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Board of directors : composition, structure, duties and powers

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This article has been written by Kamal Kishore Krall  pursuing a Diploma in US Contract Drafting and Paralegal Studies from LawSikho.

This article has been edited and published by Shashwat Kaushik.

Introduction

Section 149 of the Companies Act of 2013, briefly outlines the appointment and qualifications of the Board of Directors. The Board of Directors is the top-performing decision-making authority of any company. The decisions of the Board of Directors give direction to the company to achieve specific goals in a time-bound manner. The Board Directors are individuals who are elected or appointed by the Board meeting specified criteria such as qualifications and experience as mandated in the Act. The directors appointed to the board have diverse experiences and come from diverse backgrounds. They have exceptional organisational skills and are responsible for the overall performance of the company. They provide strategic direction, ensuring the smooth functioning of all the departments of the company. One of the key responsibilities of the Board of Directors is to safeguard and protect the interests of its stakeholders and act as per the Articles of the Company. The Board of Directors also faces a few challenges, such as meeting regulatory compliances, shareholder’s interests, technology disruption, market competition, filling board vacancies in time, CSR initiatives, and the latest in focus, the ESG factor, i.e., environmental, social, and governance factors, which the Board has to cover up in its Board Report. For effective implementation of the board’s decisions, the Company Act 2013 outlines procedures for conducting board meetings, the outcome of which, in the form of a resolution, applies to the board members and all the employees of the company. To effectively convey its decisions, the Board of Directors constitutes and organises committee meetings such as the appointment committee, audit, finance, and risk management committee, etc. The Appointment Committee also has the power to declare dividends, and appoint or remove key executives and/or any Board Director after having the Board’s consensus, which is in the form of a voting/ballot paper and includes stakeholders/shareholders’ votes as well.

There are a few consequences for not forming a board as mandated under the Companies Act 2013. Which may broadly include mismanagement of assets, improper financial statements, divulged and misguided strategic plans, legal complications, depleted investor’s confidence, lack of proper governance, casual vacancies, quorum issues, and lastly, declaring the company insolvent or dissolution of the company by the respective authority. In totality, the Board of Directors plays a vital role in ensuring the success and sustainable growth of an organisation, and organisations need to prioritise the formation, composition, and governance of their Board to drive success and mitigate risks.

Appointment and qualifications of directors

Chapter XI of the Companies Act 2013, Section 149, Sub Section (I), states that:

“Every company shall have a Board of Directors consisting of individuals as directors and shall have: (a) a minimum number of three directors in the case of a public company, two directors in the case of a private company, and one director in the case of a One company; and (b) a maximum of fifteen directors.”

The Act also mandates compliance with the above directions and fulfilling criteria within one year from the commencement/inception of the company or business. The Board can increase the number of directors by passing a special resolution with the mandate of appointing at least one female director to the Board of Directors. Section 149 Sub Section (3) of the Companies Act also states that every listed company shall have at least one director who has stayed in India for a total period of not less than one hundred and eighty-two days in the previous calendar year.

The Act mandates filling up the vacant position of Director by the Articles of the company. The vacancy(ies) may arise due to resignation, removal of an Independent Director, or retirement by rotation. Such vacancy(ies) is/are to be filled up within a period of not more than one hundred and eighty days from the date of such resignation or removal, as mandated in Schedule IV, Paragraph VI (2) of the Companies Act 2013.

An individual who desires to apply for the Board of Directors post needs to meet certain criteria as laid down under Section 153 of the Companies Act 2013. One such criterion is possession of a Director Identification Number (DIN), which can be obtained from the Ministry of Corporate Affairs (MCA) of the Government of India by applying for the allotment of DIN along with depositing the prescribed fee.

Generally, the board announces the vacancy of an independent director in their organisation; however, the applicant is also expected to keep an eye on the vacancy and apply before the deadline for consideration of his/her candidature.

Section 149 (4) Subsection (4) of the Act further mandates that every listed public company have at least one-third of the total number of directors as independent directors. 

Limitations of independent directors under the board

An independent director in a company means a director other than a managing director, a whole-time Director or a nominee director who, in the opinion of the board, is a person holding integrity and possesses relevant expertise and experience. As per Rule 4 of the Companies (Appointment and Qualifications of Directors) Rules, 2014, there is a mandate to appoint a minimum of two independent directors in the company on a specific ground. The Companies Act 2013 Schedule IV has mandated independent directors adhere to certain codes of professional conduct regarding their responsibilities towards the company.

Unlike the responsibilities of management people who can be transferred to different departments depending upon the need or urgency of the matter, the directors appointed (including independent directors) on the Board of Directors panel do not have such powers. In other words, the directorship is non-transferable, and any contravention of this arrangement attracts suitable action under the Act, which may include imprisonment and/or a fine as notified from time to time. Further, Section 161 of the Act goes deeper in filling up the vacant position by appointing an additional director, alternate director, and/or nominee director until the regular director joins the board. The Board shall inform all its members to adopt this alternative arrangement for filling the vacancy.

Under certain circumstances, independent directors may not be able to render their duties to the organisation and may encounter limitations that hinder their ability to deliver their services to the board, as under:

  • An independent director who is or was, and is not related to a promoter of the company or its holding, subsidiary or associate company.
  • An independent director who neither he/herself has held or has held the position of key managerial personnel nor had/has been an employee of the company, its holding, subsidiary or associate company in any of the three financial years immediately preceding the financial year in which he is proposed to be appointed.
  • The Independent Director is not in possession of the Director Identification Number (DIN) issued by the Ministry of Corporate Affairs, Government of India. 
  • The Independent Director has not mentioned (DIN) while furnishing any return under the Companies Act 2013.
  • Further to the above conditions, an independent director shall not be entitled to any stock option and may receive remuneration by way of a fee provided under sub-section (9) of Section 149 of the Companies Act.
  • Under Section 249 of the Companies Act 2013, under certain circumstances, an individual will be restricted from applying for the directorship candidature, such as, if the company has changed its name and/or has shifted its registered office from one state to another during the previous three months. Also if the company is being wound up, whether voluntarily or by the Tribunal.
  • The maximum term of an independent director on the board of directors is two consecutive terms, wherein each term is five years. The Independent Director shall be eligible for reappointment for the second term upon completion of the first term, subject to the passing of a special resolution by the Board and disclosure of such appointment in the Board’s report.

Disqualifications for appointment of directors

The Companies Act 2013 under Section 164 has outlined certain circumstances under which a person shall not be eligible for appointment as a director in a company; these may include:

  • Found with an unsound mind and declared incompetent to handle the charge of directorship of the company as declared by the competent court.
  • Declared insolvent.
  • Has not filed annual returns or financial statements for three consecutive years.
  • Has been disqualified from appointment as a director by an order passed by a court or tribunal, and the order is in force.
  • Has been convicted by a court of any offence, including imprisonment not less than six months and a period of five years not elapsed from the date of expiry of the sentence.

Composition of a board 

Size and structure

The size of the board varies depending on factors such as the size of the company and the type of industry. Typically, public companies are mandated to appoint a minimum of three Directors. However, the optimal number of directors in both the internal and external director categories is eight to ten, with a mix of executive and non-executive directors. However, a smaller board can be more agile and efficient, while a larger Board can offer diverse perspectives. Apart from that, in small establishments, there may be only one director on the board panel. 

Types of directors

Directors on the Board can be classified into various types based on their roles, responsibilities, and relationships with the company. Below are some common types of Directors:

  • Managing directors: MDs are responsible for the day-to-day smooth operations of the company.
  • Executive directors: EDs are full-time directors of the company directly involved in the day-to-day operations and have higher responsibility for implementing board decisions.
  • Non-executive directors: These directors are without executive roles and are not involved in the routine/everyday working of the company. They provide independent oversight and an objective perspective and, at times, challenge management’s assumptions.
  • Independent directors: IDs are non-executive directors and hold no materialistic financial or personal relationships with the company. IDs are brought in to provide unbiased decision-making, ensuring the Board’s objectivity and credibility.
  • Lead director: An independent director who chairs board meetings in the absence of the Chief Executive Officer, facilitating communication and fostering the board’s effectiveness.
  • Residential director: A director who resides in the same country as the company.

Diversity and inclusivity

For improved performance and meeting stakeholders’ expectations, boards prioritise diversity in terms of gender, ethnicity, skills and experiences from various geographical zones to offer broader perspectives and enhance decision-making.

Board structure and committees

The board structure refers to the organisation and composition of the board of directors within a company/organisation. It encompasses the number of directors, their roles, responsibilities, and relationships among board members and how they interact to fulfil their duties. The board structure and committees vary depending on factors such as the size of the company, industry, corporate governance practices, and regulatory requirements. Typically, some of the key components of the board structure include the following:

Standing committees

These committees usually run continually and deal with key issues facing the company, including:

  • Audit committee: Oversees all the financial reporting, internal controls, and independent audits, ensuring financial integrity and compliance.
  • Nominating and Governance Committee: The role of this committee is to identify and nominate qualified candidates for board vacancies, form board composition, and structure, and review the board’s performance.
  • Compensation Committee: Sets the compensation packages of senior executives aligned with competitive pay based upon performance and company strategy.

Specialised committees

Committees are formed to perform specific tasks or specific situations, such as:

  • Risk Management Committee: This committee is formed to oversee risk identification, risk assessment, and the design of mitigation strategies.
  • Mergers and Acquisitions Committee: This committee evaluates potential merger or acquisition opportunities and gives recommendations. 

Corporate Social Responsibility Committee

A company having a net worth of rupees five hundred crores or more, a turnover of rupees one thousand crores or more or a net profit of rupees five crores or more during any financial year is mandated by the Act to constitute a Corporate Social Responsibility Committee of the Board consisting of three or more Directors, out of which at least one Director shall be appointed as an Independent Director.

Task Force Committee              

These Committees are formed to address specific challenges or opportunities for achieving desired outcomes for a set duration. 

Advisory Committee

This Committee is formed to provide advice and guidance to address critical matters of the company requiring the Board’s attention for informed decision-making.

Steering Committee

These committees are formed to provide leadership, governance, and strategic direction to the project from inception.

Executive Committee

This committee is formed to address the urgent and sensitive nature of the situation of the project and act on behalf of the board.

Duties and responsibilities of the board

The Board of Directors acts under the Articles of the Company. The board has to govern and guide the company to achieve its strategic goals. The Board’s prime duty is to work in transparency and provide fair and independent judgement on the matters. None of the board members should have any personal, direct or indirect interest that may be against the company’s reputation or create a conflicting situation. The board members found involved in any personal gain, interest or likewise are found guilty of their misconduct under the Companies Act and are liable to pay an amount equal to that gain to the company, which is also punishable with a fine ranging from Rs. 1 lakh to Rs. 5 lakh.

The board plays a fiduciary role in achieving the strategic goals of the company. Typically, the responsibilities include:

Setting strategic direction

One of the key responsibilities of the Board of Directors is to define the organization’s Vision, Mission, Policies, and long-term goals. The Board shall safeguard the interests of the stakeholders, particularly the minority shareholders. 

Overseeing management

The Board of Directors delegates and oversees the management of the company, which broadly includes appointing executives, determining compensation, and monitoring and evaluating the performance of the executive team on agreed metrics and goals of the organisation. The Board is also responsible for ensuring the protection of confidential information, including commercial secrets, technologies, and sensitive information.

Ensuring financial accountability with regulatory requirements

The Board of Directors is also responsible for overseeing the company’s financial performance and ensuring the accuracy and integrity of financial statements. In the interest of the company, the board is expected to attend all the audit committee meetings and be aware of the legal and regulatory financial compliances to address the matter accordingly.

Protecting stakeholder interests

The Board serves as a link between management, shareholders, stakeholders, employees, and customers. Acting within its authority, the Board is obligated to assist in protecting the legitimate interests of the company, its shareholders and its employees. This includes working with transparency, ensuring accountability, and promoting a culture of ethical behaviour within the organisation.

Powers of the board of directors

The Board, through its Directors, is entitled to exercise such powers and to do all such acts and things crucial to its strategic approach. The Board of Directors, depending on the requirement, exercises powers on behalf of the company by passing resolutions at the board meetings. The resolutions may include:

  • Approving major decisions: The Board authorises significant financial transactions such as investments, acquisitions, and capital expenditures.
  • Appointing and removing key executives: The Board is responsible for hiring, evaluating, and dismissing senior executives, including the CEO.
  • Declare dividends: The Board decides on distributing profits to the shareholders and manages capital allocation.
  • Issuing new shares: The Board controls the increase in share capital to finance growth or operations.
  • Mergers and acquisitions: The Board also oversees the process of combining with other entities to ensure strategic alignment and value creation.

Challenges in board governance

The role of the Board of Directors in a company is of paramount importance. The board’s decision and strategy can elevate the company from a lowly start to soaring heights; concurrently, non-adherence to the directives as enacted in the Act can spoil the reputation among stakeholders and keep the company’s status at risk. In other words, the Board of Directors faces lots of challenges in implementing decisions and strategies for effective governance. Let’s dive in to know the challenges faced by the Board members:

Board composition, diversity and dynamics

The Board of Directors operates with limited positions, and every member of the Board of Directors is responsible for performing all roles and responsibilities within the framework. The primary challenge faced by the board is the formation of its composition. The members of the Board of Directors should possess extensive experience, knowledge, and skills and have a thorough understanding of the subject matter.

Further, ensuring diversity among board members and hiring niche talent with exceptional and overarching perspectives can benefit the organisation. The other challenge here is to invite professionals from cross-border countries, creating a culture that values diversity and inclusion. Ensuring their voices are heard and considered, will foster the expansion of the business globally. However, challenges like gender, race, ethnicity, language, etc. may arise in the selection process.

Elements like effective communication, interaction, and collaboration among board members also play a crucial role in nurturing the organisation and fostering international exposure. However, initial challenges may arise in understanding and delivering the desired outcomes. Overcoming these challenges will also ensure bringing a broader perspective and reputation to the board and the organisation as a whole.

Increasing focus on environmental, social, and governance factors and their challenges

Boards are facing growing pressure to integrate ESG factors into their decision-making. This is a result of changing market dynamics, regulatory changes, and demand-driven stakeholders’ requirements.

Technological advancements and disruption, and their challenges

In today’s era, the technology disruption is pervasive, and companies are operating their businesses through e-commerce platforms. The Board of Directors has to remain vigilant around the clock to address threats such as data breaches and the leak of confidential information to competitors. To overcome these challenges, Boards adapt by introducing technological advancements that also influence Boardroom dynamics in several ways

Evaluating the board and meeting compliances and regulations

The Companies Act 2013 provides certain guidelines for evaluating the conduct of the Board of Directors. The Act mandates the evaluation of the independent director by the entire board, excluding the director being assessed. The evaluation criteria encompass the board’s composition, diversity, skills, independence, decision-making processes, risk oversight, and strategic guidance. Additionally, it also includes strategy formulation, risk management, financial oversight, compliance with laws and regulations, stakeholder engagement, and ethical conduct.

Based on the satisfactory performance of these indicators, the Board determines the extension or termination of the Directors. The evaluation process may involve gathering feedback from stakeholders, including shareholders, employees and regulators.

The evaluation process thus enhances governance practices, improves decision-making and ensures effective delivery of fiduciary duties by the Director under the Act.

Succession planning and ethical dilemmas

The board is only functional when all of the positions are filled and there is no vacancy on the board of directors. The Companies Act 2013 also mandates filling up the vacant positions before the next general meeting of the board, which also fosters long-term sustainability of the organisation. For this purpose, a smooth transition in leadership is essential when filling any vacant position on the board. During the selection process, the board may face ethical dilemmas and/or conflicts of interest. This ought to be the biggest challenge for the Board of Directors to reach a final decision balancing the interests of all board members and addressing conflicts of interest, including those of stakeholders/shareholders.

Consequences for non-formation of the board under the Companies Act 2013

Not forming a Board of Directors in a company under the Indian Companies Act, 2013 can have several consequences, as the Board provides strategic direction to the company in governance and decision-making. In the absence of a proper board, there may be consequences that the board of directors or the company may face, such as:

Casual vacancy

If the number of directors falls below the minimum required by the law or the company’s Article of Association due to death, resignation, or other reasons, it creates a casual vacancy on the board. In such cases, the Board may be unable to fulfil its duties and pass resolutions necessary for effective governance until the vacancy is filled.

Quorum issues

A board must have a minimum quorum (usually a certain number of directors) to cast votes for conducting board meetings to be valid and legally binding to convey its decisions (Section 174). In the event of quorum issues, all the discussion and decisions taken in the meeting by the board are unethical, invalid, illegal, non-binding, and unenforceable. In other terms, this is a violation of the Companies Act, 2013.

Legal non-compliance and penalties

The Indian Companies Act 2013 mandates the formation of a Board of Directors for all registered companies. The company was established based on guidelines under the Companies Act of 2013. The non-compliance on one side badly affects the reputation of the company but the violation also leads to a levy of heavy penalties. The consequences of legal non-compliance may include the following: 

  • Non-submission or falsified annual returns, resulting in fines for the board of directors and the company.
  • Involving in fraudulent practices such as misleading disclosures, financial fraud, etc. leads to heavy penalties and imprisonment in certain cases.
  • Non-adherence to statutory provisions can lead to penalties and legal proceedings under the Act.
  • Non-compliance with ESG and CSR can lead to penalties and reputational consequences.
  • Non-compliance may lead to depleted shareholders’ trust, destroying the company’s reputation.

Operational challenges

Without a proper board, critical decisions related to strategy, financial stability, and governance may be delayed or compromised. One of the operational challenges includes CSR compliance, wherein a prescribed percentage of profit has to be spent on CSR activities. If not complied with, consequences under the Act are liable to be initiated against the defaulting board of directors and the company. 

Loss of stakeholder’s trust

One of the key benefits of forming a Board in a company is the limited liability protection it offers to its shareholders. If the trust is breached, this could result in severe reputational damage to the company. This could further translate to financial losses in the form of declined sales, reduced market scope, etc. There could even be the termination of contracts and the loss of stakeholder support.

Inability to access capital

Many investors, lenders, and financial institutions require companies to have a properly constituted Board of Directors as part of their due diligence process. Failure to meet this requirement may hinder the company’s ability to raise capital or secure financing.

Conclusion

The Board of Directors plays a pivotal role in the organisation, with the prime goal of seeing the organisation reach new heights. The Board of Directors in an organisation has a very competitive and challenging role, shouldering significant responsibilities ranging from setting strategic trajectories to overseeing management matters, financial accountability, and safeguarding stakeholder interests. The board’s responsibilities are not only limited to appointing the board directors but also to fostering crystal clear and transparent governance within the organisation. However, these responsibilities come with lots of challenges that the board faces. This may include regulatory compliance, conducting board meetings and addressing shareholder’s concerns. There are even complexities that come in the way of the performance of the board, such as setting strategic direction, implementing decisions, overseeing management’s performance, addressing technology disruption, and market competency concerns. The timely filling of the board’s vacancy and the latest focused topic, compliance with ESG standards, underscore the board’s multifaceted responsibilities.

Where the Board Directors’ performances ought to be very decisive, the Companies Act 2013 provides stringent guidelines for the evaluation of the entire Board and has strict guidelines for their continuity in the Board’s position. Consequences of failing to adhere to guidelines may include asset mismanagement, compromised financial reporting, legal complications, diminished shareholder confidence, and a lack of proper governance. Additionally, casual vacancies and quorum issues may loom and may culminate in the company’s insolvency or dissolution under the Act. Therefore, the board’s approach to tackling these challenges with dedication maintains organisational ethics and values and promotes sustainable growth for the company.

References

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Liquidation of a company

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This article is written by Trisha Prasad, The article discusses the concept of liquidation of a Company and the process of liquidation under the Insolvency and Bankruptcy Code, 2016 and the Companies Act, 2013.

This article has been published by Shashwat Kaushik.

Table of Contents

Introduction 

Liquidation of a company refers to a financial process that is undertaken by a company that is unable to pay its debts. The process of liquidation results in a formal end to the affairs of the company. Liquidation of a company is dealt with under the Companies Act, 2013 (hereinafter referred to as Companies Act) and the Insolvency and Bankruptcy Code, 2016 (hereinafter referred to as IBC).

Prior to the commencement of IBC, the laws and regulations governing liquidation of companies in India were largely fragmented under various laws including the Companies Act, Sick Industrial companies Act, 1985, Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act,2002 (SARFAESI) etc. The introduction of IBC was a welcome move as it was a comprehensive code that extensively dealt with the complex issues faced by financially distressed companies and reduced delays that were earlier caused due to the fragmented system of laws that governed the process of liquidation in the country.

Liquidation is a final recourse available to creditors. The primary focus under IBC is for the company to first undergo a resolution process. Initially, there is an attempt to revive the company by way of a corporate insolvency resolution process. The creditors resort to liquidation only on account of failure of the resolution process.

It is also important to understand that the grounds for liquidation under IBC and Companies Act are different and do not overlap. While IBC specifically deals with companies that are unable to pay their debts, winding up under the Companies Act does not include the inability to pay debts as a ground. The grounds and procedure for liquidation or winding up under both the IBC and Companies Act will be elaborately discussed in this article.

What is liquidation of a company

The term “liquidation” in simple words refers to the process initiated by, on behalf of or in relation to a company, usually in order to pay off outstanding debts. The assets of the company are sold and the proceeds of the sale are used to repay or clear any outstanding debts and monetary liabilities of the concerned company. 

It is a process triggered either when the company is unable to pay debts or when it is ascertained that it is not beneficial to continue the business of the company. Once the process of liquidation is officially initiated, the appointed liquidator will carry forward the process of liquidation. In the end, after all the assets of the company are liquidated and the proceeds are distributed among the creditors, members, employees, shareholders, etc., the company will be wound up or dissolved. This means that the company will cease to exist as a legal entity.

Types of liquidation of a company

A company can go into liquidation either voluntarily or mandatorily as ordered by any competent authority for the following reasons:

  • There are outstanding dues and debts that the company cannot pay. In such a case, a company may be declared as insolvent and a process of liquidation can be initiated against the company. 
  • The owner or major shareholders and members of the company decide that there is no benefit in continuing the business of the company. This step can be taken in various situations, including;
    •  when there is a decline in the market and the company is not as profitable as it was when it was first incorporated.
    • When major customers of the company have shifted to the company’s competitors or have ceased to exist as a legal entity.
  • Business owners who wish to exit from the business may deem it fit to liquidate the company rather than selling it to another entity.
  • Even before becoming insolvent or bankrupt, the company can be liquidated with the aim of avoiding a situation of insolvency or bankruptcy.
  • Companies may be liquidated as a result of legal procedure initiated against them for failure to comply with legal compliances and regulatory requirements like filing of annual returns and paying taxes. 

Liquidation process can be categorised into two main categories on the basis of the reason for liquidation and the process of initiation of liquidation.

Voluntary liquidation of a company

Voluntary liquidation refers to the procedure when a company decides to undergo liquidation on its own terms, voluntarily and without experiencing the inability to repay debts. A company may simply decide to voluntarily liquidate itself if it is determined that there is no reason to carry on with the business of the company, or it is not feasible for the company to continue to exist. The liquidation and dissolution of the company is not ordered by the National Company Law Tribunal (Hereinafter referred to as Tribunal).

  • Creditor’s voluntary liquidation

A voluntary liquidation procedure initiated by the creditors occurs when the members or shareholders of the company are of the opinion that the company does not have sufficient assets and may fail to pay outstanding debts. In such cases, the majority of the shareholders or members determine that the company has become insolvent and must hence be voluntarily liquidated.

  • Member’s voluntary liquidation 

Unlike a creditor’s voluntary liquidation, a member’s voluntary liquidation process usually occurs when the company is solvent, but the members of the company are of the opinion that the business or company should not continue.

Compulsory liquidation of a company

Compulsory liquidation or involuntary liquidation refers to the formal procedure when a company is, by the order of a competent tribunal, forced to undergo liquidation and formally shut down. The process is usually initiated by a creditor or a regulatory authority.

