Patna High Court
The Bihar State Road Transport CorporationversusThe State Of Bihar and Ors
- Decided
- Disposal
- ALLOWED
- Bench
- ANSHUMAN
Holding
The Labour Court lacked jurisdiction to adjudicate the reference because the cause of action had ceased to exist, rendering its award void.
Summary
The Bihar State Road Transport Corporation (BSRTC) filed a writ petition challenging a 2011 award of the Patna Labour Court that adjudicated the termination of workman Shri Shyamnandan Singh. The petition argued that the termination order of 12 May 2001 had been set aside by BSRTC, the workman's service was restored, and he had superannuated in 2004, rendering the cause of action non‑existent by the time the award was rendered. The High Court examined whether the Labour Court had jurisdiction to pass an award when the underlying dispute had already been resolved and the cause of action had vanished. Relying on the principles of the Industrial Disputes Act, 1947, particularly Section 11, the Court held that adjudication cannot proceed without a surviving cause of action. Consequently, the Court declared the Labour Court's award bad in law and set it aside, disposing of the petition in favour of the petitioner.
Issues considered
- Whether the Labour Court was competent to pass an award on a reference when the cause of action had become non‑existent.
- Whether the termination order set aside and the workman's reinstatement extinguished the dispute for adjudication under the Industrial Disputes Act.
Legislation cited
Subjects
- Industrial Disputes Act
- Labour Court jurisdiction
- Termination of service
- Cause of action
- Adjudication
- Writ petition
- Back wages
- Reinstatement
Judgment
IN THE HIGH COURT OF JUDICATURE AT PATNA
Civil Writ Jurisdiction Case No.4526 of 2016
======================================================
The Bihar State Road Transport Corporation through the Administrator,
Birchand Patel Marg, Patna
... ... Petitioner/s
Versus
1. The State Of Bihar through the Secretary, Transport Department, Bihar,
Patna.
2. The Presiding officer, Labour Court, Patna
3.1. Nitu Singh D/o late Shyam Nandan Singh Resident of Village- Jahangirpur,
P.O. Tehwara, District-Muzaffarpur.
... ... Respondent/s
======================================================
Appearance :
For the Petitioner/s : Mr. P.K. Verma, Senior Advocate
Mr.Lakshmi Kant Tiwary, Advocate
Mr. Nitesh Kumar, Advocate
For the State : Mr. Yogendra Pd. Sinha, AAG 7
Mr. Rajeev Kumar Sinha, AC to AAG 7
For the Respondent No. 3.1 : None
======================================================
CORAM: HONOURABLE MR. JUSTICE DR. ANSHUMAN
ORAL JUDGMENT
Date : 15-05-2026
Heard Mr. P. K. Verma, learned Senior Counsel,
assisted by Mr. Lakshmi Kant Tiwary and Mr. Nitesh Kumar,
learned Advocates appearing on behalf of the petitioner, and Mr.
Yogendra Pd. Sinha, AAG-7, assisted by Mr. Rajeev Kumar
Sinha, AC to AAG-7, appearing for the State. However, despite
repeated calls, none appeared on behalf of Respondent No. 3.1,
though service has already been held to be valid vide Order No.
14 dated 15.04.2026.
2. Learned Senior Counsel for the petitioner submits
that the present writ petition has been filed challenging the order
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dated 30.11.2011 passed in Reference Case No. 17 of 2003 by
the Presiding Officer, Labour Court, Patna. Learned Senior
Counsel submits that a very limited question is involved in the
present writ petition. He submits that, from the reference itself,
it becomes crystal clear that Reference Case No. 17 of 2003 was
initiated for adjudication of the following issue: “Whether
termination of services of Shri Shyamnandan Singh, workman,
by the Administrator, Bihar State Road Transport Corporation,
Patna, is justified? If not, what relief is he entitled to?”
3. Learned Senior Counsel for the petitioner further
submits that the date of termination of the said workman,
namely, Shyamnandan Singh, was 12.05.2001 and the reference
notification was issued vide Notification No. 7/Shram-D-110-
11/02 L&E-30, Patna dated 03.02.2003. The matter was referred
under the Industrial Disputes Act to the Labour Court for
adjudication. Learned Senior Counsel categorically submits that
it has been specifically acknowledged in Paragraph 5 of the
impugned order that the management authority had filed its
written statement before the Court and thereafter, at some stage,
stopped pursuing the case, as a result of which the proceeding
was directed to proceed ex parte against the management vide
order dated 20.08.2008.
