under Article 226 of the Constitution. This rule of exhaustion of statutory
remedies is a rule of policy, convenience and discretion; and
- In cases where there are disputed questions of fact, the High Court may
decide to decline jurisdiction in a writ petition. However, if the High
Court is objectively of the view that the nature of the controversy requires
the exercise of its writ jurisdiction, such a view would not readily be
interfered with.
The principle of alternate remedies and its exceptions was also recently
reiterated in the case of Assistant Commissioner of State Tax v. M/s Commercial
Steel Limited in Civil Appeal No. 5121 of 2021decided on 6th May, 2020.
The Apex Court in State of HP v. Gujarat Ambuja Cement Ltd (2005) 6 SCC 499
held that a writ petition is maintainable before the High Court if the taxing
authorities have acted beyond the scope of their jurisdiction and observed thus:
23. Where under a statute there is an allegation of infringement of fundamental
rights or when on the undisputed facts the taxing authorities are shown to have
assumed jurisdiction which they do not possess can be the grounds on which the
writ petitions can be entertained. But normally, the High Court should not
entertain writ petitions unless it is shown that there is something more in a
case, something going to the root of the jurisdiction of the officer, something
which would show that it would be a case of palpable injustice to the writ
petitioner to force him to adopt the remedies provided by the statute.
It was
noted by this Court in
L. Hirday Narain v. ITO [(1970) 2 SCC 355: AIR
1971 SC 33] that if the High Court had entertained a petition despite
availability of alternative remedy and heard the parties on merits it would be
ordinarily unjustifiable for the High Court to dismiss the same on the ground of
non-exhaustion of statutory remedies; unless the High Court finds that factual
disputes are involved and it would not be desirable to deal with them in a writ
petition.
The above principle was also reiterated by a three-judge Bench of the Apex Court
in
Executive Engineer v. Seetaram Rice Mill (2012) 2 SCC 108. In that case, a
show cause notice/provisional assessment order was issued to the assessee on the
ground of an unauthorized use of electricity under Section 126 (1) of the
Electricity Act 2003 and a demand for payment of electricity charges was raised.
The assessee filed a writ in the High Court challenging the jurisdiction of the
taxing authorities to issue such a notice. The Apex Court held that the High
Court did not commit any error in exercising its jurisdiction in respect of the
challenge raised on the jurisdiction of the revenue authorities and held thus:
81. Should the courts determine on merits of the case or should they preferably
answer the preliminary issue or jurisdictional issue arising in the facts of the
case and remit the matter for consideration on merits by the competent
authority? Again, it is somewhat difficult to state with absolute clarity any
principle governing such exercise of jurisdiction.
It always will depend upon
the facts of a given case. We are of the considered view that interest of
administration of justice shall be better subserved if the cases of the present
kind are heard by the courts only where they involve primary questions of
jurisdiction or the matters which go to the very root of jurisdiction and where
the authorities have acted beyond the provisions of the Act.
82. It is argued and to some extent correctly that the High Court should not
decline to exercise its jurisdiction merely for the reason that there is a
statutory alternative remedy available even when the case falls in the above
stated class of cases. It is a settled principle that the courts/tribunal will
not exercise jurisdiction in futility.
The law will not itself attempt to do an
act which would be vain, lex nil frustra facit, nor to enforce one which would
be frivolous-
lex neminem cogit ad vana seu inutilia-the law will not force
anyone to do a thing vain and fruitless. In other words, if exercise of
jurisdiction by the tribunal ex facie appears to be an exercise of jurisdiction
in futility for any of the stated reasons, then it will be permissible for the
High Court to interfere in exercise of its jurisdiction. This issue is no longer res integra and has been settled by a catena of judgments of this Court, which
we find entirely unnecessary to refer to in detail...