Definitions of important terms 

  1. Claim- Claim is defined in Section 3(6) of IBC. It refers to either a right to payment or a right to remedy as a result of breach of any law that is in force.
  2. Corporate debtor (Section 3(8)]- Any Corporate person or entity that owes a debt to another person or entity is a Corporate Debtor.
  3. Any person to whom a debt is owed is a Creditor (Section 3(10)).  A creditor can be of the following types:
  • A Financial Creditor (Section 5(7)) is any creditor to whom any debt that is of purely financial nature is owed. It may also include assignees or transferees of the said debt.
  • An Operational Creditor (Section 5(20)) is any creditor to whom any operational debt or claim in relation to any goods and services is owed. This may include claims related to employment or anything due to the creditor as a result of any law that is in force.
  • A creditor becomes a Secured Creditor (Section 3(30)) when a security interest is created in favour of them in relation to the debts owed to them.
  • The term Unsecured Creditor is not defined in the IBC. It however refers to those creditors who do not have security or collateral in their favour in relation to any debt owed to them.
  1. Liquidation Cost (Section 5(16)) refers to the expenses or cost incurred by the liquidator during the liquidation process. 
  2. Liquidation Commencement Date (Section 5(17)) refers to the date on which the procedure for liquidation as initiated either under Section 33 of IBC which deals with initiation of compulsory liquidation or Section 59 of IBC which deals with initiation of voluntary liquidation began or commenced.
  3. Corporate Insolvency Resolution Process or CIRP is not expressly defined under the IBC. CIRP can be understood as a process of resolving the insolvency of the company in accordance with the rules provided under IBC. If a CIRP is successful, liquidation proceedings need not be initiated. CIRP essentially refers to a mechanism for creditors of a corporate debtor to recover the amount due to them. The procedure and rules to be followed for a CIRP are provided under Chapter II of IBC. 

Liquidation order of a company

The process of liquidation of a company begins with the passing of a liquidation order by the concerned tribunal. The concept of a liquidation order is mentioned under Section 33 of IBC, which deals with the commencement of a court ordered liquidation process. A liquidation order can be made by the tribunal upon receiving an application for the same during the pendency of insolvency proceedings of a corporate person, when it is determined that the corporate debtor cannot be revived. The liquidation order can be passed in the following situations:

  1. The resolution plan was not submitted within the specified or prescribed time limit.
  2. The proposed resolution plan is not approved by the committee of creditors of the corporate debtor.
  3. The approved resolution plan was rejected by the tribunal for not complaining with the rules and requirements.
  4. If, after the approval of the resolution plan, the corporate debtor acts out and carries out activities in a manner inconsistent with the resolution plan.

Process of liquidation of a company under IBC

The procedure for liquidation of a company is covered under Chapter III of IBC which contains provisions from Section 33 to Section 54. The process of liquidation begins with the initiation of the process under either Section 33 or Section 59 of the Code, as the case may be. The process ends with the dissolution of the company once the appointed liquidator values, liquidates and distributes the assets on the basis of claims that are filed by the creditors.

Initiating the process of liquidation 

Liquidation process can be initiated under either Section 33 of IBC for compulsory or court (tribunal) ordered liquidation or Section 59 of IBC for voluntary liquidation.

Initiation of a voluntary liquidation process (Section 59)

Any  company that wishes to undergo liquidation and has not committed any default can initiate voluntary proceedings under Section 59. The process is additionally governed by the IBBI (Voluntary Liquidation Process) Regulations, 2017 (hereinafter referred to as the Regulations of 2017) in case of a corporate person other than a company. Along with conditions and procedural requirements as laid down by the board of directors and the Insolvency and Bankruptcy Board of India (hereinafter, IBBI), Section 59 also lays down the following conditions that have to be fulfilled by any company that is initiating voluntary liquidation proceedings.

  • A declaration accompanied by an affidavit must be made by a majority of the directors of the company, confirming that:
    1. Pursuant to a thorough enquiry made by the directors, the company does not have debt or that the company will be able to repay any outstanding debts in full from proceeds received as a result of the liquidation process.
    2. The purpose of liquidation of the company is not to defraud any creditor or any other person.
  • The declaration must be further accompanied by:
    1. Audited accounts of the company as well as report of affairs of the company of the last 2 years or since its incorporation in case of a company that has not been in existence for 2 years.
    2. A valuation report (if prepared)
  • A special resolution must be passed by the company in a general meeting within 4 weeks of the declaration for voluntary liquidation. The special resolution must be for the purpose of initiating the process of liquidation and appointing a liquidator. Once the resolution has been passed, such date is considered as the commencement date for the initiated voluntary liquidation process.
  • In cases where the company was incorporated for a certain duration, as specified in the Article of the company and such a time period has expired; or if the articles of the company have provisions that require the dissolution of the company in certain situations or conditions, a resolution must be passed by the members to appoint a liquidator and initiate the liquidation process within 4 weeks of the above-mentioned declaration.
  • In case the company owes debts to any person, a resolution for voluntary liquidation, as mentioned above (under point 3 and 4) must be approved by creditors representing 2/3rd of the value of the total debt that is owed by the company.
  • It is essential for both the Registrar of Companies (hereinafter ROC) and the IBBI to be notified of such resolution within 7 days of passing of the resolution or within 7 days of approval of the creditors.
  • Once the process of voluntary liquidation under Section 59 is officially initiated, the general procedure for liquidation as provided under Sections 35 to 53 of IBC will be applicable, subject to such modification as may be necessary. 

Initiation of compulsory liquidation process (Section 33)

Section 33 of the IBC deals with initiation of compulsory or tribunal ordered liquidation of a company. In case, CIRP that was initiated by the creditors of the company fails, the court will initiate liquidation proceedings by passing a liquidation order. This can be done in the following situations:

Resolution plan not received within the maximum time of completion of CIRP

If the tribunal does not receive the resolution plan within the maximum time permitted for completion of CIRP (180 days) or before expiry of the prescribed period for the completion of the insolvency resolution process.The tribunal has the power to provide extension beyond the limit of 180 days if there is reasonable grounds to justify the delay in submitting the resolution plan. However, if the resolution plan is not submitted even after the frustration of the extended period, the tribunal shall pass a liquidation order. The NCLAT in the case of Dinesh Gupta v. Vikram Bjaja Liquidator M/s Best Foods Ltd, (2021) upheld the liquidation order of the tribunal. The resolution plan was not submitted even after the expiry of 180 day period prescribed for the CIRP process.There was no extension provided by the tribunal in the above mentioned case.

Rejection of proposed resolution plan on ground of non-compliance

If the proposed resolution plan is rejected on grounds of non-compliance with requirements provided under Section 31 of IBC.For a resolution plan to be approved under Section 31, the following conditions under Section 30(2) must be fulfilled:

  • The resolution plan must prioritise the payment of the liquidation costs over the other debts;
  • The provision in the resolution plan for the payment of debts of operational creditors must not be less than the amount that would be payable to the class of creditors as per Section 53 of IBC;
  • The provision in the resolution plan for the payment of debts of financial creditors who do not vote in favour of the resolution plan should not be less than the amount payable to them as per Section 53 of IBC;
  • The resolution plan must contain provision for management of the affairs of the corporate debtor after approval of the resolution plan;
  • There must be clear provisions related to the implementation and supervision of the resolution plan;
  • No provision in the plan must in any manner violate any law that is in force at the time.
  • The board may additionally provide for requirements from time to time. The resolution plan that is sought to be approved must comply with these requirements.

The tribunal may also pass an order of liquidation in the following cases:

Decision of Committee of Creditors to initiate liquidation

The Resolution Professional (hereinafter RP) may, at any point in time during the CIRP but before the final confirmation of the resolution plan, inform the tribunal of the decision made by the Committee of Creditors (hereinafter CoC) to liquidate the company. This decision must be approved by creditors holding at least 60% of the total voting power. The appellate tribunal in the case of Sunil S. Kakkad v. Atrium Infocom Ltd,(2020), had affirmed the CoC’s power to initiate the liquidation process. The same was upheld by the Supreme Court in 2021. In a more recent case of ACRE – 81 Trust v. Pawan Kumar Goyal (2024), the NCLAT reaffirmed the CoC has the power to decide on going for liquidation at any time before the resolution plan is approved.

Contravention of approved resolution plan

If the approved resolution plan is not complied with by the corporate debtor, any other person whose interests are prejudicially affected by the resolution can file any application before the tribunal for a liquidation order. The tribunal will, if satisfied that the corporate debtor has contravened the resolution plan, pass an order of liquidation. In cases where the liquidation order is passed pursuant to an application under this subsection, the tribunal may also order the resolution applicant or contravening party to pay a fine on account of failure to implement the approved resolution plan. For example, in the application for liquidation of S.K Wheels Pvt. Ltd., filed by Edelweiss Asset Reconstruction Company Limited, the tribunal ordered for the liquidation of the corporate debtor on account of failure in implementing the approved resolution plan. Additionally, the resolution applicant was also directed to pay a fine of Rs.2,00,000/-.

While passing an order for initiation of the liquidation of the corporate debtor, the tribunal must also make a public announcement of the same and ensure that the order is sent to the concerned ROC.

According to Section 33(5), the passing of a liquidation order bars the institution of any legal proceeding by or against the corporate debtor unless the liquidator, with prior permission of the tribunal, institutes the suit on behalf of the corporate debtor. The Central Government can, in consultation with any financial sector regulator, notify certain transactions that will be exempted from this subsection.

Further, Subsection 7 states that once an order of liquidation is passed, it is deemed to be a notice discharging the employees and officers of the company unless the business is a going concern during the period of liquidation for the purpose of beneficial winding up or liquidation of the company.

Appointment of liquidator 

Liquidators are Insolvency professionals who are appointed to oversee and conduct the process of liquidation of the company pursuant to the commencement of liquidation proceedings under IBC.

A liquidator is appointed under Section 34 of IBC.In case of a proceeding initiated under Section 33, the insolvency professional who was appointed for the CIRP process will become the liquidator. A resolution professional is appointed under Section 22 of IBC by the CoC who decides to either appoint the interim resolution professional as the resolution professional or appoint a new resolution professional within 7 days of the constitution of the CoC. The resolution profession is to be appointed in case of both the general liquidation proceedings under chapter II of the IBC as well as for a pre-packaged insolvency process. The latter is an alternative and speedier insolvency mechanism that is available to micro, medium and small enterprises that are financially distressed.

The resolution Professional can only act as a liquidator after giving their written consent to the adjudicating authority. The adjudicating authority additionally has the power to choose to replace the resolution professional in three cases:

  • If the resolution plan submitted by the resolution professional was rejected due to failure to meet requirements;
  • If the IBBI, with reason, suggests the replacement of the resolution professional;
  • The resolution professional fails to give consent for being appointed as the liquidator.

If the resolution professional is replaced by the order of the tribunal, the tribunal may ask the IBBI to propose the name of another insolvency professional to be appointed as a liquidator. The IBBI must submit their proposed name along with a written consent within 10 days of the tribunal’s directions.

Fees of liquidator

According to Regulation 4 of the Insolvency and Bankruptcy Board of India (Liquidation Process) Regulation, 2016, the fees of the liquidator will be decided by the CoC as per Regulation 39D of the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016. While approving the Resolution Plan or deciding to initiate proceedings under Section 33, the CoC will, in consultation with the Resolution Professional, decide the liquidator’s fee in case the liquidation order is passed. The Regulation 39D specifies that the fees will be calculated for the following periods of times, as the case may be:

  • Compromise or arrangement period under the Companies Act (if any);
  • Time used for the sale of assets;
  • The remaining liquidation period.

Further, in cases where Regulation 39D is not applicable, the fees of the liquidator will be  as follows:

  • Amount equivalent to the fees that the resolution professional was entitled to during the compromise and arrangement period under the Companies Act;
  • For the remaining period of liquidation, as the percentage of net of amount realised and distributed as provided under sub-regulation b of regulation 4 of IBBI(Liquidation Process) Regulations, 2016.

Upon the completion of liquidation of assets, the fees of the liquidator will be proportionately deducted and paid from the sums that will be distributed as per Section 53 of IBC.

Powers and duties of liquidator

The powers and duties of the appointed liquidator are listed under Section 35 of the IBC and are as follows:

  1. Verification of Claims;
  2. Custody or Control of assets and actionable claims of the Corporate debtor;
  3. Prepare an evaluation report of the assets of the corporate debtor;
  4. Measures to preserve the assets of the corporate debtor;
  5. For the purpose of beneficial liquidation, continue to carry on business on behalf of the corporate debtor;
  6. Sell moveable and immoveable properties of the corporate debtor, as well as actionable claims to effect the process of liquidation. This is either done by way of a public auction or a private contract based on the requirements;
  7. Draw, accept and endorse negotiable instruments on behalf of the corporate debtor in a manner as if the corporate debtor itself has drawn, endorsed or accepted the Negotiable instrument;
  8. To obtain professional assistance from various professionals or exports in order to discharge his duties and obligations;
  9. Invite, evaluate and settle claims of creditors;
  10. Institute and defend any legal proceedings on behalf of the corporate debtor;
  11.  Evaluate preferential or undervalued transactions made by the corporate debtor (if any) and avoid undervalued transactions;
  12. The liquidator is accountable to the concerned tribunal as per the directions of the IBBI. A report of the liquidation process must be presented to the tribunal. Additionally, the liquidator also has the power to make applications to the Tribunal for any orders of directions as required;
  13. Distribute the proceeds of liquidation as per Section 53 of IBC after consulting the entitled stakeholders. The consultation however, is not binding on the liquidator. Additionally, the records in relation to the consultation should be made available and accessible to those stakeholders who were not consulted by the liquidator;
  14. The IBBI may also make additional rules and give directions for other duties and powers of the liquidator.

Additionally, Section 37 of IBC provides the liquidator with the power to access any information or information system in order to either verify claims or identify assets for liquidations. The section specifies seven information systems or sources from which the liquidator can gain access to the relevant information including:

  • Information Utility that are registered with IBBI under Section 210 of the IBC;
  • Credit information systems which are regulated and provide accurate or dependable information about borrowers and credit scores;
  • Any government authority or registered authorities under the central, state or local governments;
  • Information systems for financial and non-financial liabilities;
  • Information systems for securities and assets;
  • Databases maintained by the IBBI; and
  • Any source that may be from time to time specified by the IBBI.

The creditors may, under Section 37(2) seek for any financial information about the corporate debtor from the liquidator who is expected to provide the requested information to the creditors within 7 days of receipt of the request. If the liquidator is unable to provide the information, the reason for such failure or refusal should be communicated to the creditor who requested the information.

Removal of liquidator

The appointed liquidator may be removed and replaced on the orders of the tribunal on grounds of failure to fulfil their duty. The IBC does not have any specific provision that deals with the removal of the liquidator. The tribunal has, however, exercised its power to remove a liquidator on the basis of Section 16 of the General Clauses Act which gives any authority that has the power to hire or appoint a person, the power to remove that person unless the governing law provides otherwise. For example, in the case of Subrata Maity v. Mr. Amit C Poddar & Ors (2022), the NCLT had removed the liquidator and the NCLAT upheld this decision as the liquidator in question was undergoing criminal proceedings and was hence deemed to be unfit to continue as a liquidator. 

Since the IBC does not provide any grounds for the removal of the liquidator, the NCLT and NCLAT in the case of IDBI Bank Ltd. v. Venkata Sivakumar (2022), the grounds for removal of a company liquidator under Section 276 of the Companies Act will also apply to removal of liquidators appointed under IBC. The tribunal also observed that the determination of the grounds and the removal of the liquidator will be done by the tribunal and the CoC does not have locus standi in the matter.

However, pursuant to the IBBI’s amendment to the liquidation regulations in 2021, the CoC will be given power to remove the liquidator. As per the amendment, the liquidator must constitute a Stakeholder’s Consultation Committee (SCC) which comprises the company’s creditors. The amendment gives the SCC the power to file an application, with a 66% majority, for the removal of the liquidator before the tribunal with written reasons for the same. Grounds on which such recommendation or application can be made is not provided. This amendment does not follow the earlier established position of law, which denied the locus standi of the CoC in matters related to removal of the liquidator. Various legal professionals and scholars have contended that the amendment is ultra vires the basic objective and feature of the IBC. It is also being contented that even if the amendment continues to be in force, the decision of the SCC should not be binding on the tribunal and that the grounds under Section 276 of the Companies Act must still be established.

Claims in liquidation process 

The next step of the liquidation process, after the liquidator is appointed, is the stage of calling for claims and consolidation of the received claims. At this stage, the creditors are expected to submit their claims along with the proof of claims within the prescribed time period as mentioned below. Subsequently, the liquidator will verify the claims and either accept or reject the claims in the manner mentioned below.

Consolidation of claims 

The process of consolidation of claims is necessary in order to ensure that all the creditors who are entitled to repayment of the outstanding dues are able to claim their share in the liquidated assets by the end of the liquidation process. Consolidation of claims, followed by the verification of the consolidated claims, allows the liquidator to efficiently determine the value of the outstanding debts that may be claims. It also eases the process of distributing the assets on the basis of the order of priority at the end of the process of liquidation.

According to Section 38, within 30 days of commencement of the liquidation process, the appointed liquidator will receive and collect the claims of various creditors against the corporate debtor.

The creditors, be it financial creditors, operational creditors or partly financial and partly operational creditors, have to submit their claims in the following manner:

  • A Financial Creditor must make claims by submitting any existing record of such claims with an information utility. Information Utilities are crucial players in the insolvency proceedings as they record and provide accurate and up-to-date financial information about the corporate debtors. However, if there is no record of claim with the Information Utility, the financial creditors are also permitted to submit their claims in the same manner as prescribed for the operational creditors.
  • An Operational Creditor must submit their claims with proof to the liquidator within the prescribed time and in the manner prescribed by IBBI.
  • Any partly financial and partly operational creditor is expected to submit their financial claims as per Sub-section (2) which deals with financial creditors and operational claims as per Sub-section (3) which deals with operational creditors.
  • This Section also allows for the creditor to either withdraw or vary their claims within 14 days from the date of submission of the claim to the liquidator.

Verification of claims 

The liquidator has the responsibility under Section 39 of IBC to verify the claims that were submitted and consolidated under Section 38 of IBC within a prescribed time period. For the purpose of verification, the liquidator may also ask the concerned creditors to submit additional documents or evidence of their claims.

Admission or rejection of claims 

After the claims have been verified, the liquidator has the option to either admit or reject the claims under Section 40 of IBC. The claims may be admitted or rejected, either as a whole or in part. Any such decision that is made must be communicated to both the creditors and the corporate debtor within a period of 7 days of such decision. If the liquidator decides to reject a claim, he is required to provide a written reason for the same. Once the claims are verified and either accepted or rejected, according to Section 41 of IBC, the liquidator must proceed with the valuation of the claim. This means that the liquidator should determine the value of those claims that have been admitted in accordance with the procedure or rules determined by IBBI.

Appeal 

Any creditor or member that is aggrieved by the liquidator’s decision to either accept or reject a claim has the recourse of appealing against the decisions. Section 42 of IBC allows for the creditor whose claim has been rejected by the liquidator to approach the tribunal and file an appeal against the decision of the liquidator.

Avoidance transactions

While analysing and verifying the transactions made by the corporate debtor, the liquidator can, avoid or undo certain classes of transactions. Avoidance transactions are dealt with under Section 43 to 51 of IBC, which include preferential transactions, undervalued transactions and extortionate credit transactions. 

Preferential transactions

According to Section 43(2), the term “preferential transactions” includes the transfer of property or interest in the property of a corporate debtor by the corporate debtor itself for the benefit of a creditor, guarantor or surety on account of any type of debt or liability of the said corporate debtor. These transactions are referred to as preferential transactions as it tends to put the said creditors at a beneficial position at the time of distribution of assets.

For the purpose of clearly establishing the purpose and meaning of preferential transactions, sub-section (3) provides a list of transactions that are not considered to be preferential transaction, including:

  • Transactions made in the ordinary course of business or general financial affairs of the corporate debtor
  • Any transfer that creates any security interest in property that is acquired by the corporate debtor to the extent that some new value in the form of money, equivalent value of credit, goods or services, was secured and that the same was given at the time of or immediately after signing a security agreement that includes the said property as security interest. It is also necessary, for the application of this subsection, for the transfer to be registered with an information utility within 30 days of the corporate debtor acquiring possession of the property. Transfer made in compliance with a court order is excluded from the scope of this subsection and can be deemed to be a preferential transaction.

According to subsection (1), Section 43 is constructed with the intention to avoid preferences given by the corporate debtor at the relevant time leading up to the insolvency proceeding. If the liquidator is of the opinion that the corporate debtor has made a preferential transaction, they shall apply to the tribunal for the avoidance of the preferential transaction.

Orders against preferential transactions

Upon receiving an application under Section 43 (1), the tribunal can pass the following orders under Section 44:

  • Ensure that the property connected with the preferential transaction is vested with the corporate debtor;
  • Release any security interest that was created in relation to the preferential; transaction that was created by the corporate debtor. The tribunal can order for the discharge to be either in whole or in part;
  • Direct the beneficiary of the preferential transaction to pay a certain sum of money, in tune with the benefits received, to the liquidator;
  • Direct any guarantor whose debt was discharged as a result of the preferential transaction to be under a new or revived debt;
  • Direct for the provision of any security on any property for the discharge of any debt under the order, equivalent to the security discharged as a result of the preferential transaction;

The tribunal must also ensure that any order passed must not affect the interest or derived interest of any person on the property that was acquired in good faith. Any person who benefited from the transaction, in good faith, must not be asked to pay any sum of money to the liquidator. A person is said to have acted in good faith if they are not a related party and did not have sufficient information about the commencement of the insolvency resolution process. A public announcement is considered as sufficient information.

Undervalued transactions

Section 45 of IBC deals with the concept of undervalued transactions. According to Sub-section 2, the following are considered to be undervalued transactions:

  • Gifts made or given by the corporate debtor to any person;
  • Any transaction involving one or more assets where the consideration is of a significantly lower value.

The application in relation to an undervalued transaction can either be made by the liquidator or any creditor or member in case the liquidator fails to make such an application to the tribunal. The tribunal shall then declare the transaction to be void and order for its effects to be reversed.

Relevant period for avoidable undervalued transaction

According to sub-section 4 of Section 43 for a preference transaction and Sub- section 3 of Section 46 for an undervalued transaction, transactions  made at “relevant time” includes the following:

  • Any such transaction made to a related party within the period of 2 years before the commencement of the insolvency proceeding.
  • Any such transaction made to an unrelated party within the period of 1 year before the commencement of the insolvency proceedings.
Order against undervalued transactions 

Section 48 of the IBC provides for the orders that can be passed by the tribunal pursuant to an application made under Section 45 as follows:

  • Any property that was transferred and is determined to be an undervalued transaction can be ordered to be vested on the corporate debtor;
  • Release any security interest that was created in relation to an undervalued transaction that was created by the corporate debtor. The tribunal can order for the discharge to be either in whole or in part;
  • Direct the beneficiary of the undervalued transaction to pay a certain sum of money, in tune with the benefits received, to the liquidator;
  • Require for the payment of consideration in relation to the undervalued transaction. The amount to be paid may be determined by an independent expert.

Further, as per Section 49 of IBC, if the tribunal is satisfied that the undervalued transaction was done with the intention to defraud the creditors or to adversely affect the interests of anyone related to the claim, the following orders may be passed:

  • Restore the position of the involved parties to before the transaction happened
  • Protect the interest of victims of such fraudulent transactions

The order passed by the tribunals shall not:

  • Effect any interest or derived interest in property acquired in good faith by any person other than the corporate debtor.
  • Require any person who, in good faith, benefited from the transaction to pay any sum of money unless that person was actually a party to the transaction.

