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Supreme Court of India

CHIEF ENGINEER, HYDEL PROJECT & ORS.versusRAVINDER NATH & ORS.

Citation
2008 INSC 92
Decided
24 January 2008
Disposal
Case Allowed

Holding

A dispute involving enforcement of rights under Certified Standing Orders and the Industrial Disputes Act is an industrial dispute, so civil courts lack jurisdiction and any decree they pass is a nullity.

Summary

The respondents, who were work‑charge employees on the Anandpur Sahib Hydel Project, were terminated after the project’s completion under Rule 20(1) and Rule 3‑A of the Certified Standing Orders. They filed a civil suit seeking a declaration that the termination was illegal, reinstatement and back‑wages. The trial court and the High Court decreed in their favour, holding that the employer had violated the ‘last‑come‑first‑go’ principle. The employers appealed to the Supreme Court, contending that the dispute fell within the Industrial Disputes Act, 1947 and that civil courts therefore lacked jurisdiction, and that the jurisdiction objection could not be raised for the first time at this stage. The Court held that the relief sought (reinstatement and back‑wages) is enforceable only under the Industrial Disputes Act, making the matter an industrial dispute; consequently, the civil courts were statutorily barred from hearing it and any decree they passed is a nullity under the doctrine of coram non‑judice. The Court also held that a jurisdictional objection may be raised even if not raised earlier. The appeal was allowed, setting aside the lower courts’ judgments, with no order as to costs.

Issues considered

  • Whether the claim for reinstatement and back‑wages is covered by the Industrial Disputes Act, 1947 and thus falls outside the jurisdiction of civil courts.
  • Whether a jurisdictional objection not raised in the first and second appellate courts can be raised before the Supreme Court.

Legislation cited

Subjects

industrial disputejurisdictioncivil courtIndustrial Disputes Actcoram non-judicereinstatementback wagesCertified Standing Orderswork-charge employees

Judgment

                         [2008] 1 S.C.R. 1121


A         CHIEF ENGINEER, HYDEL PROJECT & ORS.
                                   v.
                     RAVINDER NATH & ORS.
                   (Civil Appeal No. 658 of 2008)
                         JANUARY 24, 2008
B
            (S.B. SINHA AND V.S. SIRPURKAR, JJ.)
                                                                        -+-
         Labour Law:

         Certified Standing Orders:
c
        r20 rlw r3(9) - Workers engaged on work-charge basis
  for a specific project - Termination of services of workers on
  completion of project - Challenged in a civil suit for declaration
  and claiming reinstatement with back wages - Specific plea
D of exclusion ofjurisdiction of civil court raised before Supreme
  Court - HELD: Keeping in view the claim of workers and
  defence of employers, the dispute fell in the area of Industrial
  Disputes Act and was clearly outside the jurisdiction of civil
  court - A decree passed by a court without jurisdiction would
  continue to be a nullity as the same is hit by doctrine of coram
E
  non-judice - Such a decree cannot be upheld merely on the
  ground that objection to jurisdiction was not taken at the initial,
  first appellate or second appellate stage - Code of Civil
  Procedure, 1908 - ss. 9 and 100 - Jurisdiction of civil court -
  Substantial question of law - Practice and Procedure -
F Doctrine - Coram non-judice - Applicability of.

        The plaintiff-respondents filed a civil suit praying for
  a declaration that the orders of termination of their
  services/retrenchment passed by the defendant-
  appellants were illegal, and claimed reinstatement with
G
  back wages. It was stated that the principle of 'last come             +
  first go' was not followed and the action of the employer
  was based on pick and choose policy, which was
  discriminatory and amounted to victimization. The
  defendant-appellants contended that engagement of the
H                             1121
              CHIEF ENGINEER, HYDEL PROJECT & ORS. v.            1122
                       RAVINDER NATH & ORS.

           plaintiffs was purely temporary on work-charge basis, and A
           after the completion of the project their services were
           terminated as per Rule 20(1) read with Rule 3(9) of the
           Certified Standing Orders. The trial court decreed the suit
           holding that the principle of 'last come first go' was not
           followed in effecting the retrenchment. The trial court also B
           directed that in case by virtue of the seniority the workers
           were not found entitled to be retained in the project in
 ...       question, they would be absorbed in other projects under
           the defendant. The appeal of the employers was
           dismissed. In the second appeal filed by the employers, c
           the High Court first granted an interim stay but later
           vacated the same which led to filing of a Special Leave
           Petition before the Supreme Court wherein a ground was
           raised that the civil court had no jurisdiction in the matter
           as the relief of reinstatement was available only under the
                                                                         D
           Industrial Disputes Act. The Supreme Court at that stage
           only directed expeditious disposal of the second appeal.
           Ultimately, the High Court dismissed the second appeal
           and affirmed the decree.
                In the instant appeal, it was contended for the E
           appellant-employers that the matter fell within the ambit
           of the Industrial Disputes Act, 1947, and the jurisdiction
           of the civil court stood impliedly excluded. For the
           respondent-workers it was contended that the issue of
           jurisdiction was not raised before the courts below and, F
~~
           therefore, the same could not be allowed to be raised at
           such a late stage.
                   The questions for consideration before the Court
              were: (i) whether the issue regarding reinstatement and
         ·· - paymenf of back-wages could be said to be covered G
              under the provisions of Industrial Disputes Act; and (ii)
..   ~
              whether the plea of jurisdiction was not raised either
'             before the first appellate court or in the second appeal
              and could the same be allowed to be raised before the
              Supreme Court in the instant appeal?                      H
    1123       SUPREME COURT REPORTS            [2008) 1 S.C.R.