It would be trite to refer to the landmark Constitution Bench judgment
in
Calcutta Discount Co. vs. ITO-1961 (2) SCR 241wherein the Court observed
thus:
Mr. Sastri next pointed out that at the stage when the Income-tax Officer
issued the notices he was not acting judicially or quasi-judicially and so a
writ of certiorari or prohibition cannot issue. It is well settled however that
though the writ of prohibition or certiorary will not issue against an executive
authority, the High Courts have power to issue in a fit case an order
prohibiting an executive authority from acting without jurisdiction.
Where such
action of an executive authority acting without jurisdiction subjects or is
likely to subject a person to lengthy proceedings and unnecessary harassment,
the High Courts, it is well settled, will issue appropriate orders or directions
to prevent such consequences. Mr. Sastri mentioned more than once the fact that
the company would have sufficient opportunity to raise this question, viz.,
whether the Income-tax Officer had reason to believe that under assessment had
resulted from non- disclosure of material facts, before the Income-tax Officer
himself in the assessment proceedings and, if unsuccessful there, before the
appellate officer or the appellate tribunal or in the High Court under section
66(2) of the Indian Income-tax Act. The existence of such alternative remedy is
not however always a sufficient reason for refusing a party quick relief by a
writ or order prohibiting an authority acting without jurisdiction from
continuing such action.
It would be relevant to cite the case of
State of West Bengal vs. North Adjai
Coal Co. Ltd.-1971 (1) SCC 309 wherein it was held as under:
It is true that normally before a petition under Article 226 of the Constitution
is entertained, the High Court would insist that the party aggrieved by the
order of a quasi-judicial tribunal should have recourse to the statutory
authorities, which have power to give relief. But that is a rule of practice and
not of jurisdiction. In appropriate cases, the High Court may entertain a
petition even if the aggrieved party has not exhausted the remedies available
under a statute before the departmental authorities.
In
Raza Textiles vs. ITO-1973 (1) SCC 633, the Apex Court reiterated that writ
is maintainable if the officer had assumed jurisdiction erroneously. The Court
held thus:
If the High Court comes to the conclusion, as the learned single Judge has done
in this case, that the Income-tax Officer had clutched at the jurisdiction by
deciding a jurisdictional fact erroneously, then the assesses was entitled for
the writ of certiorari prayed for by him.
Reference is necessary to the case of
Jeans Knit Pvt. Ltd. vs. DCIT
Bangalore-(2017) 77 Taxmann.com 176 SC wherein it was observed thus:
We have heard learned counsel for the parties at length and all these matters
can be disposed of by a short order. We find that the High Courts in all these
cases have dismissed the writ petitions preferred by the appellant/assessee
herein challenging the issuance of notice under Section 148 of the Income Tax
Act, 1961 and the reasons which were recorded by the Assessing Officer for
reopening the assessment.
These writ petitions are dismissed by the High Courts
as not maintainable. The aforesaid view taken is contrary to the law laid down
by this Court in
Calcutta Discount Limited Company vs. Income Tax Officer,
Companies District I, Calcutta & Anr. [(1961) 41 ITR 191 (SC)]. We,
thus, set aside the impugned judgments and remit the cases to the respective
High Courts to decide the writ petitions on merits.
The Apex Court in
Kuntesh Gupta vs. Management of Hindu Kanya Mahavidyalaya,
Sitapura & Ors.1987 AIR 2186(SC) dealt with the issue in hand and observed thus:
The next question that falls for our consideration is whether the High Court
was justified in dismissing the writ petition of the appellant on the ground of
availability of an alternative remedy. It is true that there was an alternative
remedy for challenging the impugned order by referring the question to the
Chancellor under section 68 of the U.P. State Universities Act. It is well
established that an alternative remedy is not an absolute bar to the
maintainability of a writ petition. When an authority has acted wholly without
jurisdiction, the High Court should not refuse to exercise its jurisdiction
under Article 226 of the Constitution on the ground of existence of an
alternative remedy.