Extortionate credit transactions

The term extortionate credit transaction refers to any transaction that required the corporate debtor to pay an exorbitant amount of money in exchange of any credit or debt that they received. When the corporate debtor has been a part of any transactions, the terms of which required the debtor to pay exorbitant amounts, not in compliance with existing laws, within the period of 2 years before the commencement of insolvency, the tribunal may set aside such transaction on any application made by the liquidator under Section 50 of IBC. Any debt extended by a person providing lawful financial services cannot be considered as an extortionate credit transaction. Pursuant to Section 50(2) which gives the board the power to determine what is considered as an extortionate credit transaction, Regulation 5 of the IBBI (Insolvency Resolution Process for a Corporate Person) Regulations,2016 provides for two transactions that will be considered as extortionate:

  • Requires exorbitant payments to be made by the corporate debtor for the credits;
  • Transaction considered to be unreasonable or in excess of the principles of contract law.
Order against extortionate credit transactions

In case an application is made to the tribunals under Section 50, the tribunal can pass the following orders in accordance with Section 51 of IBC:

  • Restore the pre-transaction position of the involved parties;
  • In case of any debt created as a result of the extortionate credit transaction, the tribunal can order for the debt to be wholly or partly set aside;
  • The tribunal can order for the terms of the transaction to be modified if deemed fit;
  • The tribunal can order for any person who is a party to the transaction to repay any amount that they received from the transaction;
  • Require for any security interest that was created as a result of the transaction to be relinquished.

Secured creditors in liquidation proceedings of a company

Section 52 of IBC provides for certain actions that the secured creditors of the corporate debtor can take during the liquidation proceedings in order to secure the amount that is due to them. Subsection (1) provides the secured creditors with the option of either relinquishing their security interests in the liquidation assets and then receiving their share from proceeds from the liquidation of the assets as per Section 53 of IBC or, they can realise the security interest, following the rules laid down in this section:

  • The secured creditor must inform the liquidator about the security interest that is sought to be realised and identify the asset that is subject to the security interest.
  • The existence of the security interest must be proved by way of any such records maintained by an information utility or by any other means that may be specified by IBBI.
  • The security interest can only be realised after the liquidator verifies the existence of the security interest and permits the secured creditor to realise that specific security interest.
  • Once the liquidator has permitted the realisation of the security interest, the secured creditor will deal with the same in accordance with any law that is applicable to the asset subject to the security interest. The proceeds will then be used to clear the debt that is due to the creditor.
  • In case, the proceeds are surplus and excesses remain even after the secured creditor’s debts are settled, the creditor has the responsibility to inform the liquidator of the same and tender the surplus amount to the liquidator.
  • Additionally, any liquidation cost that is due from the secured creditor will be deducted from the proceeds of the realisation of the security interest. The secured creditor must transfer this amount to the liquidator.
  • However, if the proceeds of realisation of the asset is not adequate to clear the amount due to the secured creditor, the unpaid dues will be paid as per section 53.

Distribution of assets of a company

Section 53 of the IBC lays down the order of priority to be considered while distributing the proceeds of the liquidated assets.

  1. Fully paid insolvency procedure costs.
  2. The following debts will be ranked equally
  • Any amounts due to be paid to the workmen and have been pending for up to 24 months preceding the commencement of the liquidation process.
  • Debts owed to a secured creditor who has relinquished security
  1. Any amount due to be paid to employees (not workmen) and have been pending for up to 12 months preceding the commencement of the liquidation process.
  2. Financial debts owed to unsecured creditors.
  3. As per the order of priority, the following  will be ranked equally:
  • Any amount due to be paid to the government
  • Debts owed to secured creditors for unpaid amounts that were not covered by the security.
  1. Remaining Debts and dues (if any)
  2. Preferential Shareholders (if any)
  3. Equity shareholders or partners

The liquidator’s fees will be proportionately deducted from each of the above-mentioned classes or categories before the eligible recipients are paid.

It is also important to note that any agreement or contract that is not consistent with or disrupts the order of priority provided in this section will be disregarded.

Dissolution of corporate debtor

The last step of the liquidation process is the dissolution of the corporate debtor. According to Section 54 of IBC, once the assets of the company are fully liquidated, the liquidator will approach the Tribunal with an application to dissolve the company. The tribunal will then proceed to pass an order of liquidation and a copy of the same must be sent to the concerned ROC within 7 days.

Furthermore, in case of a voluntary liquidation process that was initiated under Section 59, the liquidator must make an application to the tribunal for a dissolution order as per subsection 7 of Section 59 after the affairs of the company are wound up, and the assets are completely liquidated. The tribunal will then pass an order for dissolution. In case of dissolution of a company as a result of a voluntary liquidation process, the copy of the order must be sent to the concerned ROC within 14 days of passing of the order.

Process of liquidation of a company under Companies Act, 2013

The process of liquidation of a company under the Companies Act is referred to as “winding up” and is dealt with under Chapter XX of the Act. Part I under the Act deals with the provisions for winding up of a company by the tribunal. Part II of the Act that dealt with voluntary winding up has been replaced by the IBC.

Grounds for winding up

According to Section 271 of the Companies Act, the tribunal may, on receiving a petition, order for the winding up of a company on the following grounds:

  • If a special resolution was passed by the company to have the company wound up by an order of the tribunal;
  • If the company has acted in any manner that is against the sovereignty, integrity, security of India or in a manner that affects India’s friendly relations with other nations or against public decency and morality;
  • If, on the basis of an application made, the tribunal is satisfied that the affairs of the company are being carried out fraudulently or if the very purpose of setting up or incorporating the company was fraudulent or unlawful in nature. The company may also be wound up if persons involved in the incorporation or management of the company have been found to be guilty of fraud, misconduct, or misfeasance of any sort. In the above-mentioned cases, the application must be filed by ROC or any person authorised to do so by the central government;
  • If the company has, in the preceding five years, consecutively failed to comply with the requirement of filing their financial statements and annual returns;
  • The tribunal may also wind up the company on “just and equitable ground.”

In Hind Overseas Private Limited vs Raghunath Prasad Jhunjhunwalla And Anr (1975), the Supreme Court observed that “just and equitable grounds” includes the following:

  • Disappearance of Substratum or if the company had abandoned all of the objectives on the basis of which it was incorporated, or the objectives have become impossible to perform. In the case of Seth Mohan Lal v. Gran Chambers Ltd. (1968), the Supreme Court observed that when a company substantially fails to fulfil or perform the objects on which it was incorporated, there is a substantial loss of substratum. 
  • Deadlock in management, which is reflected by a division of voting power between two dissenting groups, which cannot be resolved. In the case of Etisalat Mauritius Limited vs Etisalat Db Telecom Pvt. Ltd (2015) , there was a major deadlock between the major shareholder and this led to an irretrievable breakdown of the management. The tribunal ordered for the winding up of the company.
  • Illegality of object and fraud. This also includes any object that has become illegal due to changes in law.
  • If the company is experiencing constant losses and the business cannot continue
  • If winding up of the company is in public interest.
  • When the company did not actually carry out any business after being incorporated.

Who can file a petition for winding up 

According to Section 272, a petition for winding up can be made to the tribunal by the following persons or entities:

  • The company can file a petition if a special resolution for winding up by the tribunal has been passed in the general meeting of the company. This petition must be accompanied by a statement of affairs of the company.
  • Any contributory or person who has held shares for 6 out of 18 preceding months and has had the shares devolved on them after the death of the former holder of the share can file a petition for winding up. A contributory and the company can also file a joint petition.
  • ROC can file a petition on the ground of failure to file financial statements and annual returns. The ROC however requires the sanction of the central government in order to directly approach the tribunal with a winding up petition.The central government is expected to provide the company with a reasonable opportunity to be heard before giving sanction to the ROC.
  • Any person authorised by the Central government 
  • Central or state government can file a petition for winding up if the company has acted against the security, integrity, sovereignty of India; friendly relations with other nations; public decency and morality.

A copy of the petition must be filed with the ROC who will submit his views to the tribunal within a period of 60 days from receiving the copy.

Orders of the tribunal

Once the petition for winding up is filed, the tribunal had the power to pass orders as provided under Section 273:

  • The tribunal can dismiss the petition with or without imposing costs if the tribunal is of the opinion that there is no merit in the case;
  • The tribunal can pass interim orders or injunctions as it deems fit;
  • Until the tribunal passes a winding up order, a provisional liquidator may be appointed. The tribunal must, however, inform the company before appointing a provisional liquidator and give the company sufficient opportunity to be heard. If the tribunal feel that the notice is not required or will cause delays, special reason must be recorded for the same;
  • The tribunal, if satisfied by the grounds alleged in the petition, can pass a winding up order;
  • The tribunal may pass any other order that it deems fit and is necessary for the benefit of the company and its members and creditors.

If the tribunal passes a winding up order or appoints a provisional liquidator, as per Section 279 of the Act, legal proceedings can neither be commenced nor continues by or against the company without the leave of the tribunal.

The section further imposes a time limit of 90 days for disposing the petition or passing any of the above-mentioned orders.

Company liquidator

Appointment of company liquidator

After passing a winding up order, the tribunal will appoint an official liquidator as a company liquidator. The appointment of a company liquidator is governed by Section 275 of the Companies Act. The tribunal will appoint the liquidator from a panel of insolvency professionals registered under IBC. The tribunal will also determine the terms and conditions of appointment as well as the liquidator’s fee on the basis of the task, experience, qualification and size of the company involved.

The section also requires the liquidator to file a declaration disclosing any conflict of interest or lack of independence. This declaration must be filed within 7 days from date of appointment.

For the purpose of the subsequent subheadings, the term liquidator includes both company liquidator and provisional liquidator.

Removal and Replacement of Company Liquidator

The tribunal also has the power to remove or replace the liquidator on the grounds provided under Section 276 of the Companies Act which includes misconduct, fraud, misfeasance, professional incompetence, conflict of interest, lack of independence and the inability to act as a liquidator. The liquidator must be given sufficient opportunity to be heard before he is removed or replaced by the orders of the tribunal.

If the tribunal removes a liquidator or if the liquidator dies or resigns, the tribunal has the option of transferring the work to a new company liquidator after recording the reasons for the same.

If the tribunal finds that the liquidator was responsible for loss or damage to the company on account of fraud, misfeasance or lack of due diligence and care, the loss or damage can be recoverable from the concerned liquidator.

Powers and Duties of Company Liquidator

Section 290 of the Act lists out the powers and duties that are vested on the appointed company liquidator. The powers and duties listed hereunder are subject to directions given by the tribunal. The tribunal may restrict some of the mentioned powers, or may direct the liquidator to perform some additional duties.

  • To the extent required for beneficial winding up, the liquidator must carry on the business or affairs of the company;
  • The liquidator must act and execute deeds and other documents on behalf of the company and use the company seal whenever necessary;
  • The liquidator has the power to sell the properties of the company, both movable and immovable as well as actionable claims of the company either  by way of a public auction or a private contract, in order to complete the liquidation process;
  • The liquidator may also sell the entire undertaking of the company as a going concern. This provides scope for better utilisation of the resources or the assets that will be transferred along with the business of the company when compared to selling off each asset independently;
  • The liquidator may, as required, raise any money on the security of the company’s assets;
  • Any suit can be instituted or defended by the liquidator on behalf of the company. Once the order for winding up is passed, the leave of the tribunal is necessary before instituting or defending a suit.
  • Like in case of the liquidator under IBC, the liquidator under Companies Act also has the power and the duty to call for claims from the creditors and employees, and settle the claims by distributing the proceeds of sale of assets in the order of priority;
  • For the purpose of efficient winding up, the liquidator is entitled to inspect the records and returns of the company;
  • The liquidator also deals with negotiable instruments on behalf of the company and liability in this case will be accorded in the same manner as it would have been if the company itself signed, drew or endorsed the instrument;
  • The liquidator may, in their official capacity and under their name, take out a letter of administration  to any deceased contributory and can take any action as required to obtain payment of any money due from the contributory;
  • In order to ensure a speedy and efficient winding up process and for the protection of the asset, the liquidator can obtain any professional assistance or appoint any professional  in discharge of the liquidator’s duties. In cases where the liquidator is unable to do a duty, he can appoint an agent to do any such required business;
  • The liquidator has the duty to take all necessary steps as may be required for the winding up of the company, distribution of assets and for the performance of all other duties and obligations connected with the official capacity of the liquidator;
  • The liquidator must, as and when required, apply to the tribunal for any order or direction that is required for winding up.

Report by company liquidator

One of the duties of the liquidator upon appointment is to submit a report under Section 281 to the tribunal within 60 days of the order of appointment. The report must contain particulars and details of the following:

  • Details about the assets of the company including the nature of the asset, its location, value, etc. The valuation of the assets must be done by a registered valuer only;
  • Details about the capital of the company including the issued capital, share capital, subscribed capital and paid-up share capital;
  • Details about the existing and contingent liabilities of the company, along with the details of the creditors of the company. It is also necessary to include details of all the debts of the company and the persons the debt is owed to;
  • Details about contributories of the company and any dues that they have to pay;
  • Details about all the intellectual property owned by the company;
  • If there are any subsisting contracts, collaborations or joint ventures, details of each of these must be included in the report;
  • Details of any holding or subsidiary company;
  • Details of any ongoing legal proceedings by or against the company must be included;
  • Details about the promotion of the company and its incorporation must be included, accompanied by the opinion of the liquidator as to whether any fraud was apparently involved in the process of promotion or at any point in time committed by any officer of the company since its incorporation;
  • The liquidator’s report must also contain details about the viability of continuing the business of the company, as well as suggested steps that may be taken to maximise the value of the assets;
  • The tribunal may also direct the liquidator to include certain other details or particulars in the report.

The liquidator’s report can be inspected by any creditor or contributory of the company at any reasonable time. Copies of the report can be taken after paying a fee for the same.

Subsequent to the submission of the report, according to Section 282 of the Companies Act, the tribunal will set the time limit within which the winding up proceedings must be completed, and the company must be dissolved. On  the basis of the report, and after hearing the relevant stakeholders or interested persons, the tribunal may order for the company to be sold as a going concern.

Further, if the tribunal or the central government receives a report that shows the commission of fraud, an order for investigation under Section 210 can be passed. The tribunal may also file a criminal complaint against the persons involved.

Lastly, on the basis of the repost, the tribunal may pass orders as is necessary for the preservation and enhancement of the value of the assets.

Dissolution of company

Once the affairs of the company are completely wound up, the liquidator will make an application under Section 302 for the dissolution of the company. If the tribunal is satisfied that it is just and reasonable to dissolve the company, an order to that effect will be passed, and the company will be dissolved as on the date of the passing of the order.A copy of the order has to be sent by the tribunal to the ROC within 30 days of the order and similarly, the tribunal will direct the company liquidator to forward the order to the ROC within 30 days of the passing of the order. The company officially ceases to exist once the Registrar registers or records the dissolution.

Relevant case laws

Pariman Enterprises Pvt. Ltd. v. Atlantis LifeSciences Pvt. Ltd (2018)

In this case of Pariman Enterprises Pvt. Ltd. v. Atlantis LifeSciences Pvt. Ltd, the Mumbai Bench of the National Company Law Tribunal passed a liquidation order against the corporate debtor on the grounds provided under Section 33(1)(a) of IBC. The corporate debtor was ordered to be liquidated as the adjudicating authority did not receive the resolution plan even after the expiry of the maximum prescribed period for the completion of CIRP (180 days).

Swiss Ribbons Pvt. Ltd. v. Union of India (2019)

The Swiss Ribbons case is a landmark case that upheld the constitutionality of IBC and specifically validated various provisions under the code. In relation to the topic of liquidation, Section 53 of IBC which deals with the distribution of assets during the liquidation process was challenged as being arbitrary and discriminatory. The petitioners in this case claimed that the order of priority of each class of creditors was in violation of Article 14 of the Constitution.

It was, however, observed that it is essential to distinguish between the operational debts which are often unsecured debts and financial debts that are generally secured debts which create flow of capital into the economy. Hence, the classification of creditors and order of priority Discharging the financial debts of banks and financial institutions will beneficially trigger the has a legitimate and justifiable reason. It was also affirmed by the Apex Court that the order of priority as provided under the impugned provision is to be followed only during liquidation of the corporate debtor.

In this context, the Hon’ble Supreme Court upheld the constitutional validity of the Section and observed that it was neither arbitrary nor discriminatory in nature.

Kridhan Infrastructure Pvt. Ltd. v. Venkatesan Sankaranarayan & Ors (2020)

The Supreme Court dismissed the appeal filed against the liquidation order that was upheld by the NCLAT. On the grounds of failure to implement the approved resolution plan, the NCLT had passed an order of liquidation. However, on appeal, the NCLAT provided a specific amount of time to the resolution applicant to make certain deposits instead of immediately resorting to liquidation. Subsequently, on the ground of failure to make the ordered deposits, the NCLAT upheld the liquidation order that was passed by the NCLT. While the Supreme Court had initially, in 2020 stayed the liquidation order and provided additional time for the implementation of the resolution plan, the resolution applicant failed to do so.

Ultimately, the Supreme Court, in 2021 held that the liquidation process must continue as permitting the process to lapse into delay will defeat the purpose of IBC.

Yavar Dhala v. JM Financial Asset Reconstruction Company Ltd. & Ors (2021)

In the above mentioned case, the National Company Appellate Tribunal ordered for the liquidation of the corporate debtor on the grounds specified under Section 33(3) of IBC. The resolution applicant in question had succeeded the corporate debtor in this case and was expected to fulfil certain obligations under the resolution plan, which they failed to fulfill. The Hon’ble NCLAT held that the corporate debtor should be liquidated and passed an order of liquidation. 

Sunil Kumar Jain and others v. Sundaresh Bhatt & Ors (2022)

The primary issue in this case was in relation to the categorization of the wages or salaries due to be paid to the workmen employed by the corporate debtor during the CIRP. The question arose as to whether the salaries of workmen who did not work during the CIRP period would fall under the category of “CIRP costs” or whether it should be distributed according to the order of priority provided under Section 53 of IBC.

The Apex Court held that, if the company was a going concern during the CIRP, the wages of those workers who worked during the process will be included under the category of CIRP cost. However, the pending wages or salaries of those workmen who did not work during the CIRP will be calculated and distributed on the basis of the order of priority as laid down under Section 53 of IBC.

Conclusion 

In conclusion, the process of liquidation of a company is initiated either on a voluntary or compulsory basis. This happens when it is determined that the company’s business should not continue or that the company is insolvent. The liquidator is entrusted with the duty of collecting and verifying claims and liquidating the assets of the company before distributing the proceeds from the assets towards repaying the outstanding debts that were claimed by the creditors, members, and other relevant stakeholders. Once the process of liquidation of assets of the company is completed by the liquidator and the proceeds are distributed on the basis of the order of priority mentioned above, the company has to be officially dissolved.

Frequently Asked Questions (FAQs)

What happens to the employees and shareholders of a liquidated company?

An order of liquidation is deemed to be a notice of discharge of employees and officers of the company from service, unless the business of the company is continued during the liquidation process for the purpose of beneficial liquidation.

Who can initiate a voluntary and involuntary liquidation process?

In case of voluntary liquidation process:

  • The corporate person 
  • Members or shareholders of the company
  • Creditors of the company

In case of compulsory liquidation process:

  • Creditors of the company
  • The concerned regulatory authority

What is the prescribed time limit within which the liquidator must make a public announcement to call for claims?

According to regulation 12 of the Liquidation Regulations, the liquidator has to make a public announcement within 5 days of their appointment as a liquidator for the liquidation proceedings of the corporate debtor. Subsequently, the last day for submission of claims is usually provided as 30 days from the date of commencement of the liquidation proceedings.

Under which form does each type of creditor file their claims during the liquidation process?

The forms for submitting claims or proof of claims during the liquidation process are found under Schedule II of IBC.

  • Operational Creditors (other than workman or employee): Form C (Electronic mean, in person or by post)
  • Financial Creditor: Form D (electronic means only)
  • Workman or Employee: Form E (Electronic mean, in person or by post)
  • Authorised Representative of workman or employee: Form F (Electronic mean, in person or by post)
  • Any creditor or claimant who does not fall under the above-mentioned categories: Form G (Electronic mean, in person or by post)

How can creditors prove their claims?

Creditors can prove their claims using two sets of information:

  • Information or data available with Information Utility
  • Any other relevant document, including:
    • Contact with the corporate debtor for sale or purchase of goods and services
    • Invoice for payment for any goods and service that has been supplied.
    • Any financial statement that shows the debt
    • Any documentary evidence that demands for satisfaction of the claims
    • Bank statements that prove non-satisfaction of the claim.
    • Any order of a competent court or tribunal in relation to the non-satisfaction of the claim.

Reference 

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Abortion ban in the United States

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This article is written by Pruthvi Ramakanta Hegde. This article covers the abortion ban in the US, with special reference to the overturned decision of Roe v. Wade case. Further, it covers abortion-related laws, the legality of abortion in different states of the US, different judicial pronouncements with regard to abortion in the US, the president’s opinions towards the ban on abortion, and also covers the effects of such a ban in the US.

This article has been published by Shashwat Kaushik.

Table of Contents

Introduction

Every woman has the right to make decisions about their own bodies. This includes the choice to have an abortion, which is a medical procedure that ends a pregnancy. However, in some parts of the United States, there are some judicial decisions that prohibit women from having abortions. The rules made by some states say women cannot have an abortion after a certain time or under certain conditions. These rules can make it difficult for women to get the healthcare they need. The bans on abortion have made it really hard for women and girls to get the healthcare they need. This denies them their basic rights to healthcare, including sexual and reproductive health. These bans could lead to violations of women’s rights to privacy, freedom to control their own bodies, and freedom from discrimination and violence based on their gender. It is a serious issue that affects many aspects of women’s lives. However, abortion is not completely banned in the US, as in some parts, it is deemed legal. In some places, it is deemed illegal. 

Meaning of abortion

Abortion occurs when a pregnancy ends before the baby can survive outside the mother’s womb. It is a kind of medical process done by competent medical practitioners. It can happen in two ways:

  • Miscarriages happen naturally, without any human intervention or agency. They can happen for different reasons like sickness, injury, problems in genes, or when the mother’s body and the baby’s body do not work well together.
  • Sometimes, even if the foetus dies in the womb, it may not be discharged, which is called a missed abortion.
  • Induced abortions mean a process that happens with human intervention or agency. These are done for different reasons. They could be to save the mother’s life or protect her physical or mental health. In some cases, they are done if the pregnancy resulted from rape or incest. Abortion might also be chosen if the baby would have serious health problems or if there are social or economic concerns like the young age of the mother or financial strain on the family. These involve physically removing the foetus from the uterus. Common surgical methods include:
    • Vacuum aspiration (also known as suction abortion)
    • Dilation and Curettage (D&C)
    • Dilation and Evacuation (D&E)
    • Hysterotomy
    • Hysterectomy

There are different medical methods for abortion. In the first trimester, i.e., up to around 12 weeks, methods like suction or scraping may be used to remove the contents of the uterus. In later stages, i.e., up to around 16 weeks, techniques like dilation and curettage might be used. Between 12 and 19 weeks, a saline solution or prostaglandins can be used to trigger contractions. These methods can have severe side effects. In the second trimester or later, surgical removal of the uterus contents, called hysterotomy, may be done. Generally, the later the abortion, the higher the risk of complications for the mother.

Abortion ban in the US 

When laws restrict abortions, it affects certain groups of women and girls more. These groups include those who are already facing challenges, like people from minority communities, immigrants, those with disabilities, or those who are not financially well. Even if there are some rules allowing abortions in certain cases, these rules are often too strict. Due to these bans, millions of women and girls in the United States are having a harder time getting the healthcare they need for sexual and reproductive issues. This happened after the Supreme Court overturned the judgement of Roe v. Wade in 2022 in the case of Dobbs v. Jackson Women’s Health Organization in 597 U.S. (2022).