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4. Learned Senior Counsel for the petitioner further
submits, while explaining the circumstances under which the
impugned order passed by the Presiding Officer is without
jurisdiction, that on the date the said order was passed, the cause
of action itself was no longer in existence. He submits that the
termination order dated 12.05.2001 had already been set aside
by the BSRTC (petitioner) and the services of the workman,
Shyamnandan Singh, had been treated as continuous from
12.05.2001, i.e., the date of termination, till 31.07.2004, i.e., the
date of superannuation. Learned Senior Counsel further submits
that the retiral benefits have already been paid to the workman
and only the back wages were not paid. Counsel submits that the
decision of the management accepting his joining after setting
aside the dismissal order dated 12.05.2001 and treating his
service as continuous, while denying back wages for the period
he had not worked, was never challenged before any authority
and, therefore, attained finality. However, this aspect was not
considered by the Labour Court.
5. Learned Senior Counsel further submits that the
final order was passed on 30.11.2011, whereas the termination
order, in respect of which the reference had been initiated, had
already ceased to exist on 11.04.2008. Therefore, he submits
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that the Labour Court passed an order in relation to a non-
existent cause of action on the date of the final decision. He
accordingly submits that the order passed by the Presiding
Officer, Labour Court is bad in law, without jurisdiction, and has
been passed despite there being no surviving cause of action on
the date of its pronouncement.
6. Learned Senior Counsel appearing for the State
submits that whatever has been argued by the learned Senior
Counsel appearing for the BSRTC has been adopted by him
andhe fully supports the said submissions.
7. Respondent No. 3, namely the workman in whose
favour the impugned order has been passed, is no more. Notices
were issued to his daughter, which were received by his cousin,
but despite lapse of more than 30 days, no one has appeared
before this Court on behalf of Respondent No. 3(i). This Court,
vide order dated 15.04.2026, has already treated the service
upon Respondent No. 3 as valid.
8. With a view to decide the issue, which is technical
in nature, this Court is of the opinion that only one question is
involved, namely, whether the Labour Court was competent to
pass an award on a reference when the very question framed in
the reference had become non-existent.
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9. For the purpose of answering the said issue, this
Court deems it appropriate to advert to the fundamental
principles governing adjudication under the Industrial Disputes
Act. In India, adjudication under the Industrial Disputes Act
follows the statutory mechanism whereby a workman has a right
to approach the Labour Authority, whether of the State or the
Central Government, as the case may be. Upon conciliation
proceedings being conducted in presence of both parties, if no
settlement is arrived at, the dispute is referred by the appropriate
Government for adjudication.
10. In the present case, the matter was referred by the
State Government and the question for adjudication was framed
by the Governor vide Notification No. 7/Shram-D-110-11/02
L&E-30, Patna dated 03.02.2003, whereby the matter was
referred to the Presiding Officer, Labour Court, Patna. The
Presiding Officer registered the same as Reference Case No. 17
of 2003 for adjudication.
11. From the records and particularly Paragraph 9 of
the impugned award, it transpires that the very issue under
reference, namely whether the termination dated 12.05.2001
was justified, had become non-existent on 11.04.2008, inasmuch
as the termination order itself had already been set aside and the
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service of the workman had been restored. The workman had
accepted such reinstatement, subsequently superannuated on
31.07.2004, and also received his retiral benefits.
12. From such materials available on record, it clearly
transpires to this Court that the very cause of action which
formed the basis of the reference and adjudication no longer
survived. Therefore, this Court is of the considered view that
once the cause of action itself had become non-existent, no
adjudication ought to have been undertaken. More particularly,
no amendment had ever been sought in the pleadings claiming
any alternative relief, as is permissible in civil proceedings.
13. Adjudication under the Industrial Disputes Act is
also required to be guided by the principles analogous to those
contained in the Code of Civil Procedure, 1908, as contemplated
under Section 11 of the Industrial Disputes Act, 1947.
Accordingly, this Court is of the firm opinion that in absence of
a surviving cause of action, there remained no occasion for
adjudication. However, ignoring the aforesaid legal position, the
Presiding Officer, Labour Court, Patna proceeded to adjudicate
the dispute and passed the impugned award on a reference
which had already become non-existent on the date of the final
order.
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14. Hence, the issue is answered in favour of the
petitioner and against the respondents. Consequently, the
award/order dated 30.11.2011 passed in Reference Case No. 17
of 2003 by the Presiding Officer, Labour Court, Patna is held to
be bad in law and is accordingly set aside.
(Dr. Anshuman, J)
Ashwini/Manshi
AFR/NAFR AFR
CAV DATE NA
Uploading Date 18.05.2026
Transmission Date NA
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