Saturday, May 16, 2020

No action against firms for non-payment: Supreme Court

Supreme Court on Friday asked the government not to resort to any coercive action against private companies who have not paid their workers full wages during the lockdown in accordance with a government order in March.

The order came on petitions, including one filed by an association of companies from Punjab, challenging the validity of the MHA notification mandating payment of full wages to workers during the lockdown.

“How long can the government expect companies to pay?” a three-judge bench headed by Justices L Nageswara Rao asked Solicitor General Tushar Mehta who sought further time to respond to the petition. While hearing another petition filed by Ficus Pax Ltd, the apex court had last month given two weeks to the Centre to place on record its policy on the MHA notification directing payment of full salaries/wages to employees/workers during the lockdown.

Ludhiana Hand Tools Association has also challenged the validity of Section 10(2)(i) of the Disaster Management Act, 2005.

Terming the MHA order as arbitrary, it said the order violated the private firms’ right to carry on any occupation, trade or business guaranteed under Articles 19(1)(g) of the Constitution.

Business affected

The bench said there may be small industries, which are affected due to the lockdown as they can sustain for say 15 odd days but not more and if they cannot earn, how are they going to pay their workers

Thursday, May 14, 2020

SC extends limitation for Arbitration Act, Negotiable Instruments Act cases

The Supreme Court on Wednesday extended the period of limitation for cheque bounce cases and arbitration proceedings amid the COVID-19 pandemic and lockdown.

A Bench led by Chief Justice S.A. Bobde issued notice to the government through the Attorney-General to find if there were other laws which require extension of limitation period.

On March 23, the court had used its extraordinary powers under Article 142 to lift the limitation period for all cases across tribunals and courts until further notice to obviate difficulties and ensure that lawyers/litigants do not have to come physically to file proceedings.

The “period of limitation” is the maximum time set by a statute beyond which the alleged violator faces legal action.

“In view of this court’s earlier order on March 23 and taking into consideration the effect of the COVID-19 and resultant difficulties being faced by the lawyers and litigants and with a view to obviate such difficulties and to ensure that lawyers/litigants do not have to come physically to file such proceedings in respective Courts/Tribunal across the country including this Court, it is hereby ordered that all periods of limitation prescribed under the Arbitration and Conciliation Act, 1996 and under Section 138 of the Negotiable Instruments Act 1881 shall be extended with effect from March 15 , 2020 till further orders,” the Supreme Court order read.

In case the limitation has expired after March 15, then it would be extended for 15 days post the lifting of the lockdown.




COVID-19: New dress code for advocates at Supreme Court

Amid COVID-19 outbreak, the Supreme Court of India has directed advocates that they may wear "plain white shirt/salwar-kameez/saree, with a plain white neckband" during the hearings being done through Virtual Court System.

The circular issued on May 13 in the name of Secretary-General, Sanjeev S Kalgaonkar, read, "As a precautionary measure to contain the spread of COVID-19 infection under the prevailing conditions, the Competent Authority has been pleased to direct that the advocates may wear 'plain white-shirt/white-salwar-kameez/white saree, with a plain-white neckband' during the hearings before the Supreme Court of India through Virtual Court System."

It added that the system will stay in place till the "medical exigencies exist or until further orders."

The directions came into force with immediate effect, as per the circular.

Earlier yesterday, Chief Justice of India (CJI) Sharad Arvind Bobde said that doctors have advised not to wear gowns and coats, as it "makes it easier to catch virus" and spread the chances of COVID-19".

"We are advised by doctors not to wear gowns and coats (jackets), as it 'makes it easier to catch virus' and spread the chances of COVID-19. That's why we are today only in white shirt and band," the CJI said.

He said that he may also issue a dress code for other judges and lawyers who may appear through video conferencing in Supreme Court cases. On Wednesday, Judges at the top court were seen sitting wearing white shirts and band.

Generally, Supreme Court Judges have to wear gowns and coats (jackets) as well.