Position before Roe v. Wade case

Before Roe v. Wade, women could have abortions in the U.S., but only until about four months into pregnancy when they could feel the baby moving. Back in the 1800s, there were some rules about selling drugs that could cause abortions, but they were not very strict. Doctors wanted to stop abortions partly because they did not want competition from midwives and homoeopaths who helped women with childbirth. Some people were against abortions because they worried there would not be enough white, American-born, Protestant babies. The Catholic Church said abortions were morally wrong in 1869, and in 1873, Congress made it illegal to report birth control or abortion drugs through the mail. By the late 1800s, most of the country had made abortion illegal. In the 1960s, people started talking more about women’s rights and birth control. In Griswold v. Connecticut (1965), the Supreme Court said that married couples could use birth control, and in the case of Eisenstadt v. Baird (1972), this right was extended to unmarried individuals. In 1970, Hawaii granted permission for residents to have abortions. In the same year in 1970, New York enacted a new legislation, Bill of A361B, which legalised abortion without requiring residency.

Judgement of Roe v. Wade (1973) 

The Roe v. Wade case was the initial judgement made in 1973 that legalised abortion in the United States. It was about a woman named Norma McCorvey who wanted an abortion. However, in Texas at the time, the law prohibited most abortions unless the mother’s life was at risk. So she could not get it because of this law. The Texas statutes in question, specifically Articles 1191-1194 and 1196 of the State’s Penal Code, criminalise the act of “procuring an abortion.” This means that under these laws, it is considered a crime to intentionally cause or assist in the termination of a pregnancy. However, it can be made in cases where the mother’s life is at risk. Further, she went to the U.S. Supreme Court by using the name “Jane Roe” to protect her identity. She filed a federal lawsuit against Henry Wade, who was the district attorney of Dallas County, Texas. Roe claimed that she was not married and was pregnant. She wanted to have an abortion done by a qualified doctor in a safe place. But, in Texas, she could not do it legally because her life was not in danger. She also could not afford to travel to another place where it was legal and safe to have an abortion. Roe believed that the Texas laws were unclear and violated her right to privacy. She also contended that her rights under the First, Fourth, Fifth, Ninth, and Fourteenth Amendments of the U.S. Constitution were being violated. Similarly, on these grounds, she had challenged the constitutionality of Texas statutes as they criminalised abortions. She wanted to fight not only for herself but for all other women in similar situations. So, she asked the court to consider her case on behalf of all these women. Even after she had her baby, the case kept going because it was important to decide if similar situations should be allowed in the future.

The U.S. Supreme Court said that, in the first three months of pregnancy, a woman can decide about abortion without interference from the state. In the next three months, the state can only step in if the woman’s health is at risk. In the final three months, when the baby can live outside the womb, the state can limit abortion but must allow exceptions if the mother’s health is at risk. The Court, in a 7–2 decision, decided that the state’s strict abortion laws went against a person’s right to privacy, which is inferred from the protections of liberty provided by the Fourteenth Amendment. They said that until a baby can survive outside the womb, usually between 24 and 28 weeks, a woman can choose to have an abortion. This choice is based on her privacy rights according to the Constitution of the US

In addition, a married couple named John and Mary Doe joined the lawsuit. They argued that those laws violated their right to make decisions about having children together. However, the U.S. Supreme Court decided they did not have the right to bring their claim. After looking at the arguments, the court said that everyone, whether single or married, has the right to decide about having children. This right is protected by the Ninth Amendment, which is part of the Fourteenth Amendment. So, the Texas laws against abortion were seen as unconstitutional because they were too unclear and broad and also violated people’s Ninth Amendment rights. Some judges disagreed, saying the court was going too far and taking power from the states. They thought issues like abortion should be decided by lawmakers, not judges. Others supported the decision, seeing it as progress for women’s rights.

Overturning of the Roe v. Wade judgement 

The U.S. Supreme Court of the United States has overturned the decision of the Roe v. Wade case while deciding the case of Dobbs v. Jackson Women’s Health Organization (2022).

Background of the case 

In March 2018, the Mississippi State Legislature passed a law called the Gestational Age Act (HB 1510), which banned almost all abortions after 15 weeks of pregnancy. The only abortion clinic in Mississippi, i.e., the Jackson Women’s Health Organization, immediately challenged this law in court. The lower court supported the clinic’s argument, stating that states are not allowed to forbid abortions before the baby can live on its own outside the mother’s womb, which typically happens around 24 weeks into the pregnancy. The court also permanently stayed the enforcement of the law. The decision was later upheld by a three-judge panel of the U.S. Court of Appeals for the Fifth Circuit. 

Mississippi appealed this decision to the U.S. Supreme Court, which agreed to hear the case in May 2021. The specific issue under consideration was whether it is always against the Constitution to prohibit abortions before the foetus can live on its own. Mississippi argued that previous Supreme Court decisions allowing pre-viability abortions were wrong and that the state should be allowed to regulate abortions before viability as long as it does not create too much difficulty for women seeking abortions. They also claimed that since the only abortion provider in Mississippi does not perform abortions after 16 weeks, the law would not significantly impact women’s ability to get abortions in the state.

Issue 

The issue in this case is the constitutionality of Mississippi’s law prohibiting nearly all abortions beyond 15 weeks (gestational age).

Majority opinions

Justice Samuel Alito and the majority court opined that the Constitution does not directly state abortion, and there is no clear protection for it in any constitutional rule. They think that past decisions like Roe v. Wade and Planned Parenthood of Southeastern Pennsylvania v. Casey (1992) did not have strong reasoning based on constitutional law, so they decided to overturn them. Justice Alito also says that abortion is not something deeply rooted in American history because it used to be mostly illegal in the country. He points out that abortion is different from other rights that are protected by the Fourteenth Amendment as it involves ending foetal life. Further, Justice Alito opined that abortion is a significant moral issue. The Constitution allowed states to prohibit abortion; however, Roe and Casey wrongly took that power. Justice Alito further held that these decisions needed to be overturned, and he gave that power back to the people and their elected representatives. 

Judgement

The U.S. Supreme Court held that the Constitution of the United States does not give people the right to have an abortion. This ruling went against both Roe v. Wade (1973) and Planned Parenthood v. Casey (1992) decisions. The judges decided, with a vote of 7-2, that governments cannot create laws to forbid abortions. They stated that a woman’s right to end her pregnancy is safeguarded by the U.S. Constitution.

Supreme Court judge’s opinions with regard to abortion 

The following are the opinions of the U.S. Supreme Court judges, which include:

Chief Justice of the United States John Roberts has been involved in several important abortion cases. He supported restrictions on abortion in 2007 and disagreed with a decision in 2016 that overturned Texas laws on abortion, which only allowed it if the mother’s life was at risk. However, in 2020, when a similar law from Louisiana came up, he voted against it and wrote an opinion to strike it down. He felt that the 2016 decision was wrong but still had to consider whether to follow it in the 2020 case.

Justice Clarence Thomas believes that Roe v. Wade, the landmark Supreme Court decision that legalised abortion nationwide, should be overturned. He voted against Roe in 1992 when he dissented in the Planned Parenthood v. Casey case. Justice Thomas views abortion as a significant issue because they opine that abortion involves a woman’s control over her body and the potential for human life. Thomas says the Constitution does not demand that states allow abortion. He thinks each state should decide if the advantages of abortion are more important than the problems of unwanted pregnancies.

Justice Stephen Breyer supports abortion rights and has also led the Supreme Court to defend them in 2000 and 2016. He recognises that abortion is a controversial issue. Some people consider it as causing harm to innocent lives, while others fear that banning abortion would harm women’s dignity. However, Breyer believes that the Constitution protects fundamental individual freedom. Further, Justice Stephen Breyer also believes that, despite people disagreeing, the Court has consistently said women have the right to choose abortion.

Justice Elena Kagan has been a consistent advocate for abortion rights during her over 11 years as a Supreme Court justice. She strongly believes in following legal precedents and has criticised Texas’s new abortion law, calling it clearly unconstitutional and in direct conflict with previous Supreme Court decisions like Roe v. Wade and Casey. Before becoming a justice, Kagan dealt with abortion issues while working in the Clinton White House. She co-authored a memo advising support for a late-term abortion ban with a health exception for political reasons.

Justice Neil Gorsuch, on the other hand, has a relatively short record on abortion cases. He sided with allowing Texas’s restrictive abortion law to take effect but has stated that his concerns were primarily about procedural issues rather than the subject matter itself. Gorsuch also dissented in the case of June Medical Services L.L.C. v. Russo (2020), involving abortion clinic restrictions in Louisiana.

Brett Kavanaugh, appointed by Trump, initially sided with the administration in the Garza v. Hargan (2017) case involving abortion. However, he later dissented in the Louisiana case and voted to allow the Texas law to take effect. 

Laws governing abortion in the US

There are various laws that regulate abortion in the US. Certain rules are different for different states, depending on the rules of the state legislature. On the other hand, the judiciary has framed some standards in various cases which also govern abortion in the U.S. Some of the major abortion laws are:

Viability standards 

After Roe v. Wade, the Court established the “viability” standards, which allow states to regulate or even ban abortions after the foetus is viable. It is typically around 24 weeks of pregnancy. However, states cannot prohibit abortions that are necessary to protect a woman’s life or health. After Roe v. Wade, the Supreme Court said that states can make rules about abortion after around 24 weeks of pregnancy, when a foetus can survive outside the womb. But they cannot ban abortions if it is needed to protect the woman’s life or health. So, while states can put limits on abortion later in pregnancy, they cannot completely prohibit it if it is necessary for a woman’s safety.

Meaning of viability

Foetal viability means the ability of a human foetus to survive outside the mother’s womb as it continues to develop. In places that follow this idea, abortion is usually allowed or easier to get before this point. After viability, abortion rules are stricter, and it is harder to get one except in specific cases. Originally, after Roe v. Wade in 1973, this was typically considered to be around 28 weeks. However, with advancements in medical technology, experts now believe viability occurs earlier, around 23 to 24 weeks. Some people question if this gradual approach to abortion is right, but many places still use viability as a legal rule.

Some medical institutions, like Riley Hospital for Children at Indiana University Health Hospital, claimed that they can support life as early as 22 weeks with the right tools. Dr. Peter H. Schwartz from the Indiana University Center for Bioethics explains that viability is more about medical care than ethics. It is not easy to predict when a prematurely born baby will be viable, as it depends on various other factors. The Supreme Court’s recent leaked draft opinion in the Dobbs v. Jackson Women’s Health Organization case focuses heavily on the concept of foetal viability.

Targeted Regulation of Abortion Providers (TRAP)

Targeted Regulation of Abortion Providers (TRAP) is a set of rules that specifically target doctors who offer abortions. These laws impose stricter and more complicated requirements on abortion clinics compared to other medical practices. TRAP laws may require abortion procedures to be performed in expensive facilities, even when less expensive options are deemed sufficiently safe. They could also require doctors who perform abortions to have admitting privileges at nearby hospitals, even though it is not medically necessary.

Impact of the regulation

These regulations raise the cost of abortion services and make them harder to find. They limit women’s access to safe and legal abortion care by interfering with their reproductive choices. TRAP laws are often pushed under the guise of protecting women’s health but actually aim to restrict abortion access.

These extra and unnecessary government rules, which many states are adopting more and more, make it harder to get abortions and make them more expensive. This will adversely impact women’s health and make it harder for them to make decisions about their bodies. These laws threaten women’s access to safe, legal, and good-quality reproductive health care. Politicians use these tactics to make it tricky for clinics to offer abortions, even though they say it is for women’s health. Their real aim is to make it tough for women to get abortions. For instance, when Governor Phil Bryant signed a law in Mississippi in 2012 requiring doctors to have special privileges at hospitals, he said it was a step towards ending abortion in the state.

Texas abortion laws

In the United States, Texas has the strictest abortion laws. They include restrictions such as a ban on abortions after 20 weeks of pregnancy, except in cases of serious health risks to the mother or severe foetal abnormalities. The major laws are elaborately explained below:

Texas Health and Safety Code

The Texas Health and Safety Code, specifically Title 2, Subtitle H, Chapter 170A, pertains to the rules for the performance of abortions. These sections were added by Acts 2021 and went into effect on August 25, 2022. The important provisions consists of:

  • Section 170A.001 contains the major definitions, which are as follows:
    • “Abortion” means the termination of a pregnancy.
    • “Fertilisation” is the process where a male sperm penetrates a female ovum’s protective layer.
    • “Pregnant” describes the state of a female carrying a developing, living unborn embryo or foetus stage of an unborn child’s development from fertilisation to birth.
    • “Reasonable medical judgement” refers to the medical judgement made by a knowledgeable physician regarding a case and its treatment options for the medical conditions involved.
    • “Unborn child” signifies a living member of the human species from fertilisation until birth.
  • Section 170A.002 prohibits abortion but provides some exceptions too. The section states that:
    • It is illegal to knowingly perform, induce, or attempt an abortion. 
    • Exceptions include that, if a pregnant person’s life is in danger because of the pregnancy, a doctor is allowed to perform an abortion. However, the method used to perform the abortion must prioritise the survival of the unborn child if possible without putting the pregnant person’s life or major bodily functions at greater risk. 
    • Further states that a physician cannot perform an abortion if they were aware, at the time of the procedure, that the risks to the pregnant woman’s life or major bodily functions originated from conduct likely to result in death or serious impairment of the major bodily function of the pregnant female.
    • Accidental or unintentional injury or death of the unborn child during medical treatment by a licensed physician provided to a pregnant female does not constitute a violation of this law.
  • Section 170A.003 states that this chapter does not permit the imposition of criminal, civil, or administrative liability or penalties on pregnant women undergoing, attempted, or induced abortions.
  • As per Section 170A.004, violating Section 170A.002 is a criminal offence. The severity of the offence depends on whether the abortion resulted in the death of the unborn child. Generally, an offence under this section is a felony of the second degree. However, if it results in the death of a child, it is considered a felony or first degree offence. 
  • As per Section 170A.005, a person violating Section 170A.002 may face a civil penalty starting at $100,000 per violation. The Attorney General is authorised to pursue such penalties, along with recovering incurred attorney’s fees and costs, by filing an action.
  • According to Section 170A.006, the existence of civil or criminal penalties under this chapter does not nullify any other legal remedies available in civil suits.
  • Section 170A.007 states that, besides other punishments and penalties prescribed in this chapter, any healthcare professional who performs, induces, or attempts illegal abortions may lose their licence, registration, or any other relevant authorization by the proper licensing organisation.

Chapter 171 of the Health and Safety Code

Chapter 171 of the Health and Safety Code contains different rules for abortion. This chapter is also called the “Woman’s Right to Know Act”. This code aims to regulate the practice of abortion. 

General provisions

The important general provisions of this Act are as follows:

  • As per Section 171.003, only licensed physicians can perform abortions in the state.
  • As per Section 171.0031, physicians performing abortions must have admitting privileges at a nearby hospital and shall provide patients, i.e., pregnant persons, with contact information for assistance or complications. If a doctor breaks the rules in Subsection (a), it is a crime. This type of crime is called a Class A misdemeanour. The punishment is a fine, but it cannot be more than $4,000.
  • Under Section 171.004, abortions of foetuses aged 16 weeks or more can only be performed at specific medical facilities, such as an ambulatory surgical centre or hospital licensed to perform the abortion.
  • Under Section 171.005, the commission is responsible for making sure this chapter is followed, except for Subchapter H.  But certain sections are enforced through private civil actions, as described in Section 171.208, and cannot be enforced by the commission.
  • Section 171.006, requires reporting of any complications resulting from abortions, with specific details on the issues and patients, to the state commission. Section 171.006, as added by H.B. 215, states that physicians performing abortions on minors must document how consent was obtained and report it to the state commission.
  • According to Section 171.008, physicians must document and maintain records specifying the reasons for performing abortions, particularly in cases of medical emergencies or for preserving the health of the pregnant woman.

Informed consent

Subchapter B of the Code outlines the requirements for informed consent in the context of abortion procedures. It covers:

  • As per Section 171.011, it mandates the informed consent of the pregnant woman, and abortion cannot be performed without the voluntary and informed consent of the woman.
  • Section 171.012 contains details of voluntary and informed consent that consist
    • Providing information about the physician’s name, medical risks associated with the abortion procedure, gestational age of the unborn child, medical risks associated with carrying the child throughout the period of pregnancy, and available medical assistance and support options.
    • Offering printed materials provided by the commission that describe the unborn child, list agencies offering alternatives to abortion, and provide information about sonogram services.
    • Performing a sonogram at least 24 hours before the abortion or at least two hours before if the woman waives the 24-hour requirement, explaining the results to the woman, and making the foetal heartbeat audible if present.
    • The woman certifies her understanding and makes certain decisions before the abortion procedure.
  • Section 171.0121 requires the signed, written certification received by the physician to be placed in the woman’s medical records before the abortion begins.
  • Section 171.0122 allows the pregnant woman to choose not to view the printed materials or sonogram images and not to hear the heartbeat or receive verbal explanations under certain circumstances, which are provided in Section 171.012(a)(4)(C). Those circumstances are as follows:
    • The pregnancy has resulted from sexual assault, incest, or another offence under the Penal Code that has been reported to law enforcement or not reported due to safety concerns.
    • The pregnant woman is a minor seeking an abortion following judicial bypass procedures under Chapter 33 of the Family Code.
    • The foetus has an irreversible medical condition or abnormality, which was previously confirmed by reliable diagnostic procedures and documented in the woman’s medical records.
  • Section 171.0123 mandates that, if the woman chooses not to have an abortion after receiving information, she must be provided with publications about paternity establishment and child support.
  • Section 171.0124 provides an exception for medical emergencies, allowing abortions without informed consent in such situations.
  • Section 171.013 requires physicians or their agents to provide copies of informational materials to the woman at least 24 hours before the abortion or by mail if requested.
  • Section 171.014 states details of the content and format of the informational materials, such as those that must be provided to the woman, including information about medical risks, alternatives to abortion, and characteristics of the unborn child.
  • Section 171.015 requires the informational materials to include a list of public and private agencies offering assistance with pregnancy, childbirth, and child dependency.
  • Section 171.016 mandates the inclusion of materials in the informational packet describing the anatomical and physiological characteristics of the unborn child at different gestational ages.
  • Section 171.017 specifies that the 24-hour waiting periods for informed consent can run concurrently with notice the periods required by Chapter 33 of the Family Code for unemancipated minors.
  • Section 171.018 defines performing an abortion without informed consent as an offence, punishable by a fine not exceeding $10,000.

Abortion and sonograms

Chapter 171 also provides the provisions for the sonogram and its requirements. A sonogram, also known as ultrasonography or ultrasound imaging, is a medical imaging technique that uses high-frequency sound waves to create images of structures inside the body. In the context of pregnancy, a sonogram is commonly used to visualise the foetus inside the uterus. It allows healthcare providers to monitor the growth and development of the foetus. It assesses the health of the pregnancy and detects any complications. The provisions of the sonogram are as below:

  • Section 171.012(a)(1) provides certain conditions to be satisfied in order to consider an abortion voluntary and informed. There are two conditions, namely, that the doctor who will perform the abortion must inform the pregnant woman about their name and the specific medical risks related to the particular abortion procedure to be used, including the following:
    • Risks of infection and haemorrhage.
    • Potential harm to future pregnancies and the risk of infertility.
    • Possibility of increased risk of breast cancer after an induced abortion and the protective effect of completing a pregnancy in preventing breast cancer.
    • The likely gestational age of the unborn child at the time of the abortion.
    • The medical risks associated with continuing the pregnancy to full term. 
  • As per Sections 171.012(a)(2), the doctor who will perform the abortion or the doctor’s representative shall inform the pregnant woman that:
    • Medical assistance benefits may be accessible for prenatal care, childbirth, and neonatal care.
    • The father is responsible for supporting the child, regardless of whether he has offered to pay for the abortion.
    • There are public and private agencies offering counselling on pregnancy prevention and referrals for obtaining pregnancy prevention medications or devices, including emergency contraception for victims of rape or incest. 
  • As per Section 171.013, the doctor or someone working for a pregnant woman must give the pregnant woman certain printed materials as described by Section 171.014. These materials are provided by the commission and can also be found on a website sponsored by the commission. They contain information about the unborn child and list agencies that provide alternatives to abortion. Further, they include a list of agencies offering free sonogram services for pregnant women. The doctor or their representative should inform the pregnant woman about these materials and ensure she has access to them.
  • As per Section 171.012(a)(4), before any sedation or anaesthesia is given to the pregnant woman, and at least 24 hours before the abortion, or at least two hours before the abortion if the pregnant woman confirms that she lives 100 miles or more away from the nearest abortion provider:
    • A doctor or a certified sonographer must perform a sonogram on the pregnant woman.
    • The doctor must show the sonogram images to the woman in a way that she can see them clearly.
    • The doctor must explain the sonogram results in simple terms, including describing the size of the embryo or foetus, if there is a heartbeat, and the development of body parts.
    • If there is a heartbeat, the doctor or a certified sonographer must let the woman hear it and explain what it means.
  • Section 171.012(a)(6) provides conditions under which, before carrying out the abortion, the doctor who will perform it receives a copy of the signed, written certification as required by Subdivision (5).
  • Section 171.012(a)(7) states that pregnant women will be given the name of each person who gives or explains the necessary information mentioned in this section.
  • As per Section 171.012(a-1), when someone comes to the facility for abortion-related services, neither the facility nor anyone there can accept any payment or make any financial deals except for the services required by sub-section (a). The cost of these required services cannot be more than what the government has set as the reimbursement rate for such services.
  • As per Section 171.012(b), information about abortion, including a sonogram, must be given to the pregnant woman either in person or through a private phone call, but not by audio or video recording. 
  • As per Section 171.012(c), the doctor or their agent must give the pregnant woman the website address where she can see the printed materials required by law.
  • As per Section 171.012(d), the information provided to the woman must include details about the likelihood of getting child support if she decides to have the baby.
  • As per Section 171.012(f), the doctor must provide the woman with informational materials as required by law.

Medical records related to abortion procedures

Section 171.0121 of the Texas Health and Safety Code pertains to the requirements regarding the retention of medical records related to abortion procedures. It contains the following:

  • Before the abortion procedure begins, the physician must place a copy of the signed, written certification received under Section 171.012(a)(6) in the pregnant woman’s medical records.
  • The facility where the abortion is performed must retain a copy of the signed, written certification required under Sections 171.012(a)(5) and (6) until
    • The seventh anniversary of the date it is signed, or
    • If the pregnant woman is a minor, the latter of
      • The seventh anniversary of the date it is signed, or
      • The woman’s 21st birthday

Rights of pregnant women regarding their choice to view certain materials and images

Section 171.0122 outlines the rights of pregnant women regarding their choice to view certain materials and images, as well as to hear specific information related to abortion procedures: 

  • A pregnant woman has the option to choose not to view the printed materials provided under Section 171.012(a)(3) after she has been provided with them.
  • A pregnant woman has the option to choose not to view the sonogram images required to be provided to and reviewed with her under Section 171.012(a)(4).
  • A pregnant woman has the option to choose not to hear the heart auscultation required to be provided to and reviewed with her under Section 171.012(a)(4).
  • A pregnant woman has the option to choose not to receive the verbal explanation of the results of the sonogram images under Section 171.012(a)(4)(C) in the following cases:
    • If her pregnancy is a result of a sexual assault, incest, or other violation of the Penal Code that has been reported to law enforcement authorities,
    • If not reported, there is a risk of retaliation resulting in serious bodily injury. 
  • She is a minor and is obtaining an abortion in accordance with judicial bypass procedures under Chapter 33 of the Family Code; or 
  • The foetus has an irreversible medical condition or abnormality, previously identified by reliable diagnostic procedures and documented in her medical file.
  • Both the physician and the pregnant woman are not subject to penalties under this chapter solely because the pregnant woman chooses not to view the printed materials or sonogram images, hear the heart auscultation, or receive the verbal explanation if waived as provided by this section.

Paternity establishment and child support for pregnant women

Section 171.0123 deals with providing information to pregnant women who choose not to have an abortion after receiving a sonogram and other necessary information. The doctor or someone working with the doctor must give the pregnant woman a publication created by the Title IV-D agency. This publication explains how unmarried parents can establish legal paternity, the benefits of doing so for their children, and the steps to get a child support order. It also highlights the advantages of having a legal parenting order and covers the financial and legal responsibilities of parenting.