A          Allowing the appeal, the Court
        HELD: 1. In the instant case, the dispute clearly fell
  outside the jurisdiction of civil court. There is no dispute
  that there are Certified Standing Orders in vogue. The
  plaintiffs-respondents were temporarily engaged on
8 work-charge basis till the completion of the Project. After
  the completion of the Project as the plaintiffs were no
  more required, admittedly, their services were terminated
  by an order under Rule 20(1) read with Rule 3-A of the
  Certified Standing Orders as applicable to work-charge
C staff. The plaintiffs-respondents alleged that the principles
  under the provisions of the Certified Standing Orders were
  completely ignored and a highly arbitrary, discriminatory
  approach was adopted by the empk>yer by picking and
  choosing the plaintiffs for the purposes of termination. It
D is also not disputed that they were paid gratuity,
  retrenchment compensation as also the compensation for
  notice and that they had duly accepted the order. [para
  13 and 15] [1135-B, C, D; 1136-C]
       Rajasthan State Road Transport Corporation & Anr. v.
E Krishna Kant & Ors. (1995) 5 SCC 74; and Rajasthan State
  Road Transport Corporation & Ors. v. Zakir Hussain (2005) 7
  SCC 447; Dhulabhai v. State of M.P (1968) 3 SCR 662: AIR
  1969 SC 78; B.S. Bharti v. IBP Co. Ltd. (2004) & sec 550
  and Chandrakant Tukaram Nikam v. Municipal Corporation
F of Ahmedabad (2002) 2 sec 542 - relied on.                      ,..
        The Premier Automobiles Ltd. & Ors. v. Kamlekar
  Shantaram Wadke of Bombay & Ors. (1976) 1 SCC 496;
  Jitendra Nath Biswas v. Mis.Empire of India & Gey/one Tea
G Co. & Anr. (1989) 3 SCC 582 - referred to.
        2.1 In the civil suit it was prayed that a decree be
  passed for declaration to the effect that the orders of          ••
  termination/retrenchment of services of the plaintiffs were
  null and void and that they should be reinstated with back-
H wages. A mandatory injunction to that effect was sought
          CHIEF ENGINEER, HYDEL PROJECT & ORS. v.               1124
                   RAVINDER NATH & ORS.

       for. It was urged before the trial court that the defendants- A
       appellants have not maintained a proper seniority list and
       that had resulted in the breach of the principle of 'last come
       first go' and, therefore, their termination was bad in law.
       Thus, the plaintiffs-respondents had averred the breach
       of Section 25-G of the Industrial Dispute Act, in that they B
       had alleged that the employer had shown discriminatory
       attitude and the plaintiffs-respondents were picked and
       chosen for being terminated and thus were victimized.
       [para 13] [1135-D, E, F]
             2.2 In the written statement the defendants-appellants C
       have raised a plea, though not specifically and there is a
       clear reference to Rule 20(1) read with Rule 3-A of the
       Certified Standing Orders for the work-charge staff on the.
       Project. It is stated, as is apparent from the judgment of
       the trial court, "since the services of plaintiffs have already D
       been terminated on payment of necessary gratuity etc.,
       they have no cause of action and that the present suit is
       not maintainable in the present form and is also not
       competent without notice under Section 80 CPC besides
       being barred by limitation". The question of tenability of E
       the suit was, therefore, raised and by Issue No.3, the trial
       court also considered the tenability of the suit in the
       present form. The trial court did not, however, advert to
       the jurisdiction aspect as has been highlighted before this
       Court. Same is the case with the first appellate court and F
       the High Court. (para 16] (1136-E, F, G, H; 1137-A]
            2.3 It is not as if the issue was not raised altogether.
       Atleast a notice of it was given to the respondents in the
       earlier SLP which was filed on behalf of the appellants to
       challenge the dismissal of their application for stay by the G
·-""   High Court. It was very specifically raised therein ~tating
'      that the relief of reinstatement was available only under
       the Industrial Disputes Act and, therefore, the jurisdiction
       of the Civil Court was expressly barred. Therefore, it is
       not that the respondents had no notice of such an H
    1125      SUPREME COURT REPOR"rs               (2008] 1 S.C.R.