Similarly in
Baburam Prakash Chandra v. Antarim Zila Parished now Zila
Parished, Muzaffarnagar 1969 AIR 556, the Apex Court dealt with the proposition
in hand and held thus:
It is a well-established proposition of law that when an alternative and
equally efficacious remedy is open to a litigant he should be required to pursue
that remedy and not to invoke the special jurisdiction of the High Court to
issue a prerogative writ. It is true that the existence of a statutory remedy
does not affect the jurisdiction of the High Court to issue a writ. But, as
observed by this Court in
Rashid Ahmed v. The Municipal Board, Kairana
[1950] S.C.R. 566 the existence of an adequate legal remedy is a thing to be
taken into consideration in the matter of granting writs and where such a
remedy exists it will be a sound exercise of discretion to refuse to interfere
in a writ petition unless there are good grounds therefore.
But it should be remembered that the rule of exhaustion of statutory remedies
before a writ is granted is a rule of self imposed limitation, a rule of policy,
and discretion rather than a rule of law and the court may therefore in
exceptional cases issue a writ such as a writ of certiorari notwithstanding the
fact that the statutory remedies have not been exhausted. In
The State of
Uttar Pradesh v. Mohammad Nooh (1958] S.C.R. 595, 605, S.R. Das, C.J.,
speaking for the Court, observed:
In the next place it must be borne in mind that there is no rule, with regard
to certiorari as there is with mandamus, that it will lie only where there is no
other equally effective remedy. It is well established that, provided the
requisite grounds exist, certiorari will lie although a right of appeal has been
conferred by statute. (Halsbury's Laws of England, 3rd Ed., Vol. II, p. 130 and
the cases cited there).
The fact that the aggrieved party has another and adequate remedy may be taken
into consideration by the superior court in 'arriving at a conclusion as to
whether it should, in exercise of its discretion, issue a writ of certiorari to
quash the proceedings and decisions of inferior courts subordinate to it and
ordinarily the superior court will decline to interfere until the aggrieved
party has exhausted his other statutory remedies, if any.
But this rule requiring the exhaustion of statutory remedies before the writ
will be granted is a rule of policy, convenience and discretion rather than a
rule of law and instances are numerous where a writ of certiorari has been
issued in spite of the fact that the aggrieved party. had other adequate legal
remedies.
In the
King v. Postmaster-. General Ex parte Carmichael [1928 (1) K.B.
291] a certiorari was issued although the aggrieved party had and alternative
remedy by way of appeal. It has been held' that the superior court will readily
issue a certiorari in a case where there has been a denial of natural justice
before a court of summary jurisdiction.
The case of
Rex v. Wandsworth Justices Ex parte Read [1942 (1) K.B. 281]
is an authority in point. In that case a man had been convicted in a court of
summary jurisdiction without giving him an opportunity of being heard. It was
held that his remedy was not by a case stated or by an appeal before the quarter
sessions but by application to the High Court for an order of certiorari to
remove and quash the conviction.
Thus, concluding the discussion, it is imperative that the Courts ought to
consider while hearing for admission of a writ petition, that relegating the
petitioner to alternative remedy might subject the petitioner to lengthy
proceedings, unnecessary harassment and the delay, expenditure in terms of time
& money and may frustrate the very purpose of the petitioner and result in abuse
of the process of law. Moreover, it is exigent to understand the expression
'efficacious remedy'. The word 'efficacious' means able to produce the intended
effect or result without much effort, energy, expenditure & time.
If relief is obtained after a long time, subjects the petitioner to unnecessary
& frivolous multi-tiered process, then such remedy cannot by any stretch of
imagination be termed as an ' efficacious remedy'. The High Court should
therefore exercise its extra-ordinary jurisdiction under Art. 226 of the
Constitution judicially. It cannot be denied that if the petition makes a claim
which is frivolous, vexatious, or prima facie unjust, or may not appropriately
be tried in a petition invoking extra-ordinary jurisdiction, the Court may
decline to entertain the petition.
But a party claiming to be aggrieved by the action of a public body or authority
on the plea that the action is unlawful, high-handed, arbitrary or unjust and
such action lacks jurisdiction or exceeds jurisdiction then the petitioner is
entitled to a hearing of its petition on the merits.
Written By: Inder Chand Jain
Email:
[email protected], Ph no: 8279945021
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