Exception for medical emergency

According to Section 171.0124, if there is a medical emergency, a doctor can perform an abortion without getting consent from the woman beforehand. However, the doctor still has to do two things, which include writing a note in the woman’s medical records explaining the emergency and informing the department within 30 days about the specific medical condition that caused the emergency. This exception is to make sure that, in urgent situations where the woman’s health is in danger, the doctor can act quickly without needing the usual consent process. This section was first added in 2011 and then changed a bit in 2015.

Distribution of state materials

As per Section 171.013, the doctor or someone working for the doctor must give the pregnant woman copies of certain materials described in Section 171.014 at least 24 hours before the abortion is scheduled to take place. They must also tell the woman where to find these materials on the internet, as required by Section 171.014(e).

If the woman prefers to view the materials online instead of getting physical copies, she is allowed to do so. However, she must provide a written statement to the doctor saying so. The doctor and their staff can distance themselves from the materials and decide whether or not to comment on them.

Informational materials

As per Section 171.014, the Department of Health and Human Services must create informational materials that contain:

  • Information required by Sections 171.012(a)(1)(B) and (D) and (a)(2)(A), (B), and (C).
  • Materials are required by Sections 171.015 and 171.016. These materials must be:
    • Published in both English and Spanish.
    • Presented in an easily understandable manner.
    • Printed with a font size that is large enough to be easily read.
    • The materials must be available for free upon request from the department, which will provide them in appropriate quantities to anyone who asks.

The department must review these materials annually to see if any changes are needed, and the executive commissioner will establish rules for making these changes. An internet website must be developed and maintained by the department to display the required information. The department must make efforts to protect the website against unauthorised changes and monitor it daily to prevent tampering. The website should not collect or keep any information about who accesses it. The American College of Obstetricians and Gynecologists must be used as a resource in creating the information required under various sections and in maintaining the department’s website.

Information relating to characteristics of unborn child

According to Section 171.016, the informational materials must contain content to educate the woman about the probable anatomical and physiological characteristics of the unborn child at two-week gestational increments from the time of pregnancy detection to full term. This includes information about the potential survival of the unborn child. Colour pictures representing the development of the child at these gestational increments must be included. These pictures should accurately depict the dimensions of the unborn child and must be realistic. The materials provided must be objective, non-judgmental, and designed to convey only accurate scientific information about the unborn child’s development at different gestational ages.

Offence

As per Section 171.018, a physician who intentionally performs an abortion on a woman in violation of this subchapter commits an offence. This offence is classified as a misdemeanour, punishable by a fine not exceeding $10,000. In this section, “intentionally” has the meaning assigned by Section 6.03(a) of the Penal Code.

Abortion is prohibited at or after 20 weeks post-fertilization

As per Section 171.041, this subchapter is cited as the “Preborn Pain Act”. The chapter consists of the following provisions that relate to abortion at the post-fertilisation age:

  • As per Section 171.043, a physician must not perform or attempt to perform an abortion without first determining the probable post-fertilization age of the unborn child.
  • As per Section 171.044, abortion of an unborn child of 20 or more weeks post-fertilization age is prohibited. No person may perform or attempt to perform an abortion on a woman if it has been determined that the probable post-fertilization age of the unborn child is 20 weeks or more.

Method of abortion

  • Section 171.045 applies to abortions where the unborn child is 20 or more weeks post-fertilization age or when the age has not been determined but could reasonably be 20 or more weeks.
  • A physician performing such an abortion must use a method that, in their reasonable medical judgement, provides the best opportunity for the unborn child to survive.

Exceptions

  • As per Section 171.046, the prohibitions mentioned in Sections 171.043, 171.044, and the requirements under 171.045(b) do not apply in certain circumstances. Those circumstances are:
    • When the woman’s medical condition presents a risk of death or serious physical impairment,
    • When the unborn child has a severe foetal abnormality,
    • A physician may not perform an abortion if the risk arises from a diagnosis that the woman will engage in conduct resulting in her death or serious physical impairment.

Subchapter D: Abortion-inducing drugs

Subchapter D of the Code consists of abortion-inducing drugs. Some of the important provisions are: 

  • Section 171.061 provides several definitions, including:
    • “Abortion”: Ending a pregnancy. It doesn’t include ending a pregnancy to treat a maternal disease.
    • “Abortion-inducing drug”: Any drug or substance given to end a pregnancy and likely cause the unborn child’s death. This includes drugs like Mifeprex, misoprostol, and methotrexate, but not drugs given for other medical reasons.
    • “Adverse event” or “abortion complication”: Any harmful outcome related to an abortion procedure.
    • “Gestational age”: How long it’s been since a woman’s last period.
    • “Medical abortion”: Using drugs to end a pregnancy.
    • “Physician”: A licensed medical doctor.
    • “Pregnant”: When a woman has an unborn child in her uterus.
    • “Unborn child”: A human offspring from conception until birth.

These definitions are part of the legal framework surrounding abortion-inducing drugs.

  • As per Section 171.062, the Texas Medical Board is responsible for making sure the rules in this section are followed, despite any other laws.
  • Section 171.063 prescribes several rules for abortion-inducing drugs, which cover:
    • No one can provide an abortion-inducing drug to a pregnant woman unless:
      • The person providing the drug is a doctor.
      • The way the drug is provided follows the rules in this section.
    • No one can send abortion-inducing drugs to a patient through a delivery service.
    • Before a doctor gives an abortion-inducing drug, they must:
      • Examine the pregnant woman in person.
      • Confirm that she is pregnant.
      • Record the age and location of the pregnancy.
      • Check the woman’s blood type and offer treatment if needed.
      • Make sure the woman did not receive treatment for Rh negativity before.
      • Do not give the drug to pregnant women if the pregnancy is over 49 days.
    • The doctor giving the drug must give the woman:
      • A copy of the drug’s label.
      • A phone number she can call anytime for help or questions.
    • The doctor must schedule a follow-up visit within 14 days to:
      • Confirm the pregnancy is ended.
      • Check for any ongoing bleeding.
    • The doctor must try to make sure the woman comes back for the follow-up visit and record any efforts made.
    • If a woman has a serious problem after taking the drug, the doctor must report it to the Food and Drug Administration (FDA) within three days.

Chapter 245 of the Health and Safety Code

Chapter 245 of the Health and Safety Code outlines the provisions for the abortion facilities. The important provisions of this chapter are provided below.

Short title

Section 245.001 says that this part of the law can be called the “Texas Abortion Facility Reporting and Licensing Act.”

Definitions

  • Section 245.002 defines certain words in the law that cover:
    • Abortion: Stopping the development of a baby in a pregnant woman using tools, drugs, or other methods. But it doesn’t include regular birth control or taking pills to prevent pregnancy.
    • Abortion Facility: A place where abortions are done.
    • Department: The government group in charge of health services.
    • Ectopic Pregnancy: When a fertilised egg starts growing outside the uterus.
    • Executive Commissioner: The top person in charge of health and human services.
    • Patient: A woman who gets an abortion.
    • Person: This means an individual, i.e., one person, a business, or a group.

Licence requirement

Section 245.003 states that one cannot open or run an abortion facility without special permission from the government. Such a requirement is called a licence. Each abortion facility needs its own licence. Such a licence cannot be transferred to someone else.

Exemptions from licensing requirements

Section 245.004 lists some places that do not need a special licence to do abortions. Those are:

  • Hospitals that already have permission to operate do not need a separate licence.
  • A doctor’s office does not need a licence if the doctor does not do more than 50 abortions in a year.
  • Some types of abortions do not count towards the 50, as mentioned in the law.
  • Ambulatory surgical centres, which perform surgeries that do not require an overnight stay, do not need a special licence for abortions if they are already licenced under another law (Chapter 243).

For this section to apply, a facility must be mostly used for doing abortions. This means:

  • Doing at least 10 abortions in a month, or at least 100 in a year.
  • Even if a facility is open less often, it still counts if it does a certain number of abortions during the times it is open.
  • If the facility advertises itself as a place that does abortions or applies for an abortion facility licence, it is considered to be mainly for doing abortions.
  • If a facility is open at any time during the day and has a doctor ready to do abortions, it’s considered to be operating for abortions.
  • These rules are meant to decide if a place needs an extra licence just for doing abortions or if they are already covered under other laws.

Licence application and issuance

Section 245.005 explains the process for applying for and receiving a licence to operate an abortion facility:

  • Application submission: Anyone who wants to open or run an abortion facility must fill out an application form provided by the Department of State Health Services, (shortly known as the “Department”).
  • Licence fee: Along with the application, the applicant must pay a non-refundable fee set by the executive commissioner, who is the top official of the Health and Human Services Commission.
  • Requirement of physician: The application must show that the facility has one or more doctors on staff who are licensed by the Texas Medical Board.
  • Licence issuance: The department shall give a licence if, after inspecting and investigating, it finds that the applicant and the facility meet the requirements and standards established in this law.
  • Renewal condition: To keep the licence valid, the facility must pay an annual renewal fee and submit an annual report to the department.
  • Public Information: Information about whether an abortion facility is licensed is available to the public under Chapter 552 of the Government Code. The department has to provide this information if requested.

Minimum standards

Section 245.010 lays out the basic standards that must be met by abortion facilities to ensure the health and safety of patients:

  • Health and safety standards: The rules must include minimum standards that protect the health and safety of patients at abortion facilities. These standards must also require compliance with the requirements of Subchapter B, Chapter 171. Further, starting on September 1, 2014, the minimum standards for abortion facilities must be equal to those adopted for ambulatory surgical centres under Section 243.010.
  • Physician requirement: Only a licensed physician, as defined by the laws governing medical practice in Texas, is allowed to perform abortions.
  • Limitations: The executive commissioner is not given the authority to set the qualifications for licensed practitioners or to allow individuals who are not authorised under Texas law to provide healthcare services.

Physician reporting requirements; criminal penalty

Section 245.011 prescribes procedures for the physicians who perform abortions at abortion facilities. The procedure prescribed is provided below.

  • Monthly report: Physicians who perform abortions at abortion facilities must fill out and submit a monthly report to the Department of State Health Services. This report must be completed on a form provided by the department.
  • Patient anonymity: The report cannot include any identifying information about the patient.
  • Report contents: The report must include various details about the abortion, such as the type of procedure, date performed, patient’s age, race, marital status, and residence, previous live births and abortions, reasons for the abortion, and other required information.
  • Confidentiality: Information and records held by the department under this law are confidential and cannot be released to the public, except for specific purposes listed in the law.
  • Offence and penalty: A person who commits an offence by violating sub-sections (b), (c), or (d) is a Class A misdemeanour.
  • Submission deadline: Physicians must submit the required report to the department by the 15th day of each month for abortions performed in the previous month.
  • Electronic reporting system: The department must establish a secure electronic reporting system for submitting these reports, and it should enforce procedures to ensure compliance.

Notification

Section 245.0115 requires the commissioner of state health services to notify the Texas Medical Board if there is a violation of the reporting requirements contained in Section 245.011. This notification must be made within seven days after the report is due.

Chapter 33 of Family Code 

Chapter 33 of the Family Code states the notice and consent to an abortion. Accordingly, the provisions of this chapter include:

Definitions

Section 33.001 contains definitions and includes:

  • “Abortion” has the meaning assigned by Section 245.002, Health and Safety Code. This definition, as applied in this chapter, may not be construed to limit a minor’s access to contraceptives.
  • “Foetus” means an individual human organism from fertilisation until birth.
  • “Guardian” means a court-appointed guardian of the minor.
  • “Medical emergency” has the meaning assigned by Section 171.002, Health and Safety Code.
  • “Physician” means an individual licensed to practise medicine in this state.
  • “Unemancipated minor” includes a minor who:
    • is unmarried, and
    • has not had the disabilities of minorities removed under Chapter 31.

Parental notice

Section 33.002 of this chapter deals with the various rules of parental notice and states that:

A doctor cannot do an abortion on a young person who is not legally an adult, unless:

  • A physician cannot perform an abortion on a pregnant, unemancipated minor unless the following conditions are met:
    • The physician performing the abortion provides at least 48 hours of actual notice, either in person or by telephone, regarding their intent to perform the abortion to:
      • A parent of the minor, if the minor does not have a managing conservator or guardian; or
      • A court-appointed managing conservator or guardian; or
  • The doctor gets a court order allowing the minor person to consent to the abortion, as explained in Section 33.003 or 33.004; or
  • The doctor, who will perform the abortion, does the following duties:
    • Determines that a medical emergency exists.
    • Documents in writing to the Department of State Health Services and in the patient’s medical record provide the medical reasons supporting the doctor’s decision that a medical emergency exists.
    • Gives the necessary notice as mandated by Section 33.0022 (Medical Emergency Notification; Affidavit for Medical Record).
  • If a person who should be notified under sub-section (a)(1) cannot be reached despite reasonable attempts, a physician has the option to proceed with the abortion after providing 48 hours of constructive notice. This notice is sent by certified mail, restricted delivery, to the last known address of the person who should be notified. The 48-hour period begins when the notice is mailed. If the required person is not notified within this timeframe, the abortion may proceed even if the mailed notice is not received.

Some other rules of the section include:

  • The doctor can make a statement for the young person’s medical record, saying they have given the proper notice. If the doctor does this, it is assumed they followed the rules.
  • The Department of State Health Services will make a form for the doctor to use when explaining a medical emergency.
  • The doctor’s statement about a medical emergency is private and cannot be shared with others or forced to be shared in a legal case. The doctor must keep the young person’s medical records private, following the rules set by the Texas Medical Board.
  • If a doctor intentionally violates these rules by doing an abortion on a young person without proper notice, they can be fined up to $10,000.
  • It is not a crime if a young person lies about their age or identity to get an abortion, as long as the doctor couldn’t reasonably know the truth. However, if the doctor had known the truth with reasonable effort, it would still be a crime.
  • If a doctor’s actions are questioned in court, they can ask the Texas Medical Board to review whether there was a real medical emergency. The board’s decision can be used as evidence in court.
  • Doctors are required to verify the age of individuals seeking abortions to ensure they are old enough. To accomplish this, they should request proof of identity and age or obtain a copy of the court order that removes minority status.
  • If proof cannot be given, the doctor should explain how to get it. If proof cannot be obtained and the doctor still does the abortion, they must note this and report it to the Department of State Health Services. The department has to tell the legislature each year how many abortions happen without proof of age and identity.

Requirement of consent

In Section 33.0021, a doctor cannot do an abortion if such acts violate Section 164.052(a)(19) of the Occupations Code.

Medical emergency notification

As per Section 33.0022, if a doctor decides there is a medical emergency under Section 33.002(a)(3)(A) and there is not enough time to notify or get consent as required by Sections 33.002 or 33.0021 in such circumstances,

  • The doctor should try to tell the parent, guardian, or conservator in person or by phone within 24 hours after the abortion about:
    • The abortion is happening.
    • Why did the doctor think it was a medical emergency and needed to be done right away.
    • The doctor must, within 48 hours after the abortion, send a written notice to the last known address of the parent, guardian, or conservator by certified mail, restricted delivery, or return receipt requested. The doctor can use the last known address unless there is a clear reason not to. The doctor should keep a record in the minor’s medical file about the following things:
      • The return receipt from the written notice;
      • If the notice was returned as undeliverable.
      • The doctor must write an affidavit for the minor’s medical file explaining the specific medical emergency that required the abortion right away.

Judicial approval

Section 33.003 includes the provisions for judicial approval, which states as follows:

  • A pregnant minor has the option to seek judicial approval to undergo an abortion without informing or obtaining consent from a parent or guardian.
  • The application should be made in the minor’s county of residence at a specific court.
  • If the minor’s parent or guardian holds a judicial position, they can file the request in a nearby county or where the abortion is planned.
  • If the minor’s county has a small population, which is less than 10,000, they can file the request in nearby counties or where the abortion is planned.
  • The application must include sworn statements. The application must be made under oath. It Include:
    • A statement that the minor is pregnant.
    • A statement that the minor is unmarried, under 18 years old, and has not had their legal restrictions removed.
    • A statement that the minor wishes to have an abortion without informing or getting consent from a parent, managing conservator, or guardian.
    • A statement regarding whether the minor has a lawyer. If so, it must provide the lawyer’s name, address, and telephone number.
    • A statement about the minor’s current residence, including their physical address, mailing address, and telephone number.
  • The application should mention if the minor has a lawyer, along with their contact details, and if the minor has one helping them with the application.
  • The court clerk gives a courtesy copy of the request to the assigned judge, who will hear the application.
  • If the minor does not have a lawyer, the court appoints someone to represent their interests. The guardian ad litem cannot also be the minor’s lawyer.
  • The appointed guardian ad litem can be a psychiatrist or psychologist, a clergy member, or someone chosen by the court.
  • The court will schedule a time for a hearing on the application, and it will keep a record of everything said during the hearing. 
  • The minor must attend the hearing in person; remote attendance by using electronic means is not allowed.
  • The court is required to make a decision on the application within five business days of its filing and provide written reasons. If the minor requests an extension, the court must consider it. Regardless of whether an extension is granted, the court must prioritise these proceedings to ensure a prompt decision. 
  • If the court denies the minor’s application, the minor can later submit a new application to the same court if they can prove that there has been a significant change in circumstances since the previous denial.
  • All information remains confidential, and the court cannot disclose it to the minor’s parents.
  • The clerk of the court provides reports to the state about these cases, and the state publishes annual reports based on this data.
  • The application form for minors is checked by the Supreme Court’s clerk. There is no fee for the application.
  • Once submitted, the minor cannot withdraw the application without court approval.
  • If the application is filed and determined by the court, the minor cannot apply again as it is a res judicata unless significant changes occur.
  • The minor’s lawyer must be fully informed and ensure the accuracy of the information provided.

Appeal

If a minor’s application under Section 33.003 is rejected, she can appeal to the court of appeals that deals with civil matters in the county where she filed the application under Section 33.004. The clerk of the court that rejected the application will send a copy of the appeal notice and record to the court of appeals, which will put the appeal on its docket. The court of appeals must decide on the appeal within 5 business days of receiving the notice of appeal. If the minor asks for more time, the court can extend the deadline. The appeal process will be given priority over other cases to ensure a quick decision, regardless of any extensions granted. The court of appeal’s decision is private and cannot be shared except with specific people or agencies involved in protecting the minor’s interests. The Supreme Court can make rules to keep these appeals confidential. The court of appeals can publish an opinion on the ruling as long as it does not reveal the minor’s identity. The Supreme Court’s clerk will decide on the form for the appeal notice used by the minor. The minor does not have to pay a fee for filing an appeal, and there are no court costs. A quick and confidential appeal process is available to any pregnant minor whose application to have an abortion without her parent’s or guardian’s knowledge is denied by the court of appeals.

Civil penalty

As per Section 33.012, anyone who intentionally, knowingly, recklessly, or with gross negligence breaks the rules in this chapter owes the state a fine of at least $2,500 but not more than $10,000. Each time someone does or tries to do an abortion against these rules, it is a separate violation. The state cannot impose a fine.

  • A minor who gets or tries to get an abortion.
  • A judge or justice who handles a case under Section 33.003 or 33.004.
  • Even if the minor agreed to the abortion, that does not stop the state from fining the person who did it.
  • The attorney general will sue to collect these fines.

Vernon’s civil statutes

Vernon’s Civil Statutes of the State of Texas, specifically under Title 71, Chapter 6-1/2, address matters related to abortion. These statutes include:

  • Article 4512.1: If someone intentionally gives a pregnant woman drugs or hurts her to make her have an abortion, they can go to jail for at least two years and up to five years. If they do it without her permission, the punishment is even harsher.
  • Article 4512.2: If someone helps by giving the tools or means to have an abortion, knowing what they are used for, they are also guilty as an accomplice.
  • Article 4512.3: If the methods used do not successfully cause an abortion, the person is still considered guilty of attempting to cause an abortion as long as it is proven that the methods were intended to achieve that outcome. They might have to pay a fine of not less than $100 and not more than a thousand.
  • Article 4512.4: If a pregnant woman dies because of an abortion or an attempt to have one, it is treated as murder.
  • Article 4512.5: If someone destroys the life of an unborn baby while the baby is being born, they can get a very long prison sentence, not less than 5 years.
  • Article 4512.6: However, if a doctor advises that an abortion is needed to save the mother’s life, it is not treated as a crime.

The mentioned Article 4512.1, Article 4512.2, Article 4512.3, Article 4512.4, and Article 4512.5 were impliedly repealed in the case of McCorvey v. Hill, 385 F.3d 846 (5th Cir. 2004).

Hyde amendment

The Hyde Amendment is a law passed by the US Congress that imposes restrictions on how certain federal funds can be used for abortion services. It is named after Henry J. Hyde, the congressman who originally introduced it. This law is included in the annual spending bills for the Departments of Labor, Health and Human Services, Education, and related agencies.

The Hyde Amendment is a rule that stops federal funds from being used to pay for abortions in certain government health programs like Medicaid and Medicare. This rule applies nationwide and is not left up to individual state governments to decide on its applicability. Medicaid helps low-income people with medical costs, while Medicare helps older people and some disabled people with health coverage. This rule also affects other health programs funded by the government. However, it does not apply to all the money a program gets, only specific portions. Some states use their own money to pay for abortions beyond what the Hyde Amendment allows. Also, in student aid programs, some money is affected by the Hyde Amendment, but not all of it.

The most recent edition of the Hyde Amendment, which was in effect for the fiscal year 2022, says that federal funds cannot be used for abortions except in specific cases. These cases include pregnancies resulting from rape or incest, or when the woman’s life would be in danger if she did not have an abortion.

The Hyde Amendment has evolved over time regarding the exceptions it allows for using federal funds to cover abortions. Initially, it only included an exception for abortions necessary to save the woman’s life. However, by the fiscal year 1979 edition, it had expanded to include three exceptions:

  • Life-saving exception: This exception allows federal funds to be used for abortions if the woman’s life is in danger due to the pregnancy.
  • Rape or incest exception: This exception permits federal funds to cover abortions in cases of pregnancies resulting from rape or incest, but initially only if the incident had been reported promptly to the law damage exception. This exception allowed for abortions if carrying the pregnancy to term would result in severe and long-lasting physical health damage to the woman, as determined by two physicians.

Between fiscal years 1981 and 1993, the Hyde Amendment generally reverted to including only the life-saving exception. However, in fiscal year 1994, the rape or incest exception was re-introduced, this time without the requirement for prompt reporting. Since then, the Hyde Amendment has typically included both the life-saving exception and the rape or incest exception in its scope.

The Hyde Amendment limits federal funds for abortions in specific programs, like Medicaid and Medicare. Some other programs, like the Children’s Health Insurance Program (CHIP), have their own similar restrictions. These rules do not apply to all funding sources. Instead, they only affect certain parts of government money.

In the case of Harris v. McRae (1980), the Supreme Court supported the Hyde Amendment, saying it did not violate the Medicare Act, 1965, also known as the Social Security Act. They also held that it was not unfair to women because it did not outright stop them from getting abortions. However, after 1993, when exceptions for cases of rape or incest were added, some courts disagreed with state laws that limited abortion funding. They further held that Medicaid should cover certain medical services, including abortions, and felt the Hyde Amendment placed unfair restrictions, particularly for those needing abortions for reasons other than life-threatening situations.

Following the U.S. Supreme Court’s Dobbs v. Jackson Women’s Health Organization decision, which overturned Roe v. Wade, states are expected to enact stricter abortion laws. These laws could be more limiting than the Hyde Amendment, which restricts federal funding for abortions. If the Hyde Amendment is brought back, conflicts might arise between it and state abortion restrictions, potentially leading to legal disputes. Furthermore, there may be questions regarding whether the Hyde Amendment extends to activities such as providing assistance for travel related to abortions rather than solely focusing on funding the procedure itself. This could potentially lead to additional legal challenges and debates surrounding abortion rights and funding.