A objection. This Court only directed the High Court to
  dispose of the appeal before it expeditiously. However, it
  does not seem that the question was raised before the
  High Court in the present form. On the other hand, the
  High Court has very specifically held that there was no
B substantial question of law involved in the matter. It cannot
  be said that there was no question of law involved as the
  issues squarely fell in the area covered by the Industrial
  Disputes Act and was, therefore, specifically barred. [para
                                                                      ...
  16 and 17] [1137-A, B, C, D, E, F, G]
c      Harshad Chiman Lal Modi v. DLF Universal Ltd. & Anr.
  (2005) 7 SCC 791; Hasham Abbas Sayyad v. Usman Abbas
  Sayyad & Ors. (2007) 2 SCC 355; Chief Justice of A. P v. L. II.A.
  Dixitulu (1979) 2 SCC 34; Zila Sahakari Kendrya Bank
  Maryadit v. Shahjadi Begum (2006) 11 SCC 692; and
D Shahabad Cooperative Sugar Mills Ltd. v. Special Secretary
  to Govt. of Haryana (2006) 12 SCC 404 - relied on.
        3. A decree passed by a Court without jurisdiction
  would continue to be a nullity. Once the original decree
  itself has been held to be without jurisdiction and hit by
E the doctrine of coram non judice, there would be no
  question of upholding the same merely on the ground that
  the objection to the jurisdiction was not taken at the initial,
  first appellate or the second appellate stage. The civil
  court, in the instant case, had no jurisdiction to deal with
F the suit and resultantly the judgments of the trial court,           .~



  first appellate court and the High Court are set aside for
  that reason alone. However, it is made clear that this Court
  has not, in any manner, commented upon the rights of
  the plaintiffs-respondents, if any, arising out of the Labour
G Jurisprudence. [para 17 and 19] [1139-B, G, H; 1140-A, BJ
        Bahrein Petroleum Co. Ltd. v. PJ. Pappu (1966) 1 SCR            ..'
    461:AIR1966 SC 634; and Kiran Singh v. Chaman Pawan
    (1955) 1 SCR 117: AIR 1954 SC 340 - relied on.
H          Union of India v. Cynamide India Ltd. AIR 1987 SC 1801;
              CHIEF ENGINEER, HYDEL PROJECT & ORS. v.                 1126
              RAVINDER NATH & ORS. [V.S. SIRPURKAR, J.]

           and Piara Singh v. State of Haryana 1989 PLR (1) 396 - cited.     A
                CIVILAPPELLATE JURISDICTION: Civil Appeal No. 658
           of 2008.
                From the final Judgment and Order dated 27.04.2005 of
           the High Court of Punjab and Haryana at Chandigarh in Regular B
           Second Appeal No. 2286 of 1991.

               Harinder Mohan Singh and Kaushal Yadav for the
           Appellants.

                Prem Malhotra for the Respondents.                           c
                The Judgment of the Court was delivered by
                V.S. SIRPURKAR, J. 1. Leave granted.

                 2. Chief Engineer, Superintending Engineer (Construction
           Circle) and Personnel Officer, Anandpur Sahib Hydel Project D
           have filed this appeal to question the correctness of the judgment
           of the Punjab and Haryana High Court in Regular Second
           Appeal confirming the judgment passed by the Additional
           District Judge, Ropar and Senior Sub Judge, Ropar, basically
                            '
           on the ground that   there was a complete lack of jurisdiction in E
           the above three Civil Courts since the issues squarely fall within
           the ambit of the Industrial Disputes Act, 1947 and as such the
           remedy for the 9 respondents-workmen, who are workmen under
           the Industrial Disputes Act, lies with the authorities thereunder
           and not with the Civil Court.                                      F
                BASIC FACTS
                 3. Nine respondents herein filed a Civil Suit before the
           Senior Sub Judge, Ropar for the relief of (i) declaration to the
           effect that the orders of their termination/retrenchment from G
•   ~-'<   service were illegal and (ii) that they were entitled to
           reinstatement in service with back-wages. It was pleaded that
           the plaintiffs-respondents were skilled workers and were working
           on the Anandpur Sahib Hydel Project (hereinafter called "the
           Project") in various capacities such as T. Mate, Mixer Operator,
                                                                            H
    1127      SUPREME COURT REPORTS                   [2008] 1 S.C.R.


A  Beldar, etc. for more than 5 years and, therefore, as per the
   Standing Orders and Ru las they were regular employees of the
   defendants. It was alleged that the defendants did not maintain
   any seniority-list of the workers and various categories of
   services on the said Project and they arbitrarily removed the
B plaintiffs-respondents from service on the dates mentioned in
   Annexure A to the plaint by obtaining their signatures on papers
  ·under coercion and force and also forced them to accept
   payments. It was further alleged that while removing the plaintiffs-
   respondent, the defendants-appellants did not observe the
c  seniority, meaning thereby while the juniors were retained in
   service, the seniors were retrenched. It was alleged that action
   was based on pick and choose policy and was discriminatory
   and amounted to victimization. It was also alleged that those
   workers who had completed service for 1000 days, could not
   have been retrenched (as was held by the Punjab & Haryana
0
   High Court in Mehanga Ram v. Punjµb State- Civil Writ No. 718
   of 1986).