Partial-Birth Abortion Ban Act of 2003

The Partial-Birth Abortion Ban Act of 2003 is a federal law that prohibits a specific type of abortion procedure called “partial-birth abortion”, also known as intact dilation and extraction. According to the law, this procedure involves a doctor intentionally delivering a living foetus partially outside the mother’s body and then performing an act that kills the foetus. Important provisions include:

  • Under Code § 1531 of Title 18 of the United States Code, which prohibits a specific type of abortion procedure called partial-birth abortion.
  • According to the law in Code § 1531(b)(1)(A), a partial-birth abortion happens when a doctor deliberately and intentionally delivers a living foetus partially outside the mother’s body. This can happen when either the entire head if it is presenting first or any part of the baby’s trunk past the navel if it is presenting feet or bottom first is outside the mother’s body. This is done with the intention of doing something to kill the foetus while it’s still partly inside the mother. The doctor must know that this action will kill the foetus, and they must actually go through with it.
  • Under Section 1531(e) of the Code, a doctor who performs a partial-birth abortion could be fined or put in jail for up to two years. However, there is a part of the law, Section 1531(a), that says if a partial-birth abortion is necessary to save the life of the mother because she has a serious physical problem, illness, or injury, including problems from the pregnancy itself, then the doctor would not be charged with a crime.
  • Furthermore, Section 1531(e) provides that, if a pregnant person asks or plans for a partial-birth abortion, they can also be held responsible for the conspiracy, which means being part of a plan to commit the act.

Constitutionality of Partial-Birth Abortion Act of 2003

The US Supreme Court, in the case of Gonzales v. Carhart (2007), upheld the constitutionality of the Partial-Birth Abortion Ban Act of 2003. The Attorney General appealed rulings by the Eighth and Ninth Circuit Courts of Appeals, both of which had struck down the law. The Supreme Court’s decision, delivered in a narrow 5-4 majority, held that Congress’s authority to enact the ban. It concluded that the law did not place an undue burden on a woman’s right to seek an abortion, as established by prior Supreme Court precedents such as Roe v. Wade and Planned Parenthood of Southeastern Pennsylvania v. Casey. Further, the Court found the law constitutional and rejected arguments claiming it was unclear or lacked provisions for protecting women’s health.

Criticism

Some people questioned this law because it did not include a rule to make sure women’s health was taken care of, not only their lives. Many people see this ruling as one of the biggest decisions on abortion in thirty years. It led to immediate reactions from politicians and experts in the medical field. The day after the ruling, two democrats introduced bills in Congress to make sure the government could not interfere with a woman’s right to choose whether to have a child or end a pregnancy. The New England Journal of Medicine joined the discussion, with its editor saying the U.S. Supreme Court should not be making medical decisions. The law says a “partial-birth abortion” is when a doctor partly delivers a living baby and then intentionally does something to kill the foetus. This procedure is mostly done in the second trimester of pregnancy. Some doctors and groups, like the American College of Obstetricians and Gynecologists, are worried about the ruling. They think it might ignore the safest option for some women and their health needs. Many groups, including Planned Parenthood and the American Civil Liberties Union, criticised the court’s decision. They think it is a step towards making abortion harder to obtain. The New York Times, a news portal, made the ruling its top story, saying it was bad for women’s rights. People are concerned that the court is more focused on the baby’s rights than the mother’s. Some people think it could even make it harder for women to get abortions.

Reasons for banning abortions in the US

Abortion bans in the United States happened because a group of people who do not want abortions, called the anti-abortion people group, started protesting against abortions. They have worked really hard to make it happen. Even though they are not the majority, they are good at organising and convincing politicians to support them. Over time, politicians who wanted to win elections started to support their cause to get votes. The way the US government works also helped them. Even though there are more Democrats than Republicans in the country, the system gives each state the same number of votes in the Senate, which is where they confirm judges. There were also social changes that made politicians think it was really important to stop abortions. For example, as the country becomes more diverse and less religious, some groups worry about losing their power. So, they work harder to keep things the way they want them to be. This led to the banning of abortions in many states, but they are not totally banned everywhere. Instead, some states have put restrictions on when and how abortions can be done.

Insights from the Pew Research Center Survey relating to abortion in the US

On January 11, 2023, the report submitted by the Pew Research Center, consists of various aspects of abortions in the U.S., along with data from the Centers for Disease Control and Prevention (CDC) and the Guttmacher Institute. These surveys cover a range of topics, including the attitudes of Americans towards the legality of abortion, opinions on specific abortion-related policies, and factors influencing individuals’ views on abortion. It consists:

The Centers for Disease Control and Prevention (CDC) and the Guttmacher Institute track the number of legal abortions in the U.S. Both organisations reported data from 2020, showing that there were over 600,000 legal abortions performed in the country that year. However, there are differences in the exact numbers reported by each organisation. Since the legalisation of abortion in 1973, the number of abortions in the U.S. has generally declined, with occasional slight increases in certain years.

After the Supreme Court’s decision in June 2022, 62% of U.S. adults believed abortion should be legal in all or most cases, while 36% believed it should be illegal in all or most cases. A few people have extreme views on the matter. The exact number of abortions in the U.S. each year is challenging to determine due to differences in measurement methods between the Centers for Disease Control and Prevention (CDC) and the Guttmacher Institute.

The CDC collects data voluntarily reported by health agencies in most states and the District of Columbia. However, its figures do not include data from California, Maryland, or New Hampshire. In 2020, the CDC reported 620,327 abortions in the U.S., a slight decrease from the previous year. On the other hand, the Guttmacher Institute contacts every known abortion provider in the country and uses questionnaires and health department data to compile its figures. In 2020, Guttmacher reported 930,160 abortions, which is higher than the CDC’s figure. Both organisations include legally induced abortions performed by clinics, hospitals, or physicians’ offices, as well as abortions using pills dispensed from certified facilities. However, they do not account for abortion pills obtained outside of clinical settings.

The number of abortions in the U.S. has fluctuated over the years. After Roe v. Wade legalised abortion in 1973, the number increased steadily, peaking in the late 1980s and early 1990s. Since then, there has been a general decline, although with occasional increases in certain years. In 2020, the CDC reported over 600,000 abortions, while the Guttmacher Institute reported over 900,000. Regarding the abortion rate among women, both Guttmacher and the CDC show a decline over time. In 2020, Guttmacher reported 14.4 percent abortions per 1,000 women aged 15 to 44, while the CDC reported 11.2 percent abortions per 1,000 women in the same age range. However, there were slight increases in the late 2010s before a recent stabilisation or slight decrease.

The most common types of abortions in the United States are surgical abortions and medication abortions.

  • Medication abortions: This method involves taking pills to terminate a pregnancy. It became more prevalent after the Food and Drug Administration (FDA) approved abortion pills in 2000. In 2020, for the first time, the majority of legal abortions in the U.S. were medication abortions, accounting for 53%. The two pills commonly used together for medication abortions are mifepristone and misoprostol. Mifepristone blocks hormones that support pregnancy, while misoprostol causes the uterus to empty. Medication abortions are considered safe and can be used until 10 weeks into pregnancy, according to the FDA.
  • Surgical abortions: These procedures involve physically removing the foetus from the uterus. During the first trimester of pregnancy, surgical abortions typically use a suction process. In the second trimester, a process called dilation and evacuation is used, which involves dilating the cervix and removing the foetus and other tissues from the uterus.

Medical complications from abortions in the U.S. are relatively rare. About 2% of all abortions involve some type of complication for the woman, according to an article in Statpearls, an online healthcare resource. Most complications are considered minor, such as pain, bleeding, infection, and post-anaesthesia complications.

The CDC also calculates case-fatality rates for women from legally induced abortions, which means how many women die from abortion-related complications for every 100,000 abortions. The rate has decreased over time. For example, during the period from 2013 to 2019, the rate was 0.43 percent deaths per 100,000 legal induced abortions, while during the period from 1973 to 1977, it was higher at 2.1 deaths per 100,000 legal-induced abortions.

In 2019, the CDC reported four deaths due to complications from induced abortions, following two deaths in 2018 and three deaths in 2017. Since 1990, the annual number of deaths among women due to induced abortion has ranged from 2 to 12, according to the CDC. The number of deaths from induced abortions was considerably higher in the past, particularly in the 1960s, before abortion was legalised. For example, in 1965, there were 235 deaths from abortions, according to reports by the then-U.S. Department of Health, Education, and Welfare. However, with the legalisation of abortion and improvements in healthcare and safety standards, the number of deaths has significantly decreased over time.

Current legal status of abortion in different states of the US

In the United States, there are many states that have banned abortion after the Supreme Court overturned the decision in the case of Roe v. Wade. However, some states consider abortion legal, and they have not imposed a total ban on abortion. It is important to note that this ruling is not binding on state governments because of the federal system in the U.S. This means states can create their own laws about abortion. The Dobbs case ruling is significant because it might lead to changes in abortion laws across different states. Some states may use this ruling as a basis to introduce stricter regulations on abortion, while others may uphold more lenient laws. The impact of the Dobbs case on abortion laws will vary from state to state, depending on how each state chooses to respond to the ruling. Some of the states and their current legal status regarding abortion are provided below.

Wyoming

In Wyoming, abortion is currently regulated by laws that have been blocked by the courts. Further, in March, Wyoming passed a law called the Life is a Human Right Act in 2023, which specifically bans abortion pills. However, these regulations are not currently enforced due to court intervention. According to Wyoming’s regulations, abortion is prohibited after viability unless it is necessary to save the life of the pregnant person or in cases of medical emergencies. This means that abortions are generally not permitted once the foetus is considered capable of surviving outside the womb, unless there are exceptional circumstances, such as a threat to the life of the pregnant person or medical emergencies.

Alabama

In Alabama, there are laws that make abortion mostly illegal. In May 2019, Alabama passed one of the most restrictive abortion laws, the Human Life Protection Act. The abortion laws in Alabama are very strict. According to Title 26 of the 2022 Code of Alabama, abortion is only allowed if it is necessary to prevent a serious health risk to the pregnant woman. There are no exceptions for cases of rape or incest. Further, Alabama has other laws related to abortion, including bans at twenty weeks post-fertilization and at viability, as well as restrictions on certain abortion procedures. Pregnant individuals in Alabama are also required to undergo a mandatory forty-eight-hour waiting period, biassed counselling, and an ultrasound before obtaining an abortion. The Human Life Protection Act (HLPA) was enacted in Alabama as an attempt to challenge Roe v. Wade. Until June 2022, it served as a trigger law, meaning it would criminalise all abortions immediately if Roe v. Wade was overturned. However, after a final opinion was issued in the case of Dobbs v. Jackson Women’s Health Organization, the injunction against enforcement of the HLPA was dissolved, and the law is now in effect.

Despite these strict laws, abortion remains a controversial issue in Alabama. 

Arizona

In Arizona, abortion is currently legal until the point of viability, which is typically around 24 weeks of pregnancy. In Arizona after Roe v. Wade overturned decisions that ban most abortions. However, exceptions are given in cases where, to save the life of the pregnant woman, abortions are allowed. There is a new bill, SB 1164, set to ban abortions after 15 weeks of pregnancy. This law has an exception if the pregnant person’s life is in danger. So, for now, abortion is legal in Arizona until viability, but there are ongoing legal debates and changes in laws that could affect this status in the future. 

Brittany Fonteno, the president and CEO of the Arizona branch of Planned Parenthood, criticised the ban as “archaic” and expressed concern that it would regress Arizona back nearly 150 years. Further, Senator Krysten Sinema emphasised the importance of a woman’s right to make healthcare decisions in consultation with her family and doctor. She condemned the ruling for removing basic rights that Arizona women have relied upon for over a century and argued that it endangers their health, safety, and well-being. Senator Mark Kelly also criticised the decision, stating that the repeal of Roe v. Wade has set back women’s rights in Arizona by decades. He highlighted the significant impact of the decision, suggesting that it sets women’s rights back 158 years, to a time before Arizona was even a state. Kelly vowed to continue fighting to restore abortion rights for future generations.

Arkansas

In Arkansas, it is now against a law called the Arkansas Human Life Protection Act to have an abortion at any time during pregnancy. This change happened after the Supreme Court said Roe v. Wade was not valid anymore. If someone in Arkansas wants an abortion, they have to wait 72 hours, talk to a counsellor, and get an ultrasound first. Some ways of having an abortion are not allowed, and there are rules against having an abortion for certain reasons, like choosing the sex of the baby or if the baby might have Down syndrome, but the rule about choosing the sex has been stopped for now. If someone under 18 years of age wants an abortion, they need to get permission from a parent, legal guardian, or judge. It is hard to get money from the government or private insurance to pay for an abortion. During the COVID-19 sickness, Arkansas tried to stop abortions for a while but then said they could happen with some rules. The state of Arkansas had a plan in place to immediately stop nearly all abortions if the Roe case decision was overturned. Now, in Arkansas, it is not allowed to have an abortion at all.

California

In California, abortions are legal until the point of viability, which is typically around 24 weeks of pregnancy. The U.S. Supreme Court has acknowledged the right to abortion under the state Constitution, and there are laws in place that protect access to abortion services. So, for now, abortion remains legal in California. In California, individuals who are pregnant have certain legal rights regarding abortion:

  • Right to choose before viability: Individuals in California have the legal right to choose to have an abortion before the foetus is considered viable. Before this point, individuals can decide to have an abortion based on their own reasons.
  • Abortion for life or health reasons: Individuals in California can also choose to have an abortion at any time if it is necessary to protect their life or health. If continuing the pregnancy would endanger their life or health, they have the legal right to terminate the pregnancy.
  • Right to privacy: In California, individuals have the right to make these decisions without interference from the government or other parties. 

The ACLU of Northern California provides a summary of abortion rights in the state, offering information and support regarding these legal protections.

Wisconsin

In Wisconsin, there is a near-total ban on abortions that went into effect shortly after a Supreme Court decision overturned the Roe case. This ban initially caused clinics to stop offering abortion services because of concerns about an 1849 law that seemed to prohibit almost all abortions. However, Planned Parenthood resumed offering abortion services in September 2023 after a court ruling clarified that the 1849 law did not actually prohibit people from seeking abortions.

Currently, in Wisconsin, abortions are prohibited after conception, except when the life of the pregnant person is endangered. So, there is effectively a near-total ban on abortions in the state.

Colorado

In Colorado, abortions are legal throughout pregnancy, and individuals have the right to seek an abortion at any stage of pregnancy. A state law called the Reproductive Health Equity Act in Colorado protects access to abortion services by ensuring that individuals have the legal right to make choices regarding their reproductive health.

Connecticut and Delaware

In Connecticut and Delaware, abortions are legal until viability, which typically occurs around 24 weeks of pregnancy. State laws in Connecticut and Delaware protect access to abortion services by ensuring that individuals have the legal right to make decisions about their reproductive health care.

District of Columbia 

In the District of Columbia (Washington, D.C.), abortions are legal throughout pregnancy. This means individuals have the right to seek an abortion at any stage of pregnancy. The District’s legal code, the Human Rights Act of 1977, protects access to abortion services.

New Jersey 

Abortion is still legal in New Jersey, even after the Supreme Court overturned Roe v. Wade, and individuals in New Jersey have the right to choose whether to terminate or continue a pregnancy as per the Freedom of Reproductive Choice Act of 2021. The Supreme Court’s decision did not affect this right in New Jersey. In New Jersey, individuals have the option to receive a prescription for medication abortion, and they can utilise telehealth services for this purpose. Further, individuals from other states can come to New Jersey for abortion care if they wish. So, basically, in New Jersey, people have the right to make their own choices about abortion, and there are options available for those seeking abortion care.

New Mexico 

In New Mexico, after the Supreme Court overturned Roe v. Wade, abortion will still be accessible. However, the state courts have not decided if the state constitution protects the right to abortion. New Mexico prohibits certain types of abortion procedures, such as D&X procedures. In 2021, the state removed the requirement for parental consent for a minor’s abortion. There are also targeted regulations for abortion providers, including reporting requirements. Violating certain abortion laws can lead to criminal penalties. While New Mexico’s constitution includes an equal rights Amendment, the state supreme court has not confirmed if it protects the right to abortion. New Mexico provides public funding for medically necessary abortions. The governor has issued executive orders to protect abortion providers from out-of-state investigations and legal actions. Further, funds have been allocated to develop a new abortion clinic near the state’s border with Texas. In 2023, the state passed a law to ensure access to reproductive healthcare, including abortion and gender-affirming care. Public bodies are prohibited from interfering with such care and can face penalties for violating the law. Statutory protections shield providers, patients, and those helping others access abortion and gender-affirming care from professional licensure consequences and out-of-state investigations and legal actions. Abortions are prohibited after viability, except in cases of life endangerment or medical emergencies for pregnant women.

New York

In New York, abortion has been legal since 1970, and it is allowed by law. In 2019, a law called the Reproductive Health Act was passed to make sure abortion stays accessible and protected. This law says that abortion is an important part of healthcare. Even after the overturned decision of Roe v. Wade, abortion is still legal. In New York, people can get an abortion up to 24 weeks into a pregnancy without any special restrictions. After that, they can still get an abortion if the baby does not survive after birth or if the pregnant person’s health, including mental health, is at serious risk. Even someone under 18 years of age can get an abortion without informing their parents. Doctors and other healthcare providers in New York have to keep medical information private, including if someone is getting an abortion. In New York, the government covers the cost of abortions, and private insurance companies are required to include coverage for abortion services in their plans. If insurance includes pregnancy care, it must also include abortion care starting from 2023. This makes sure that people can afford the care they need.

Vermont 

In Vermont, abortion will remain legal. The state passed comprehensive abortion rights legislation in 2019, and voters approved Proposal 5 in November 2022, which solidifies reproductive freedom in the Vermont constitution. Vermont requires abortion providers to submit reports to the state, but there are no significant restrictions on the types of healthcare practitioners who can provide abortion care. Vermont has statutory protections for abortion as a fundamental right throughout pregnancy. Public funding is available for medically necessary abortions. Additionally, in 2023, the state passed laws to protect healthcare providers, patients, and those aiding others in accessing abortion and gender-affirming care from facing consequences related to their professional licences and from investigations or legal actions originating from outside the state. Vermont previously had a law imposing criminal penalties on third parties involved in abortions, but it was declared invalid by the Vermont Supreme Court in 1972 and repealed by the legislature in 2014.

Virginia 

Abortion is legal in Virginia until the third trimester of pregnancy. While the state Supreme Court has not recognized a right to abortion under the state Constitution, there are also no state laws specifically protecting access to abortion. Section 18.2-76 of the Code of Virginia says that, before a doctor or a special nurse can do an abortion or any other procedure to end a pregnancy, they have to get written permission from the pregnant woman. If the woman cannot make decisions for herself because a court says she cannot, or if the doctor or nurse thinks she cannot, then they need written permission from a parent, guardian, or someone else trusted to make decisions for her.

West Virginia 

The legality of abortion in West Virginia is uncertain. The state could attempt to enforce its pre-Roe law, which bans all abortions except those necessary to save the life of the pregnant person. However, this law was deemed unconstitutional by the 4th Circuit Court of Appeals in 1975. There is ongoing debate among proponents and opponents of abortion rights about whether this law could be enforced without further court action. Subsequently, on September 16, 2022, Governor Jim Justice signed House Bill 302 into law, officially banning abortions in West Virginia with limited exceptions. The bill is referred to as the “protect life” law. 

Rhode Island 

Abortions are legal until viability, and a state law called the Reproductive Privacy Act, which was codified into law on June 19, 2019, protects access to abortion services.

Pennsylvania

Abortion is legal up to the 23rd week of pregnancy, and after that, abortions can be performed if the life or health of the pregnant person is in danger. Abortions cannot be based on the sex of the foetus. Some steps must be taken, including confirming the pregnancy with a medical provider, receiving counselling, waiting 24 hours, and giving informed consent. Minors under 18 years of age can get abortions with parental consent or by obtaining court approval through a judicial bypass process. Harassment, intimidation, or interference with accessing abortion facilities is against federal law. If faced with such actions, individuals can call 911 for emergencies or contact local law enforcement or the Federal Bureau of Investigation (FBI). Organisations like the Women’s Law Project and the National Abortion Federation provide information and assistance regarding abortion rights and access in Pennsylvania.

South Dakota 

Abortion is illegal in South Dakota, except in cases where it is necessary to save the life of the pregnant person. The state has a trigger law, SL 2005, ch. 187, § 6, that immediately prohibits all abortions upon the U.S. Supreme Court’s decision to overturn Roe v. Wade.

Tennessee 

Abortion is temporarily legal until viability in Tennessee. However, the state has a trigger law that will ban nearly all abortions 30 days after the U.S. Supreme Court overturns Roe v. Wade. This law contains an exception for cases where it is necessary to save the life of the pregnant person.

Oregon 

Abortions are legal throughout pregnancy, and a state law called House Bill 3391 protects access to abortion services.

Utah

In Utah, the legal status of abortion is currently uncertain due to legal complications. Abortion is technically legal in Utah, but there are significant restrictions in place. The state passed a law in 2020 called the “trigger law,” called Senate Bill 174 (SB174). This law would make abortion mostly illegal in Utah, except in cases where the life of the mother is in danger or if there is a risk of permanent impairment of body functions. The United States Supreme Court overturned Roe v. Wade in June 2022, leading to Utah’s abortion ban. The law includes narrow exceptions, such as cases of rape, incest, the life of the mother, and certain foetal abnormalities. However, enforcement of this law is on hold because organisations like Planned Parenthood and the ACLU are challenging its constitutionality. Some politicians in Utah, like Senator Dan McCay and Senator Mike Lee, are supportive of restricting abortion. They believe it is important to protect unborn lives and that each state should have the right to make its own laws regarding abortion. Further, a new law called House Bill 467 was passed in 2023. This law would make it more difficult to get an abortion by requiring it to be performed in a hospital and placing stricter regulations on abortion clinics. However, Utah’s abortion laws are facing legal challenges and ongoing debates regarding reproductive rights and access to abortion services. 

Texas

Following the Supreme Court’s decision overturning Roe v. Wade on June 24, 2022, abortion is now banned in Texas. The new law, the Texas Heartbeat Act of 2021, imposes strict restrictions, prohibiting abortions once cardiac activity is detected in the embryo, typically around five to six weeks into the pregnancy. In Texas, abortion is highly restricted by law. A law passed in 2022, known as Chapter 170A of the Texas Health & Safety Code, prohibits almost all abortions except in certain circumstances. According to Section 170A.002 of the said Code, performing or inducing an abortion is generally banned, except when the life or health of the pregnant person is at risk. Further, each violation of the law can result in a civil penalty of at least $100,000, along with attorney’s fees and court costs. This penalty is separate from any other civil liabilities a person may face. Moreover, healthcare professionals who violate the law could have their licences or permits revoked. Furthermore, the law does not provide exemptions for cases of rape or incest, only allowing for a narrow exemption in cases of medical emergencies. As a result, access to abortion in Texas has become severely limited.

Florida

The recent actions by Florida lawmakers and Governor Ron DeSantis have made the state one of the most restrictive in the country regarding abortion rules. They voted to prohibit abortions after six weeks of pregnancy by passing Senate Bill No. 300. Florida will now have some of the strictest abortion rules in the country. Before this change, Florida was a common place for people from nearby states to go for abortions. Now, individuals seeking abortions may have to travel farther to states like North Carolina or Illinois for care. The decision came after the Supreme Court said states could make their own abortion rules. Those who support abortion bans claim it is about protecting life and altering the current state of affairs regarding abortion. State Representative Jenna Persons-Mulicka emphasised the importance of standing for life and supporting Florida families through this legislation.

Georgia

In Georgia, abortion is legal until a heartbeat is detected in the embryo, which usually happens around the 5th or 6th week of pregnancy. This rule was enforced on July 20, 2022, after the Supreme Court decision in the case of Dobbs v. Jackson Women’s Health Organization.

Since 2007, Georgia has had rules saying people seeking abortions must get an ultrasound first. Georgia has been trying to make abortion harder since 2011. In 2019, they tried to pass a law making abortion illegal as soon as a heartbeat is detected in the embryo, usually around six weeks into pregnancy. But a federal judge said this law went against a big Supreme Court decision from 1973, so it did not go into effect. There is a protest in Georgia fighting for abortion rights. They got a lot of donations after the 2019 law was passed. As of July 20, 2022, House Bill 481 banning abortion after a heartbeat is detected is in place. However, in the cities of Atlanta and Savannah, abortions after the fifth or sixth week of pregnancy are not considered crimes.

South Carolina

In South Carolina, there has been a big change in the law about abortion because of a recent decision by the state’s highest court. The court said it is permissible to enforce the “Heartbeat Protection Act of 2021.” This law says most abortions cannot happen after six weeks of pregnancy, when the baby’s heartbeat can be heard. But there are some exceptions, including if the pregnant person’s life is in danger or if the baby has a serious problem that cannot be fixed. There are also limited exceptions up to 12 weeks for victims of rape and incest. But groups like Planned Parenthood South Atlantic and other medical providers do not agree with this decision. They say it will hurt the people of South Carolina in a way that cannot be fixed.

Effect of such a ban

The Supreme Court’s decision in June 2022 to overturn Roe v. Wade changed the rules about abortion across the country. Accordingly, each state could make its own laws about abortion. After this decision, 13 states quickly put into action what are called “trigger laws.” These laws had been waiting around, ready to go into effect if Roe v. Wade was overturned. These trigger laws promised to make abortion illegal or harder to get in those states.

Abortion bans would affect many women, about one in four aged 15 to 44, who decide to have abortions. If the Supreme Court lets states say abortion is not a crime, about 16 states would still allow it because their state laws protect it. But, in the other 34 states, people would talk about making abortion illegal and when it could still be allowed.

In states where the rules are more relaxed, getting an abortion would still be possible. But, in stricter states, it would be hard, especially for those who cannot travel for it. Abortion rules often mean people have to pay a lot, wait a long time, and have fewer places to go for help.

At times, laws like TRAP make it extremely difficult for abortion clinics to remain operational, often leading to their closure. This makes it even harder for certain groups, especially those who do not have much money or who come from communities with more people of colour. When safe abortion care is not easy to find, some people might turn to risky options like buying pills from unsafe places. This can be really dangerous. It can also make them feel really sad or even make young people think about hurting themselves.

Non-profit groups assist individuals in affording abortions, without their help, some people might be forced to have babies they do not want or cannot afford, or they might resort to unsafe methods to end a pregnancy. Even though it is hard, supporters keep fighting for the right to choose and for safe abortion care.

Since Roe v. Wade case was overturned, almost 20 states have made it harder or even impossible to get abortions, especially those with low incomes and from communities that are often treated unfairly and might have to have babies they did not plan for.

But are these states ready to help these parents and kids? Sadly, the evidence suggests many families will struggle. In states with tough abortion laws, mothers and kids have less access to healthcare and money, which leads to worse health problems.

An expert from the Brookings Institution, Stuart Butler, says this is like a double punch for people in these states, especially in the South. They are less likely to get help for themselves and their kids, and they have less access to healthcare during pregnancy and for their kids afterwards. This could mean more tough times, health issues, and even deaths unless things change.

Studies show that being refused an abortion can cause big problems for people and their families, like money troubles and feeling bad. A Turnaway Study found that people who could not get an abortion had worse money and mental health than those who got one.

Dr. Diana Greene Foster, who led the Turnaway Study, says not being able to get a safe and legal abortion can cause long-lasting harm, both to health and finances. Sadly, without better help from society, these problems will keep happening. Even before the recent legal changes, the states with the toughest abortion laws already had the worst health outcomes for mothers and kids. This shows how important it is to have good support systems for families, especially in states with strict abortion laws.

Further, before the Dobbs v. Jackson Women’s Health Organization ruling, the 14 states with the strictest abortion laws already had the worst health outcomes for mothers and children in the country. This emphasises the importance of having comprehensive support systems for families, especially in states with restrictive abortion laws.

Researchers from the Johns Hopkins Bloomberg School of Public Health found something interesting when they looked at national surveys. They noticed that in states where abortion was banned after the Supreme Court’s decision, there was a small but significant increase in people reporting feelings of anxiety and depression. This was especially true for women aged 18 to 45.

It seems like changes in abortion laws might be making some people feel more anxious and sad. This shows that laws about abortion do not just affect physical health but can also impact the mental well-being of women.

The Dobbs decision may be causing increased symptoms of anxiety and depression, even in women who are not pregnant or are currently being denied an abortion, for several reasons. One important factor is reproductive autonomy, which means having control over one’s own reproductive choices. This concept is closely linked to personal and economic freedoms, which are also important for mental well-being.

When the Supreme Court overturned Roe v. Wade, it meant that abortion rights, which were once protected by the federal government, could suddenly disappear in a state. This sudden change can make people feel uncertain and worried about their future. Even if someone is not seeking an abortion themselves, they might be concerned about the risks of living in a state where access to abortion is restricted. This uncertainty and fear about losing fundamental rights can affect a person’s overall sense of security and contribute to feelings of anxiety and depression.

Research shows that when abortion access is restricted in states, more people feel anxious and depressed, even if they are not directly affected by the laws. Laws about abortion can make lots of people worried and sad, not just those who want an abortion.

So, it is not just about the immediate impact of limiting abortion. These laws can have other effects too, like making more people struggle with their mental health. When states are thinking about new laws about reproductive health, they need to think about how they might affect people’s mental well-being. This could mean that more people might need help with their mental health, or they might end up using mental health services more often. It is important for policymakers to think about the mental health impact of their decisions when making laws about abortion.

Experts from the United Nations warn that the bans on abortion in the United States are endangering the lives of millions of women and girls. They argue that these bans violate international human rights laws and affect women and girls from different backgrounds, especially those facing challenges like minority communities, migrants, disabled persons, or low income. The bans make it difficult for women and girls to access important healthcare services, violating their rights to privacy, bodily autonomy, and safety. They also create fear among healthcare workers and lead to privacy violations through surveillance technology. The government should change these laws to ensure everyone can access safe and legal abortion care when needed.

Executive order passed by President

President Joe Biden took action to protect abortion rights after the Supreme Court made a big decision against them. Biden said it is Congress’ job to make sure abortion rights are protected by law, and he will sign any bill that comes his way. He also encouraged women to vote for more Democrats who support abortion rights and warned that, if the Supreme Court keeps making decisions against abortion, other important rights might be at risk too.

He signed an order to make sure people can still get abortions and birth control easily. This order also keeps people’s private health information safe and helps them get accurate information about reproductive health care. However, some ideas, like using certain federal places for abortions or clarifying the rules about bringing abortion pills across borders, were not included. Order consists:

  • Reports and task force: The President wants a report from the Health and Human Services Secretary about what they are doing to help with reproductive health care access. He is also setting up a task force, including the Attorney General, to work on this issue.
  • Access to contraception: The Health and Human Services Department will work to make sure people can get emergency contraception and long-acting reversible contraception, like intrauterine devices (IUDs). They are also making sure patients have full rights to emergency medical care.
  • Education and outreach: There will be more efforts to educate the public about abortion rights and access to care.
  • Legal representation: Private lawyers and organisations will help people lawfully seeking abortions and those providing them with legal support.
  • Protecting privacy: The President wants to protect people’s privacy when they look for reproductive health care services. This includes steps to prevent deceptive practices and ensure access to accurate information.
  • Safeguarding information: The Health and Human Services Department will take steps to protect sensitive information related to reproductive health care under the Health Insurance Portability and Accountability Act (HIPAA). They will also issue guidance to clarify when doctors can share patient information.
  • Safety measures: The order aims to ensure the safety of people seeking abortion care, including protecting mobile clinics that provide care to out-of-state patients.

Landmark court decisions with respect to abortion

Planned Parenthood of Southeastern Pennsylvania v. Casey (1992)

This case involved a challenge to a Pennsylvania law that placed certain restrictions on abortion, like mandatory waiting periods and requiring women to get counselling before having an abortion.

The main question in this case was whether these restrictions violated the constitutional right to abortion established in Roe v. Wade.

The Supreme Court ruled that some parts of the Pennsylvania law were valid, but others were not. They said that states can regulate or even ban abortion after a foetus becomes able to survive outside the womb, called “viability.” However, they also said that before viability, women have a constitutional right to choose to have an abortion. The Court said that states can put some restrictions on abortion, like waiting periods or counselling, but they cannot make it too hard for women to get an abortion. If the restrictions create an “undue burden,” that is, they make it too difficult for women to access abortion, then they are not allowed. So, in essence, the Court said states can regulate abortion, but they have to do it in a way that does not unfairly burden women seeking abortions.

Gonzales v. Carhart (2007)

The case involves the constitutionality of the Partial-Birth Abortion Ban Act, which was passed by the U.S. Congress in 2003 and made it illegal to perform a specific type of abortion procedure called intact dilation and extraction. This procedure is often referred to as “partial-birth abortion.”

The issue was raised in 1992 with regards to whether the Partial-Birth Abortion Ban Act violated the Constitution, specifically the right to abortion established in Roe v. Wade and subsequent cases?

The Supreme Court upheld the Partial-Birth Abortion Ban Act as constitutional. They said that banning this specific abortion procedure did not create an “undue burden” on women seeking abortions. The Court determined that the government had a legitimate interest in regulating this particular procedure because it believed it was cruel and inhumane. Therefore, the ban was allowed to stand, and intact dilation and extraction became illegal in the United States.

Whole Woman’s Health v. Hellerstedt (2016)

In 2013, Texas passed a law called House Bill 2 (HB2) that put tough rules on abortion clinics. One rule said abortion clinics had to be as safe as surgery centres. Among its provisions, the rule HB2 states that doctors doing abortions had to be able to admit patients to nearby hospitals.

The main issue in this case was whether these rules were fair or whether these rules made it too hard for women to get abortions, which is a right protected by the Constitution.

The Supreme Court said the rules in HB2 were not fair. They said the rules made it too hard for women to get abortions without making them any safer. They decided that these rules went against the Constitution and could not be enforced. So, this decision highlights that abortion clinics in Texas could keep operating without following the strict rules of HB2.

June Medical Services v. Russo (2020)

In 2014, Louisiana enacted a law called Act 620. This legislature mandated that doctors providing abortion services must obtain admitting privileges at hospitals within 30 miles of their clinics. This requirement essentially meant that abortion providers had to establish a formal relationship with a nearby hospital.

In this case, the central issue at hand was whether Act 620 violated the constitutional right to abortion established in the case of Planned Parenthood of Southeastern Pennsylvania. v. Casey by imposing an undue burden on women seeking abortion services.

The Supreme Court struck down Act 620 as unconstitutional. They determined that the requirement for admitting privileges did not significantly enhance the safety of abortion procedures. Instead, it created a substantial burden for women seeking abortions without any valid medical justification. Consequently, the Court ruled that Act 620 contravened the constitutional right to abortion as recognized in Planned Parenthood v. Casey and was, therefore, invalid.

This decision highlights that women in Louisiana could continue to access abortion services without needing their doctors to have special hospital connections.

Conclusion

Abortion bans in the United States make it difficult for people to get the healthcare they need. Even though the Supreme Court’s ruling does not force states to follow it because of the way the U.S. government works, it still has a big impact on society. States now have more freedom to make their own abortion laws based on what the Supreme Court said.

Abortion laws are different in each state and often affect certain groups more than others. Even though initial court cases like Roe v. Wade and Planned Parenthood of Southeastern Pennsylvania. v. Casey protected the right to abortion; in later days, these decisions were overturned in the case of Dobbs v. Jackson Women’s Health Organization, making it harder to get an abortion.

Abortion bans are especially hard on people who are already facing challenges, like those who do not have much money, people of colour, LGBTQ+ folks, and those who live far from cities. Laws like “heartbeat bills” and “personhood” rules make it more complicated to get an abortion, which can be confusing and stressful. 

These laws do not just affect abortion; they also make it harder to get other kinds of healthcare, like birth control, pregnancy checkups, and care for mothers. Also, laws that stop government money from paying for abortions, like the Hyde Amendment, make it even harder for some people to get the care they need.

Despite these challenges, there are groups fighting against these laws. They are using the law and getting involved in politics to try to change things. It is important for everyone to support the right to make our own choices about our bodies and to ensure that everyone can get the care they need, no matter who they are or where they live. 

Frequently Asked Questions (FAQs)

Are there organisations that provide assistance to women facing abortion bans?

Yes, there are several organisations that offer support, resources, and assistance to women affected by abortion bans, including Planned Parenthood, NARAL Pro-Choice America, the American Civil Liberties Union (ACLU), and various local and regional abortion funds.

What is the current status of abortion bans in the US?

The status of abortion bans varies by state and is subject to change due to ongoing legal challenges and legislative actions. Some states have successfully passed restrictive abortion laws, while others have faced legal setbacks or have laws that are temporarily blocked by court injunctions.

What is a “personhood” Amendment and how does it affect abortion laws?

A “personhood” Amendment is an established law or constitutional change that gives legal personhood to foetuses. This means it considers the foetus as a separate legal person with rights from the moment of conception. These amendments are intended to effectively ban abortion by granting legal rights to the foetus.

What is the “global gag rule” and how does it relate to abortion bans in the US?

The “global gag rule,” also known as the Mexico City Policy, is a US government policy that prohibits foreign non-governmental organisations (NGOs). Such organisations receive US funding for providing or promoting abortion services, even with their own non-US funds. This rule stops international organisations from talking about or providing abortions. Even if these organisations get money from sources other than the US, they cannot offer abortion services or talk about them. This rule makes it harder for people in other countries to access important information and services related to reproductive health.

References 

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All about insolvency resolution professionals under IBC, 2016

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IBC PMLA

This article has been written by Rajdip Das, pursuing a Diploma in Advanced Contract Drafting, Negotiation and Dispute Resolution course from LawSikho.

This article has been edited and published by Shashwat Kaushik.

Introduction 

According to a report by The Economic Times, 238 cases were admitted under the Insolvency and Bankruptcy Code, 2016 in the first quarter of FY 24. This number shows a decrease from the 347 cases admitted in the previous quarter. Among the 4,700 cases that closed until the first quarter of FY 24, 50% were initiated by operational creditors, while 45% were initiated by financial creditors. Only 15% of the cases were resolved, and 45% underwent liquidation.

The article explores the role of a resolution professional (RP) in the insolvency resolution process for corporations under the Insolvency and Bankruptcy Code (IBC) of 2016. The Resolution Professional (RP) is an appointed insolvency expert who is responsible for verifying creditors’ claims, forming a committee of creditors, managing the debtor’s business during the moratorium period and facilitating consensus among creditors for a revival plan.

Who are Insolvency professionals

According to Section 3, Sub-section 19 of the IBC, an individual who is registered with the Insolvency and Bankruptcy Board of India (IBBI) as an insolvency professional is referred to as an “insolvency professional.” An insolvency professional must also be a member of an insolvency professional agency to qualify as an “insolvency professional.”

In other words, insolvency professionals refer to persons who supervise the insolvency resolution process of a corporate debtor.  It is mandatory for these individuals to be enrolled in an insolvency professional agency (IPA) and they must also register themselves with the Insolvency and Bankruptcy Board of India (IBBI) to qualify as an insolvency professional.

According to Section 3 sub-section 23 of the IBC, the following entities are eligible to become insolvency professional. The entities are the following:

●      Individual

●      Hindu Undivided Family (HUF)

●      Company

●      Trust

●      Partnership firm

●      Limited Liability Partnership Firm (LLP)

●      Entity established under a law

●      Non-resident person

Therefore, the persons mentioned above are eligible to become insolvency professionals. The IBBI has put in place a set of guidelines known as the Insolvency and Bankruptcy Board of India (Insolvency Professionals) Regulations, 2016. These rules cover the eligibility, registration and behaviour of insolvency professionals.

In the case of the Committee of Creditors of Essar Steel India Limited v. Satish Kumar Gupta and Ors. (2019), the Supreme Court ruled that the role of the resolution professional is not that of a judicial authority. Instead, they serve as a facilitator, for gathering and verifying the creditor’s claims. In addition to their other responsibilities, the responsibility of a resolution professional also includes creating the Committee of Creditors (CoC), scheduling and conducting committee meetings, inviting resolution proposals, and presenting them to the committee for their consideration and approval. The court emphasised that it is essential for the resolution to ensure that the resolution plan is comprehensive in all aspects. They are required to conduct a due diligence report and submit it to the committee to ensure compliance with the requirements during the resolution process. It was made clear by the court that the resolution professional does not possess any powers; they cannot independently reject any claim or resolution plan. Their actions are limited to following the instructions given by the Committee of Creditors.

Insolvency professional agency

According to Section 3 sub-section 20 of the IBC, 2016, “insolvency professional agency” means a person who has been registered with the IBBI as an insolvency professional agency (IPA).

In other words, the IPA is registered with the IBBI as a Section 8 Company. Their primary function is to regulate and enrol insolvency professionals, ensuring that insolvency professionals maintain high standards of ethics and professionalism.

As per Section 208 of the IBC Insolvency Code, professionals are required to follow all the rules and regulations set by the IPA they belong to. There are several IPAs in India, such as the ICSI Institute of Insolvency Professionals, and the Indian Institute of Insolvency Professionals of ICAI. These agencies ensure that insolvency professionals follow the necessary standards and guidelines while handling insolvency cases.

Interim resolution professional and resolution professional

In the initial stages of the corporate insolvency resolution process (CIRP), the National Company Law Tribunal (NCLT) appoints an interim resolution professional (IRP) within 14 days from the insolvency commencement date to oversee the management of the debtor’s affairs. The main tasks of the IRP include taking control of the debtor’s assets and forming a committee of creditors within 30 days of the commencement of the CIRP.

As per Section 22 of the IBC, the CoC holds its first meeting within 7 days of its constitution. In this meeting, a Resolution Professional (RP) is appointed by the committee of creditors. The CoC can either appoint the IRP as a resolution professional or appoint a different person as a resolution professional. In the meeting of COC If 66% or more votes are in favour of appointing IRP as a resolution professional, then IRP becomes a resolution professional. The Resolution professional (RP) takes charge of managing the debtor’s affairs, verifying claims made by creditors and inviting resolution plans from applicants. Additionally, it is also their responsibility to ensure that any resolution plan approved by the committee is implemented efficiently and within a timeframe.

Role of insolvency resolution professionals

Insolvency Resolution Professionals are individuals appointed to oversee and manage the process of resolving insolvency. Their role is crucial, in ensuring a transparent and efficient insolvency resolution process. They have responsibilities and duties outlined in the Insolvency and Bankruptcy Code, 2016 (IBC). The responsibilities of the IRP and RP are outlined in Section 18 and Section 25 of the Insolvency Bankruptcy Code. The responsibilities are the following:

  • They are responsible for gathering detailed information about the debtor’s assets, finances, and operations.
  • They are responsible for protecting, monitoring, and safeguarding the assets of the corporate debtor.
  • After the public announcement, they must collect and collate claims submitted by creditors.
  • They are responsible for representing the corporate debtor.
  • They are responsible for raising interim financing within the limits specified by the Committee of Creditors (CoC).
  • They are responsible for inviting potential resolution applicants who meet the set criteria of the CoC.
  • They are responsible for collecting all the information and filing it with the information utility.
  • They are responsible for keeping an updated list of claims and also for verifying and maintaining it.
  • They must disclose the cost of the insolvency resolution process and appoint legal professionals, accountants, and other experts.
  • They must present resolution plans in front of the CoC and submit the approved resolution plan to the NCLT.
  • They are responsible for any other such duty as prescribed by the IBBI.

In the case Victory Iron Works Ltd. vs. Jitendra Lohia (2021), the Supreme Court has held that the rights of a corporate debtor in assets licenced to third parties can be taken over by a resolution professional. The Court has stated that under Section 18 of the IBC, assets that belong to one party but are held by a corporate debtor through contractual agreements are not considered assets. However, it’s important to note that this exclusion does not apply to Section 25 of the IBC. This means that while assets owned by a party and held under arrangements may not be classified as assets per Section 18 of the Insolvency and Bankruptcy Code, they are still considered assets under Section 25 of the IBC.

In the case of Santanu T. Ray vs. Tata Capital Financial Services Limited & Ors. (2021), NCLAT clarifies the responsibilities of a resolution professional in the insolvency and bankruptcy process. The interim resolution professional or the resolution professional can verify all or part of the creditor’s claim or ask for evidence or clarification if required.

In the case of Rajputana Properties Pvt. Ltd. vs. Ultra Tech Cement Ltd. & Ors. (2018), the resolution professional must carefully review if the resolution plan adheres to the provisions. However, the RP cannot disclose this information to anyone, including the resolution applicant(s) who have submitted the resolution plan.

In the case of Binani Industries Limited vs. Bank of Baroda and Anr. (2018), the Court discussed the role of the Committee of Creditors (CoC) and the Resolution Professional (RP) in the CIRP process. It is emphasised that the authority to approve a resolution plan rests with the CoC, not with the RP. Furthermore, in cases where a plan is accepted but fails to address the demands of operational creditors (OCs), it is clarified that the RP cannot be deemed accountable for such an occurrence since they lack the authority to dismiss the plan.

Qualification and eligibility criteria for insolvency resolution professionals

As per Regulation 4 of the Insolvency and Bankruptcy Board of India (Insolvency Professionals) Regulations 2016, an individual can become a registered insolvency professional if he or she meets the following conditions:

  • The person must possess the necessary qualifications and experience.
  • The person must be an Indian resident.
  • The person must have no criminal record related to offences punishable by more than six months of imprisonment or offences of moral turpitude.
  • The person must be major in the eyes of the law.
  • The person must be of sound mind.
  • The person must be solvent.
  • The person should be proper and fit.
  • Every IPE is also subject to these requirements, IPE and its partners or directors must be fit and proper people to qualify to be insolvency professionals. 

According to Regulation 3 of the IBBI (Insolvency Resolution Process for Corporate Persons) Regulations, 2016, only if the insolvency professional and all the partners and directors of the IPA they belong to are independent of the corporate debtor are insolvency professionals authorised to act as an IRP or RP for CIRP.

To be considered independent of the corporate debtor, the insolvency professional must meet the following criteria:

  • He/ she must meet the qualifications to be appointed to the board of the corporate debtor as an independent director in CIRP.
  • The corporate debtor must not be a related party to the insolvency professional.
  • He/ she must not be affiliated with any audit, secretarial audit, or cost audit firm that has had dealings with the corporate debtor in CIRP, nor with any legal or consulting firm that has engaged in transactions with the corporate debtor that amount to 5% or more of the firm’s gross turnover in the past 3 financial years.

In the case of State Bank Of India vs Metenere Ltd. (2020), The appellant, State Bank of India, challenged the order of the adjudicating authority that rejected its proposal of appointing Mr. Shailesh Verma, an ex-employee of the bank, as the interim resolution professional for the corporate insolvency resolution process of the respondent, Metenere Ltd.

The NCLAT, New Delhi, upheld the order of the adjudicating authority and held that the appointment of Mr. Shailesh Verma as the interim resolution professional was likely to cause an apprehension of bias in the mind of the corporate debtor, as he had a long association with the financial creditor and was drawing pension from it. The tribunal observed that the interim resolution professional should be independent of both the financial creditor and the corporate debtor.

In the case of State Bank of India vs. Ram Dev International Ltd. (2018), the NCLAT held that the Committee of Creditors has the power to replace the RP at any time during the insolvency resolution process without recording any adverse opinion or reason for such replacement. The only bar for the appointment of a resolution professional is the pendency of a disciplinary proceeding or ineligibility under the Code. The NCLAT also held that the proposed resolution professional was not ineligible or interested, as he was neither an employee nor on the payroll of the bank, but only a panel lawyer. The NCLAT set aside the order of the NCLT.

Appointment of insolvency resolution professional

According to Section 16 of the IBC  process for the appointment of an interim resolution professional (IRP), the following :

  • In a situation where a company lacks the capacity to make payment of its dues, it can apply for an insolvency resolution process. In this process, an IRP is appointed by NCLT to help manage the company’s finances on a temporary basis. 
  • In the event that an operational creditor applies for this process and no IRP is proposed, the NCLT, after reviewing the recommendations from IBBI, will recommend an insolvency professional act as the IRP. 
  • The operational creditor has the right to propose the name of an IRP, given that there are no ongoing disciplinary proceedings against him/her.
  • In case the company itself or a financial creditor applies for this process, the IRP will be someone proposed by the company, given that there are no ongoing disciplinary proceedings against him/her.
  • The IBBI will suggest a skilled person to the NCLT within 10 days of receiving the order of the NCLT, given that there are no ongoing disciplinary proceedings against him/her. 