         4. This claim was contested by the State of Punjab. It was
  firstly urged that the suit was bad as common suit could not
E have been filed since the cause of action of each defendant
  was distinct and separate. It was urged that the plaintiffs-
  respondents were appointed on purely temporary basis as work-
  charged employees and after the completion of the project, their
  services were validly terminated as per Rule 20(1) read with
F Rule 3(a) of the Certified Standing Orders for the work-charged
  staff on the said Project. Since the termination was complete
  on payment of necessary gratuity etc., there can be no cause of
  action and as such the present suit was not maintainable in the
  present form. It was also urged that notice under Section 80
G CPC was not given and the suit was also barred by limitation. It
  was reiterated that the principle of first come last go was strictly
   observed since there was a regular seniority-list maintained for
   the Project as a whole and that there was no discrimination or
   victimization. On merits also the suit was opposed on the ground
   that since the plaintiffs-respondent were work-charged
H
            CHIEF ENGINEER, HYDEL PROJECT & ORS. v.                  1128
            RAVINDER NATH & ORS. [V.S. SIRPURKAR, J.]

         employees for a work of temporary nature, on completion of the     A
         project their services were terminated as per the Rules which
         governed their service conditions (the Certified Standing
         Orders). The following issues were framed in between the
         parties by the Court:
              "1. Whether the impugned orders of termination                B
              retrenchment of the plaintiffs are illegal, unauthorized,
·"
              ultrc;ivires and ineffective as alleged? OPP

              2.   Whether the suit is bad for misjoinder of parties? OPP

              3. Whether the suit is maintainable in the present form?      c
              Opp

              4. Whether no valid notice u/s 80 CPC has been served
              by the plaintiff on the defendants? OPP

 >»           5.   Whether the suit is within limitation?                   D

              6. Whether the plaintiffs are entitled to the declaration
              and injunction prayed for? OPP
              7.   Relief."
                                                                             E
               5. The Trial Court, on the basis of the evidence, came to
         the conclusion that the defendants-appellants had not observed
         the principle of last come first go in making the retrenchments.
         The Trial Court also relied on the judgment of the Punjab and
         Haryana High Court in Piara Singh & Ors. \/. State of Haryana
         [1989 PLR 396] and one another judgment, the copy of which F
         was filed Vide Exhibit D-13 wherein the High Court had given
         directions that the workers so retrenched should be
         accommodated somewhere-else in some other projects and
         such appointments in the new projects would be treated as new
     ~   appointments for the purpose of seniority and that the relief given G
)'
         to such workers would be without prejudice to the retrenchment
         and any other compensation that such workers would be entitled
         to under the provisions of the Industrial Disputes Act, 1947.
         Relying on these observations, the impugned orders of
         termination were held ille.gal. As regards issue regarding H
    1129       SUPREME COURT REPORTS                      [2008] 1 S.C.R.


A tenability of the suit, all that was said by the Trial Court was that
  the Government Pleader could not point out any defect in the
  form of the suit except that the plaintiffs had not challenged any
  specified orders regarding the termination of their services.
  (That is the only discussion in respect of the tenability). Though
B it was held that there was no evidence to hold that the persons
  junior to the plaintiffs-respondents were retained in service, there
  was no evidence on record to show that as to what would be the
  position of the plaintiffs in overall seniority-list when finalized
  vis-a-vis the other employees who have been retained or
c retrenched and, therefore, it was held that the plaintiffs were
  entitled to declaration and mandatory injunction only to the extent
  that they had right to be taken back in service and in case it was
  found that they were entitled to be retained on the project on the
  basis of the seniority, they would be entitled to be absorbed on
  other projects of the defendants according to their qualifications
0
  and fitness within a period of six months from the date of the
  judgment. A curious relief was granted in the following terms:
           "17. In view of my foregoing findings, the suit of the plaintiffs
           partly succeeds. Accordingly, I pass a decree in favour of
E          the plaintiffs and against defendants no.1, 3 to 5 for
           declarations to the effect that the plaintiffs are entitled to
           be taken back in service. However, in case it is found that
           by virtue of their overall seniority in their respective
           categories of workers at the time of their retrenchment,
F          they were not entitled to be retained on the APS Project,
           then they shall be absorbed in othe~r projects under the
           defendants within a period of six months from the date of
           this judgment. .... "
         6. This order of the Trial Court was appealed against by
G the defendants-appellants before the Additional District Judge,
  Roparwhich appeal was dismissed. In its judgment the Appellate
  Court has referred to the arguments advanced by the appellants
  relying on Rule 20(1) of the Standing Orders governing the work-
  charged staff of the Project as also to the contention raised on
H behalf of the plaintiffs-respondent that the defendants-appellants
                      CHIEF ENGINEER, HYDEL PROJECT & ORS. v.                  1130
                      RAVINDER NATH & ORS. [V.S. SIRPURKAR, J.]
                   had not violated principle of last come first go. The Appellate A
                   Court accepted that such principle was not strictly adhered to
                   and further held that the Anandpur Hyde! Project was a "State"
                   and the plaintiffs-respondents were entitled to the protection
                   contained under the Constitution of India and CSR which
                   provided that the work-charged employees could not be allowed B
                   to remain as such for more than six months. Relying on the
             -~
                   decision of this Court reported in Union of India v. Cynamide
                   India Ltd. (AIR 1987 SC 1801) and Piara Singh v. State of
                   Haryana (1989 PLR (1) 396), the Appellate Court confirmed
                   the findings of the Trial Court and dismissed the appeal.          c
                         7. The matter was taken before the High Court by way of a
                   Second Appeal on various grounds. To begin with the High Court
                   granted stay of the operation of the otders passed by the courts
                   below. However, by the subsequent order, the stay application
                   was dismissed and the said order granted on 20.12.1991 was D
                   vacated. This came to be challenged by way of a Special Leave
                   Petition before this Court. In the Special Leave Petition a
                   contention was raised by way of Ground (8) that the Civil Court
                   had no jurisdiction to entertain the suit since the relief of
                   reinstatement in the present case was available only under the E
                   Industrial Disputes Act. This Court, however, did not interfere at
                   that stage and directed the High Court to dispose of the Second
                   Appeal as expeditiously as possible. The High Court dismissed
          .,,.     the Second Appeal necessitating the present appeal before us .
                        CONTENTIONS                                                   F

                          8. Learned counsel appearing on behalf of the appellants
                    urged that since the issues squarely fell within the ambit of the
                    Industrial Disputes Act, 1947 and since there is a specific
                    remedy available to the plaintiffs-respondents under that Act,
     ..
      ~
                    the jurisdiction of the Civil Court was impliedly excluded and all
                                                                                       G
                    the courts below erred in entertaining and deciding upon the
                    issues much less adverse to the appellants. Learned counsel,
.,                  relying on this Court's judgments in The Premier Automobiles
                  . Ltd. & Ors. v. Kamlekar Shantaram Wadke of Bombay & Ors.
                                                                                       H
    1131         SUPREME COURT REPORTS                   (2008) 1 S.C.R.


A [(1976) 1 SCC 496], Jitendra Nath Biswas v. Mis.Empire of
  India & Gey/one Tea Co. & Anr. [(1989) 3 SCC 582]; Rajasthan
  State Road Transport Corporation & Anr. v. Krishna Kant &
  Ors. [(1995) 5 SCC 74]; and Rajasthan State Road Transport
  Corporation & Ors. v. Zakir Hussain [(2005) 7 SCC 44 7] urged
B that the legal position in this behalf was settled. On the other
  hand the learned counsel on behalf of the respondents urged
  that firstly this issue relating to jurisdiction was not raised by the
  respondents before any courts be.low and it is only for the first
  time that the objection to the jurisdiction has been raised before
c this Court. Learned counsel for the respondents also urged that
  the issue was not covered under the labour jurisprudence and
  under the provisions of the Industrial Disputes Act, 1947 and
  the jurisdiction of the Civil Court could not be said to be barred.
           DISCUSSIONS
D
        9. We would take into account the objection to the effect
  that the contention regarding the jurisdiction was not raised and,
  therefore, it could not be allowed to be raised at this late stage,
  for that it will have to be found as to whether the issue regarding
  the reinstatement and the payment of back-wages could be said
E to be covered under the provisions of Industrial Disputes Act.
  The question of the Civil Court's jurisdiction being excluded
  came, for the first time, before this Court in The Premier
  Automobiles's case (supra). In that case the court culled out
  following four principles:
F
         (1) If the dispute is not an industrial dispute, nor does it
                relate to enforcement of any other· right under the Act
               the remedy lies only in the civil court.
           (2)   1f the dispute is an industrial dispute arising out of a
G                right or liability under the general or common law           r

                 and not under the Act, the jurisdiction of the civil court       •
                 is alternative, leaving it to the election of the senior
                 concerned to choose his remedy for the relief which
                 is competent to be granted in a particular remedy.
H
             CHIEF ENGINEER, HYDEL PROJECT & ORS. v.                      1132
             RAVINDER NATH & ORS. [V.S. SIRPURKAR, J.]
    ...        (3)   If the industrial dispute relates to the enforcement of A
                     a right or an obligation created under the Act, then
                     the only remedy available to the suitor is to get an
                     adjudication under the Act.
               (4)   If the right which is sought to be enforced is a right
                     created under the Act such as Chapter VA then the B
                     remedy for its enforcement is either Section 33C or
                     the raising of an industrial dispute, as the case may
                     be."
                10. The second decision came in Jitendra Nath Biswas's            c
          case (supra), wherein this Court specifically held, interpreting
          Section 9 of the CPC that the Civil Court shall have no
          jurisdiction where its jurisdiction is ~xpressly or impliedly barred.
          The Court held:
                      "It could not be disputed that a contract of employment D
    "-          for personal service could not be specificf!llY enforced
                and it is also clear that except the industrial law, under the
                law of contract and the civil law, an employee whose
                services are terminated could not seek the relief of
                reinstatement with back wages. At best he could seek the E
                relief of damages for breach of contract. The manner in
                which the relief has been framed by the appellant plaintiff
              · in this case, although he seeks a declaration and injunction
                but in substance it is nothing but the relief of reinstatement
    _..         and back wages. The relief could only be available to a F
                workman under the Industrial Disputes Act."
                The Court, therefore, proceeded to hold that the civil court's
          jurisdiction was barred. In this case very peculiarly it was not
          disputed that the Industrial Employment (Standing Orders) Act
          was also applicable to the workman and an inquiry for G
   ~
...,-     misconduct was cond.ucted against the appellant in accordance
          with the standing orders. It was argued before the court, however,
          that since it was solely the discretion of the Conciliation Officer
          to proceed with the conciliation proceedings and since even
          after the report given by the Conciliation Officer it was the H
   1133       SUPREME COURT REPORTS                   [2008] 1 S.C.R.


A discretion of the State Government to make a Reference or not,
  the civil court's jurisdiction was not barred. This Court repelled
  that contention after discussing the duties of the Conciliation
  Officer and held that the civil court's jurisdiction was barred.
          11. On its heels came the case of Krishana Kant (supra).
8 This was a case where, pursuant to the disciplinary inquiry held
   against some of the workers on charge:s of misco.nduct, their
   services were terminated. The suits wen:i filed for a declaration
   that the orders terminating their services were illegal and invalid
   and for further declaration that they must be deemed to have
C continued and still continuing in the service of the Corporation
   with all consequential benefits. This Court elaborately
   considered the law laid down earlier in the cases of Premier
   Automobiles's case and Jitendra Nath Biswas's (supra) and
   after considering the concept of "industrial dispute" as covered
D under Sections 2(k) and 2-A of Industrial Disputes Act, 1947
   came to the conclusion that the disputes not covered under
   Section 2(k) or 2-A could be determined by Civil Court or by
 · arbitration but disputes relating to right or obligation created by
   the Industrial Disputes Act can be adjudicated only by the forum
E created by the Industrial Disputes Act. This was a case where
   the Corporation was armed with the Certified Standing Orders.
   The Court held that the Certified Standing Orders are not in the
   nature of delegated or subordinate legislation. It was held that
   the Certified Standing Orders were statutorily imposed
F conditions of service and the complaint made by the workman
   relating to breach thereof could only be tried under the machinery
   and the procedure provided by the Industrial Disputes Act and
   the civil court's jurisdiction was impliedly barred to that extent.
   The Court while referring to the seven principles culled out by
G this Court in Dhulabhai v. State of M.P [(1968) 3 SCR 662: AIR
   1969 SC 78] further explained the decision in Premier
   Automobile (supra) to hold that not only the disputes under the
   Industrial Disputes Act were barred but the disputes arising out
   of the sister enactments like Industrial Employment (Standing
H Orders) Act also stood outside the jurisdiction of the civil court
                 CHIEF ENGINEER, HYDEL PROJECT & ORS. v.                1134
                 RAVINDER NATH & ORS. [V.S. SIRPURKAR, J.]

    since they did not provide a special forum of their own for A
    enforcement of the rights and liabilities created by them. The
    Court, therefore, held:
                   "Thus a dispute involving the enforcement of the rights
                   and liabilities created by the certified standing orders has
                                                                                8
                   necessarily got to be adjudicated only in the forums created
                   by the Industrial Disputes Act within the meaning of
                   Sections 2(k} and 2-A of Industrial Disputes Act or such
                   enactment says that such dispute shall be either treated
                   as an industrial dispute or shall be adjudicated by any of
                 · the forums createdby the Industrial Disputes Act. The civil C
j• ,; •• •   '

                 · court have no jurisdiction to entertain such suits."

          The Court further went on to say that the enforcement of
    the Industrial Employment Standing Orders is an industrial
    dispute and if it satisfies the requirement of Section 2(k) and/or
                                                                       0
    Section 2-A of the Industries Disputes Act, it must be adjudicated
    in the forums created by the Industrial Disputes Act alone.
          12. Though there are number of other cases followed, we
    would choose to consider the decision in Zakir Hussain's case
    (supra). This case also arose out of the termination simpliciter E
    effected by the Corporation of the conductor who was appointed
    on probation basis for a period of two years and since his
    services were not found satisfactory, the same were terminated,
    Ofcourse with necessary compensation prescribed as per the
  ··Rules of the Corporation. The court after considering all the F
    earlier cases cited above and referring to the seven principles
    culled out in the case of Krishan Kant, came to the conclusion
    as arrived at in Krishan Kant's case. Two other cases were
    referred to, they being B.S. Bharti v. IBP Co. Ltd. [(2004) &
    SCC 550] and Chandrakant Tukaram Nikam v. Municipal
                                                                      G
    Corporation of Ahmedabad [(2002) 2 SCC 542]. It was held by
    the court that the reliefs craved in the said cases squarely fell
    within the arena of Industrial Disputes Act and, therefore, civil
    court's jurisdiction was clearly barred. On the question of the
    adhoc appointment of the employee, the court came to the H
    1135       SUPREME COURT REPORTS                 [2008] 1 S.C.R.


A conclusion that the respondent was a probationer and did not
  have any substantive right to hold the post and was not entitled
  to a decree of declaration which was erroneously granted by
  the lower courts.
         13. Now coming to the facts of the .present case, there is
B no dispute that there are Certified Standing Orders in vogue.
  The nine plaintiffs-respondents were engaged on work-charged
  basis till the completion of the Project. Their services came to      +
  be terminated after the completion of the Project in January,
  1985 as they were not required due to the completion of the
c Project and since they were engaged temporarily. It was pointed
  out before us and not disputed that the services were terminated
  vide order dated 6.7.1985 under Rule 20(1) read with Rule 3-A
  of the Certified Standing Orders for work-charged staff. It is also
  not disputed that they were paid gratuity, retrenchment
D compensation as also the compensation for notice and that they
  had duly accepted the order. In the civil suit it was prayed that a   >
  decree be passed for declaration to the effect that the orders of
  termination/retrenchment of their service were null and void and
  that they should be reinstated with back-wages. A mandatory
E injunction to that effect was sought for. It was urged before the
  trial court that the defendants-appellants have not maintained a
  proper seniority list and that had resulted in the breach of the
  principle of last come first go and, therefore, their termination
  was bad in law. In short, the original plaintiffs-respondents had
F averred the breach of Section 25-G of the Industrial Dispute
  Act, in that, they had alleged that the employer had shown
  discriminatory attitude and the plaintiffs-respondents were
  picked and chosen for being terminated and thus were
  victimized. On the other hand defence raised was that there
  were certain cut-off dates fixed for the retention of the employees
G
  and all the plaintiffs-respondent had actually joined the service
  after that cut-off date and, therefore, they were terminated in
                                                                        T
                                                                            ....
  terms of Rule 20(1) read with Rule 3-A of the Certified Standing
  Orders relating to work-charged staff.
H          14. From the above discussion there is no doubt that the
          CHIEF ENGINEER, HYDEL PROJECT & ORS. v.                     1136
          RAVINDER NATH & ORS. [V.S. SIRPURKAR, J.]

      dispute and the main issue fell squarely under the premise of A
..    Industrial Disputes Act. Further as specifically held in Krishna
      Kant's case that where the Certified Standing Orders were
      applicable and where the breach thereof was complained of,
      such issues fell in the exclusive area of the machinery provided
      by the Industrial Disputes Act and as such the civil court's B
      jurisdiction was specifically barred. We are left with no doubt
      that the situation is identical in the present case.

             15. In the present case while the employers-appellants
       claimed that the termination simpliciter was effectedjn the light
       of the Rules under the Certified Standing Orders, the plaintiffs- c
       respondents alleged that the principles under the provisions of
       the Certified Standing Orders were completely ignored and a
       highly arbitrary, discriminatory approach was adopted by the
       employer by picking and choosing the plaintiffs for the purposes
       of termination. The dispute, therefore, clearly fell outside the civil D
      ·court's jurisdiction as per the decisions of this Court relied upon
       earlier.
               16. However, the question is that this issue of jurisdiction
        was not raised either before the. before the First Appellate Court
        or the Second Appellate Court. Learned counsel for the E
        respondents very voc!ferously argued before us that for the
        reasons best known to the appellants, this objection regarding
      . the jurisdiction was never raised specifically. We have seen the
        written statement. In the written statement the defendants-
t
        appellants have raised a plea though not specifically but there F
        is a clear reference to Rule 20(1) read with Rule 3-A of the
        Certified Standing Orders for the work-charged staff on the
        Project. It is stated, which is apparent from the judgmen~ of the
        trial court that "since the services of plaintiffs have already been
        terminated on payment of necessary gratuity etc., they have no G
        cause of action and that the present suit is not maintainable in
"'!
        the present form and is also not competent without notice under
        Section .80 CPC besides being barred by limitation". The
        tenability of the suit was, therefore, raised and vide Issue No.3,
        the trial court also considered the tenability of the suit in the H
    1137       SUPREME COURT REPORTS                   [2008] 1 S.C.R.


A present form. The trial court has not, however, adverted to the
  jurisdiction aspect as is being presently highlighted before us.         •
  Same is the story about the First Appellate Court and the Second
  Appellate Court. However, it is not as if this issue was not raised
  altogether. Atleast a notice of this issue was given to the
B respondents in SLP (C) 11086of1992 which was filed on behalf
  of the appellants to challenge the dismissal of the said
  application by the High Court. It is very sp~cifically raised therein
  in Ground No.8, which is reproduced as under:                            t·

           "Because the civil court had no jurisdiction to entertain the
c          suit. The relief of reinstatement in the present case was
           available only under the Industrial Disputes Act and
           therefore the jurisdiction of the Civil Court was expressly
           barred. [(1991) 1 RSJ 770}. The declaration claimed by
           the plaintiffs in his suit could be granted by the' Labour
D          Court under the Industrial Disputes Act and consequential
           relief was also exclusively outside the jurisdiction of the
           civil court. The plaintiff respondents are basing their case    ~



           mainly on the provision of Industrial Disputes Act, 1947
           and thus the claim of the plaintiffs/respondents could only"
E          be adjudicated by the Labour Court. The proposition of
           law is now well settled by repeated pronouncement made
           by the Apex Court."
        Therefore, it is not that the respondents herein had no
  notice of such an objection. This Court only directed the High
F Court to dispose of the appeal before it expeditiously. However,
  it does not seem that the question was raised by the counsel of
  the appellants before the High Court in the present form. On the
  other hand the High Court has very specifically held that there
  was no substantial question of law involved in the matter.
G
         17. In our considered opinion, it cannot be said that there
    was no question of law involved as we have pointed out that the         r ....
    issues squarely fell in the area covered by the Industrial Disputes
    Act and was, therefore, specifically barred. The question is
    whether this issue regarding the jurisdiction could be allowed
H
              CHIEF ENGINEER, HYDEL PROJECT & ORS. v.                   1138
              RAVINDER NATH & ORS. [VS. SIRPURKAR, J.]

           to be raised before us. The question of jurisdiction came up A
           before this Court in Harshad Chiman Lal Modi v. DLF Universal
           Ltd. & Anr. [(2005) 7 SCC 791]. The Court therein was
           considering the question raised whether the court had jurisdiction
           under Section 16(d) CPC to deal with the matter in question. In
           short the court was considering whether the amendment could B
           have been allowed raising objection to the territorial jurisdiction.
           This Court in para 30 observed as under:

                "We are unable to uphold the contention. The jurisdiction
                of a court may be classified into several categories. The
                important categories are (i) territorial or local jurisdiction; C
                (ii) pecuniary jurisdiction; and (iii) jurisdiction over the
                subject-matter. So far as territorial and pecuniary
                jurisdiction are concerned, objection to such jurisdiction
                has to be taken at the earliest possible opportunity and in
                any case at or before settlement of issues. The law is well D
                settled on the point that if such objection is not taken at the
                earliest, it cannot be allowed to be taken at a subsequent
                stage. Jurisdiction as to subject-matter, however, is totally
                distinct and stands on a different footing. Where a court
                has no jurisdiction over the subject-matter of the suit by E
                reason of any limitation imposed by statute, charter or
                commission, it cannot take up the cause or matter. An
                order passed by a court having no jurisdiction is a nullity."
                The Court then proceeded to rely on the case in Bahrein
           Petroleum Co. Ltd. v. PJ. Pappu [(1966) 1SCR461:AIR1966             F
           SC 634] and observed in para 32 that neither consent nor waiver
           nor acquiescence can confer jurisdiction upon a court, oth~rwise
           incompetent to try the suit. The Court further observed that"
                "It is well settled and needs no authority that 'where a co·urt G
                takes upon itself to exercise a jurisdiction it does not
....
.   . '1
                possess, its decision amounts to nothing'. A decree
                passed by a court having no jurisdiction is non est and its
                invalidity can be set up whenever it is sought to be enforced
                as a foundation for a right, even at the stage execution or H
    1139        SUPREME COURT REPORTS                    [2008] 1 S.C.R.


A          in collateral proceedings. A decree passed by a court            ...
           without jurisdiction is a coram non Judice."
         The Court also relied upon the decision in Kiran Singh v
    Chaman Pawan ((1955) 1 SCR 117: AIR 1954 SC 340] and
    quoted therefrom:
8
           "It is a fundamental principle well established that a decree
           passed by a court without jurisdiction is a nullity, and that
           its invalidity could be set up whenever and wherever it is
           sought to be enforced or relied upon, even at the stage of
c          execution and even in collateral proceedings. A defect of
           jurisdiction ... strikes at the very authority of the court to
           pass any decree, and such a defect cannot be cured even
           by consent of parties."
        Though in the aforementioned decision these observations
D were made since the defendants before raising the objection
  to the territorial jurisdiction had admitted that the court had the        •
  jurisdiction, the force of this decision cannot be ignored and it
  has to be held that such a decree would continue to be a nullity.
       18. The aforementioned decision was followed again in
E Hasham Abbas Sayyad v. Usman Abbas Sayyad & Ors.                                    1.._'
  ((2007) 2 sec 355] where one of us, Sinha, J. was a party.
  Ofcourse while following this decision the Court referred to the
  decisions in Chief Justice of A.P v. L. VA. Dixitulu ((1979 2
  SCC 34]; Zila Sahakari Kendrya Bank Maryadit v. ShahJadi
F Begum ((2006) 11 SCC 692] as also Shahabad Cooperative                      ~

    Sugar Mills Ltd. v. Special Secretary to Govt. of Haryana
    [(2006) 12 sec 404J.
           CONCLUSION
G       19. Once the original decree itself has been held to be
                                                                                  .
                                                                                  -
  without jurisdiction and hit by the doctrine of coram non Judice,           "       '
  there would be no question of upholding the same merely on
  the ground that the objection to the jurisdiction was not taken at
  the initial, First Appellate or the Second Appellate stage. It must,
H therefore, be held that the civil court in this case had no
   CHIEF ENGINEER, HYDEL PROJECT & ORS. v.                   1140
   RAVINDER NATH & ORS. [V.S. SIRPURKAR, J.]

jurisdiction to deal with the suit and resultantly the judgments of A
the Trial Court, First Appellate Court and the Second Appellate
Court are liable to be set aside for that reason alone and the
appeal is liable to be allowed. In view of this verdict of ours, we
have deliberately not chosen to go into the other contentions
raised on merits. We, however, make it clear that we have not, B
in any manner, commented upon the rights of the plaintiffs-
respondents, if any, arising out of the Labour Jurisprudence.
      20. In the result the appeal is allowed but without any order
as to costs.
                                                                      c
R.P.                                             Appeal allowed.


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