The tenure of the IRP will end when the CoC appoints the RP. 

According to Section 22 of the IBC, the process for the appointment of a resolution professional is the following:

Within 7 days of the formation of the CoC, it is imperative that the first meeting of the CoC take place.

  • The IRP can be designated as an RP or replaced by appointing another RP by the CoC.
  • In case the CoC decides to designate the IRP as an RP, then it will communicate its decision to the NCLT, RP, and other relevant parties.
  • In case the CoC wants to replace the IRP, they must apply to the NCLT for the appointment of a new RP. In the application, the written consent of the RP shall be attached.
  • After receiving the confirmation of IBBI, NCLT shall appoint the RP proposed by the CoC.
  • In case the confirmation is not received within 10 days, then the IRP will continue to act as RP until the confirmation is received.

In the case of Kairav Anil Trivedi, IRP of Parenteral Drugs India Ltd. vs. State Bank of India (Erstwhile CoC) & Anr. (2023), the NCLAT, New Delhi, has held that when the Committee of Creditors has not confirmed the appointment of Interim Resolution Professional, as per the provisions of  Section 22 of IBC, CoC has the appropriate power to replace IRP

Replacement of resolution professionals

According to Section 27 of IBC, the process for the replacement of resolution professional is the following:

  • RP can be replaced by the CoC at any time during the CIRP with a majority vote of 66%.
  • The CoC will propose the name of the new RP to the NCLT for approval.
  • After receiving the confirmation of IBBI, NCLT shall appoint the RP proposed by the CoC, given that there are no ongoing disciplinary proceedings against him/her.
  • In case any disciplinary proceedings are pending against the proposed RP, the present appointed RP will continue until another RP is appointed.

In the case of Partha Sarathy Sarkar vs. Specified Undertaking of Unit Trust of India Ltd. (SUUTI) & Ors. (2023) NCLAT, New Delhi held that under Section 27 of the IBC, the COC has the authority to replace the resolution professional if they are dissatisfied with their performance or behaviour. The resolution professional does not have the right to question or challenge the COC’s decision for replacement. His appointment is purely contractual and temporary so he does not possess any rights to continue in that role. The adjudicating authority doesn’t need to provide a hearing opportunity to the resolution professionals before approving their appointment. Additionally, Section 27 does not state that a notice is required to be issued to the resolution professional before deciding to appoint another resolution professional.

In the case of M/s Mahajagdamba Tubes Pvt. Ltd. vs. M/s Quality Steels Product Limited (2019), the National Company Law Tribunal (NCLT) in Allahabad ruled on a significant aspect of the Insolvency and Bankruptcy Code (IBC), 2016. The case centred around the replacement of a Resolution Professional (RP) in the corporate insolvency resolution process.

Section 27 of the IBC sets out the procedure for the replacement of an RP. It provides that the CoC, with the approval of at least 66% of the voting share, can pass a resolution to replace the existing RP with a new one. The issue before the NCLT was whether the replacement of the RP was complete upon the passing of the resolution or whether it required further steps.

The NCLT, in its judgement, held that the replacement of the RP is complete when the resolution is passed with the requisite majority of 66% votes of the CoC. The tribunal reasoned that the purpose of Section 27 is to ensure that the CoC has the power to remove an RP who is not performing satisfactorily or is not acting in the best interests of the creditors. The NCLT noted that the requirement of a 66% majority is a stringent one, which indicates that the legislature intended for the replacement process to be a deliberate and well-considered decision.

The NCLT’s ruling provides clarity on the procedure for replacing an RP and ensures that the CoC has the necessary authority to make this decision. It also helps to streamline the corporate insolvency resolution process by avoiding unnecessary delays and uncertainties.

Important sections of the Insolvency and Bankruptcy Code, 2016

The Insolvency and Bankruptcy Code (IBC) of India is landmark legislation that provides a comprehensive framework for the resolution of the insolvency and bankruptcy of corporate debtors. IBC aims to protect the interests of all stakeholders involved in the insolvency process, including creditors, debtors, employees, and the economy as a whole.

Section 7 of the IBC defines the grounds on which a creditor or debtor can file for insolvency resolution. These grounds include:

  • The inability to pay debts as they become due.
  • The existence of a default in payment of debts.
  • The commission of an act of insolvency, such as the transfer of property with the intent to defraud creditors.

Section 8 of the IBC provides for the appointment of an interim resolution professional (IRP) by the National Company Law Tribunal (NCLT). The IRP is responsible for managing the affairs of the corporate debtor during the insolvency resolution process. The IRP’s duties include:

  • Preserving and protecting the assets of the corporate debtor.
  • Preparing a preliminary assessment of the corporate debtor’s financial position.
  • Convening the first meeting of the committee of creditors.

Section 10 of the IBC provides for the constitution of a committee of creditors (CoC) to oversee the insolvency resolution process. The CoC is composed of financial creditors and operational creditors of the corporate debtor. The CoC’s powers and functions include:

  • Approving or rejecting the resolution plan.
  • Supervising the implementation of the resolution plan.
  • Taking decisions on matters related to the insolvency resolution process.

Section 12 of the IBC provides for the preparation of a resolution plan by the CoC. The resolution plan must specify the terms and conditions for the revival of the corporate debtor. The resolution plan may include measures such as:

  • Restructuring of debt.
  • Sale of assets.
  • Merger or amalgamation with another company.

Section 17 of the IBC provides for the approval of the resolution plan by the NCLT. Once the resolution plan is approved, it becomes binding on all stakeholders, including the corporate debtor, its creditors, and its employees.

Section 31 of the IBC provides for the liquidation of the corporate debtor if a resolution plan is not approved by the NCLT. Liquidation involves the sale of the corporate debtor’s assets and the distribution of the proceeds to its creditors.

The IBC is a significant piece of legislation that has had a major impact on the insolvency and bankruptcy landscape in India. It has helped to streamline the insolvency resolution process, reduce delays, and improve the recovery rates for creditors.

In addition to the above sections, the IBC also contains a number of other important provisions, including:

  • Provisions for cross-border insolvency: The IBC provides a framework for dealing with cross-border insolvency cases involving debtors with assets or creditors in multiple jurisdictions.
  • Provisions for individual insolvency: The IBC also provides for the insolvency of individuals, such as sole proprietors and partners in a partnership firm.
  • Provisions for pre-packaged insolvency resolution: The IBC allows for pre-packaged insolvency resolution, where the corporate debtor and its creditors agree on a resolution plan before filing for insolvency.
  • Provisions for fast-track insolvency resolution: The IBC provides for a fast-track insolvency resolution process for small and medium-sized enterprises (SMEs).

Recent development

As per a recent guideline issued by IBBI on December 8, 2023, The Insolvency Professionals to Act as Interim Resolution Professionals, Liquidators, Resolution Professionals and Bankruptcy Trustees (Recommendation) (Second) Guidelines, 2023:

  • Insolvency professionals are required to meet certain requirements to be included on the panel. The requirements are the following:
  • There should be no ongoing disciplinary cases against them.
  • They have not received a conviction from a court within the last three years.
  • They should express their interest and give consent to acting as IRP, RP, liquidator, and bankruptcy trustee.
  • They should hold an Authorisation for Assignment (AFA) that is valid until the end of the panel’s validity period; the validity period could be of a certain duration.

The President gave his assent to the Insolvency and Bankruptcy Code (Amendment) Act, 2021, on August 11th, 2021. The Act aims to amend the existing insolvency law. The main objective of the Act is to create a resolution mechanism that caters to financially struggling micro, small, and medium enterprises (MSMEs). Under Chapter III A of the Insolvency and Bankruptcy Code, 2016, this amendment act introduces a packaged insolvency resolution process, for corporate debtors. The Central Government has been granted authority to specify a default amount for matters related to this packaged insolvency resolution process. This specified minimum amount will not exceed Rs. 1 crore.

Conclusion

The role of insolvency resolution professionals is of utmost importance in ensuring the successful outcome of the CIRP process. These professionals, who are regulated by the IBBI, have responsibilities including identifying assets, forming the Committee of Creditors and formulating resolution plans. The government has been making efforts to strengthen the insolvency framework. This has been supported by recent legislative changes, such as the Insolvency and Bankruptcy Code (Amendment) Act, 2021. The appointment of IRPs follows a defined procedure that emphasises their competence and independence. Ultimately, IRPs play a role in maintaining a transparent system for resolving insolvencies while ensuring fair treatment for both creditors and corporate debtors.

References

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Blended families and step parenting : understanding the challenges and strategies

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This article has been written by Cressida Arora pursuing a Remote freelancing and profile building program from Skill Arbitrage.

This article has been edited and published by Shashwat Kaushik.

What is a blended family

A blended family or stepfamily, is a unit where two adults live with children they have had together or from their previous relationships. Unlike nuclear families, forming a blended family may be a challenging experience. For a couple, getting into a new relationship is exciting; however, kids may resist the change. Children may find this change uncertain, as living with step-parents and siblings may not be a pleasant experience. Blended families are increasing, which means that conventional family structure is a thing of the past. It is estimated that over 75% of divorced individuals remarry and 1 out of 3 Americans lives in a blended family in the US.

As the number is on the rise, understanding its challenges and how these can be tackled for its smooth functioning are discussed in this article.

Why are blended families created

There are various reasons for the creation of blended families. They are:

  • Separation: Blended families are formed when parents are separated and the new partner lives with the children from previous relationships as mutually agreed and discussed.
  • Need for companionship: Sometimes one may decide to marry a partner who has children from previous relationships. Even parents may like to stay with their children after getting separated from their partners.
  • Parental rights: In scenarios where a biological parent is unable to take up the responsibilities of raising children, they can take the help of another parent to raise a family.
  • Adoption: Adoption and making adopted children a part of the family unit will create a blended family.
  • Expansion of family: Couples after remarriage may have children with their new partners. This will form a blended family where children from previous relationships stay together. Blended families are formed when parents are separated and the new partner lives with the children from previous relationships as mutually agreed and discussed.

What are the challenges of a blended family

There may be multiple challenges as we navigate through the complex dynamics of a blended family and those are:

Conflict

The major crisis a blended family faces is conflicting roles. The identities get tangled in a blended family set-up. The age difference and conflicting roles can add to the complexity. Children who were staying with their biological parents may suddenly feel a lack of parental attention. Conflict may arise due to different value systems, lifestyles, parenting styles, etc.

Disagreement

Disagreement amongst family members over rules and regulations is another challenge faced by a blended family. Children may push back against different parenting styles and family routines. New family structure and strained relationships between separated parents can make them crumble

Sibling rivalry

In this type of family set-up, sibling rivalry can turn bitter, especially when children are of the same age. This may arise as children are constantly looking for parental care and affection. Children feel that their siblings are getting more time with their parents, which is a common scenario in blended families due to shared custody. The competition among siblings can become more complex and intensify.

Identity crisis

Kids may not identify step-parents as parents and resist the change as they take on the new role. They may not be able to replace them with biological parents. Many times, kids feel abandoned, as if they don’t fit into the new family. Children may feel they are not getting enough attention as the number of children increases

Giving equal attention

Because of its complex structure and size, it may not be possible for parents to give equal attention to all their children. Moreover, children may not like sharing biological parents with step-siblings. This may lead to aggression, depression and increased tension in the household.

Financial Issues

A Blended family can encounter financial problems as the family begins to live with children and step-children. With step-children and assets from previous marriages, it is important to strike a balance between protecting the interests of the current spouse and the inheritance of the children from earlier marriages. A large household has many expenses in the form of house rent, other bills, school fees, etc. Apart from this, divorce proceedings and legal issues can add to family expenses and parents have to work hard to meet both ends.

Problem with communication

It may not be a cakewalk to deal with communication issues in a blended family. There may be gaps in communication due to rivalry, conflict, etc. If these issues are not addressed early on in a blended family, it may lead to misunderstanding.

Adjusting to new roles

It may not be smooth for the new parents to get used to the new role. Initially, it involves understanding the family dynamics before taking on parental responsibilities. A blended family setup is complex and unique.

While children may constantly look for validation and acceptance, parents may have different views on various matters. Blended families need to adapt to new communication and problem-solving skills

Difference of opinion

Everyone in a blended family needs to have common ground. Everyone in a blended family needs to have common ground. Communication is the key and parents can sit down to discuss the plan to keep a united front. Setting boundaries and making adjustments can help build a harmonious relationship.

Parenting is like teamwork and can be worked on by agreeing on a common goal and approach. They should allow settling time for the children while coming together to live as a family unit.

Unrealistic expectation

Setting unrealistic expectations can help a blended family crumble. After getting married, couples expect their family to function like a traditional big family. They expect their partners to accept step-kids and vice versa. Unrealistic expectations can lead to disappointment and stress. The functioning of a blended family is different from that of a nuclear family. Accepting reality and building a strategy for its smooth functioning can help a blended family thrive.

What are the strategies to deal with these challenges

If steps are taken to resolve the challenges faced by a blended family, it can function as a cohesive unit, and balance can be restored.

Open and clear communication

Open communication is crucial to the successful functioning of a blended family. Communication should be respectful, devoid of any spiteful remarks and harsh comments. Each member of the family should have the freedom to express their views and concerns openly. Clear and open communication can help build trust and lead to fewer misunderstandings between parents and stepchildren. Poor communication may lead to uncertainty; therefore, it’s important to talk as much as possible

Having compassion for everyone

Parents need to see the situation from the point of view of their children. Every family member will have different needs and capability to accept a new situation. In a blended set-up, every member of the family is at a different stage of life and has different needs. So, Parents should take great care and accept differences when children are trying to adopt.

Make a plan

Parents should come up with a plan for the overall development of the children as the family merges. The plan should address the responsibilities of the children and the role of parents in their growth and development. Planning is also needed for managing financial matters and legal disputes, if any.

Understanding differences

Acknowledging the different backgrounds and influences of the past can affect the emotions of children. It will take time to chalk out a plan for how a blended family can handle communication, discipline, bonding and other important matters that may arise. Hence, understanding the basics of a blended family is essential for ensuring that it can embrace the strength and work on the differences

Discipline matters

One of the major challenges a blended family faces is maintaining effective discipline. If parents are inconsistent, then kids become insecure and confused. Disagreements often confuse children and they tend to manipulate and pit parents against each other. Partners must communicate about the style of discipline and rules that existed before. It is important to make a note of the basic rules and values that partners want to impart to the children. For example- rules regarding allowed screening, bedtime, honesty, taking responsibility, etc. The rules should be the same for everyone and children should know the consequences of breaking the rules.

No favouritism

In a step-family, there may be differences in the way biological children and step-children are treated. At times, some kids are more obedient than others for parents to favour. To be fair, parents often support their stepchildren; however, in a blended family, parents should have a fair approach without any bias. Any type of favouritism can be destructive to the psychological development of children.

Conclusion

The structure of a blended family is unique with Its set of challenges. Therefore, focusing on building a strong bond will help everyone sail smoothly. There might be a lack of trust and misunderstanding Initially, but willingness to work together, communication and a solid plan can go a long way in creating a bond. It may be time-consuming but if the challenges are taken care of, stepfamily can be rewarding because of its unique structure and diverse perspectives to relate to.

References

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A.R. Antulay vs. R.S. Nayak & Anr. (1988) : case analysis

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This article was written by Oishika Banerji and has been further updated by Shefali Chitkara. This article provides a legal analysis of the landmark case of A.R. Antulay v. R.S. Nayak & Anr (1988). The author aims to give a brief overview of the judgement, facts of the case, important issues raised, contentions made by the parties, and important points that were highlighted by the Court more clearly by referring to various judgements that followed the aforementioned judgement. Further, the author has tried to explore the aftermath and significance of the judgement. The author has also mentioned the legal viewpoints that were considered by the Court while delivering the judgement. 

This article has been published by Shashwat Kaushik.

Table of Contents

Introduction 

The case of A.R. Antulay v. R.S. Nayak & Anr. (1988) is one of the significant judgments in Indian legal history because it established that corruption cases that are tried by a Special Court cannot be referred to a High Court judge for a hearing. Despite much criticism, the Supreme Court of India was certain that justice had been delivered properly. This subsequently led several legal scholars to assert that the law was being hampered by human foresight.

Mr. Antulay, the appellant in this landmark case, was the then Chief Minister of Maharashtra, who resigned and left office on 20th January 1982, while the respondent, Mr. Nayak, was a political figure with political ties. The lawsuit centres on the appellant’s claim that his fundamental rights had been violated. A seven-judge bench of the Supreme Court had issued a landmark decision, stating that the ruling of the Constitutional bench of the Supreme Court violated Section 7(1) of the Criminal Law (Amendment) Act, 1952, as well as the appealing party’s fundamental rights under Articles 14 and 21 of the Constitution of India. This case is interesting to discuss because the Apex Court has provided a different perspective from which this case can be viewed. The three major legal viewpoints that are to be discussed in this article concerning this landmark case are:

  • Constitutional, 
  • Administrative, and 
  • Civil law perspective. 

This case is significant for the reason that there were serious allegations against the Chief Minister of Maharashtra that made him resign from his position in the year 1982 and this case further delved into the doctrine of separation of powers between the judiciary and the executive branch and established the doctrine of pleasure, which directs the removal of judges. 

Case details

Title of the case- A.R. Antulay v. R.S. Nayak & Anr. 

Case citation- AIR 1988 SC 1531

Court- Supreme Court of India

Coram of judges- Hon’ble Justice G.L. Oza, Justice Sabyasachi Mukherjee, Justice M.N. Venkatachaliah, Justice Ranganath Misra, Justice S. Natarajan, Justice S. Ranganatham, Justice B.C. Ray (7-judge bench)

Appellant- A.R. Antulay

Respondent- R.S. Nayak

Provisions involved- Articles 13, 14, 21, 32, 134, 136, 139, 141 and 142 of the Indian Constitution; Sections 161, 162, 163, 164 and 165 (now repealed) of the Indian Penal Code, 1860; Sections 374, 406 and 407 of the Criminal Procedure Code, 1973; Sections 6 and 7 of the Criminal Law (Amendment) Act, 1952; and Sections 5 and 6 of Prevention of Corruption Act, 1947 (now as Prevention of Corruption Act, 1988

Date of decision- April 29, 1988

The case which got overruled- R.S. Nayak v. A.R. Antulay (1984)

Historical background

A resolution was passed by the government of Maharashtra to establish the ‘Indigent Prisoner’s Fund’ for providing legal assistance to indigent prisoners. The fines that were imposed on the convicted persons were used to establish the said fund. This fund was managed by the Chief Minister of Maharashtra, who was the present appellant in this case, namely Mr. A.R. Antulay. In this case, the management of the fund was challenged by one of the members of the legislative assembly, the respondent in the present case, R.S. Nayak. According to him, the management of the said fund was unconstitutional. 

Facts of A.R. Antulay vs. R.S. Nayak & Anr. (1988)

The appellant, A.R. Antulay, has been the Chief Minister of the State of Maharashtra since June 1980. In September 1981, one of the members of the legislative assembly went to the Governor of Maharashtra under Section 197 of the CrPC, 1973 and Section 6 of the Prevention of Corruption Act, 1947, to get a sanction to file a case against the appellant. A complaint was also filed with the Additional Metropolitan Magistrate of Bombay under the offences of Sections 161, 165, 384, 420 read with Sections 109 and 120B of the IPC, 1860 and Section 5 of the Prevention of Corruption Act, 1947. The magistrate refused to take any cognizance of these offences, which led to the filing of a revision petition before the Bombay High Court. 

A similar complaint was filed by Mr. P.B. Samanth in the form of a writ petition under Article 226 of the Indian Constitution in 1981 against the emergency allotment of concrete in the state to the Indira Gandhi Pratibha Pratishthan Trust. The appellant was made the second respondent in this case. The learned Single Judge of the High Court passed the Nisi rule through a speaking order and made it to return on 23rd November 1981. Nisi rule is a court order that comes into force at a future date unless a cause is shown to the contrary. This order was made absolute in the later hearing. These allegations against the appellant regarding the abuse of power resulted in his resignation from the post of Chief Minister in 1982. 

Barrister Abdul Rahman Antulay (hereinafter referred to as “Mr. Antulay” or “appellant”) resigned as Maharashtra’s Chief Minister on January 13, 1982, after the Bombay High Court sentenced him to imprisonment for coercion. The Court found that Antulay had illegally bought Bombay region developers in exchange for more concrete than the quantity distributed by the government to Indira Gandhi Pratibha Pratishthan Trust, which was one of the few trusts he had set up and controlled. The Court eventually released him on bond. However, the Supreme Court later cleared him of the charge. 

A complaint was again filed with the Special Judge with few charges, including the claim which was rejected by the Governor. As a response to this, a process was issued to the appellant by the Special Judge, Sh. P.S. Bhutta. The appellant’s concern over jurisdiction was also dismissed by the Special Judge and he determined three Special judges to hear such cases of corruption. Sh. R.B. Sule was appointed as a Special Judge by the state government. The Special Judge discharged the appellant and stated that a member of the Legislative Assembly comes within the definition of ‘Public Servant’ under Section 21 of the Indian Penal Code, 1860 and no valid sanction was obtained for proceeding against him. An appeal was filed against this order under Article 136 of the Constitution of India on 16th February 1984 and the Constitution Bench of the Supreme Court ruled that a member of the legislative assembly is not a public servant under Section 21 of the IPC, 1860, thereby reversing the last order of the Special Judge. Rather than giving back the case to a Special Judge for disposition as required by law, the Hon’ble Supreme Court suo moto removed it from the Special Judge’s Court and transferred it to the Bombay High Court.

Issues raised in A.R. Antulay vs. R.S. Nayak & Anr. (1988)

The following three major issues were raised before the seven-judge bench of the Hon’ble Supreme Court:

  • Whether the directions given by the Supreme Court’s Constitutional Bench in February 1984 directing the transfer of the case from the Special Judge to the High Court violate Section 7(1) of the Criminal Law (Amendment) Act, 1952?
  • Whether the decision of the Constitutional Bench of the Supreme Court violates Articles 14 and 21 of the Indian Constitution and is inoperative, invalid and illegal?
  • Be that as it may, whether the Supreme Court should recall or set aside the decision in present proceedings and whether the same is within the purview of the powers of the Supreme Court or not? 

Contentions of the appellant in A.R. Antulay vs. R.S. Nayak & Anr. (1988)

The appellant party had claimed that he was forced to deal with bias without being given an opportunity to present any pleadings or contentions in front of the Court, which he claimed was an infringement of his fundamental right under Article 14 of the Indian Constitution. It was also contended that a litigant’s fundamental right to trial by a Special Judge under Article 21 of the Constitution was violated. The appellant further contended that the fundamental rights of equality and justice, which stipulated that no one should suffer from the brunt of technical faults, were blatantly infringed. The appealing party had also lost a few important rights, namely the ability to appeal to the High Court under Section 9 of the Criminal Law (Amendment) Act and the opportunity to appeal to the Supreme Court under Article 136 of the Constitution.

It was further contended that the principles of the administration of justice, namely, “Actus curiae neminem gravabit” (no one should suffer because of the acts of the Court) and that “the procedural technicalities can not overshadow the substantive justice” were also violated. 

This led to the violation of one of the principles of natural justice that encompasses three rights within it:

  • No person shall be a judge in his own case. (Nemo judex in causa sua)
  • Every person should be given the opportunity to be heard. (Audi Alteram Partem)
  • There should always be a reasoned decision. 

On the strength of the above mentioned principles, the appellant argued that he was not given an opportunity of being heard which led to the violation of the basic principles of law as well as his fundamental rights.

Contentions of the respondent in A.R. Antulay vs. R.S. Nayak & Anr. (1988)

The respondent argued that the High Court could withdraw the matter from the Special Judge under the Criminal Law Amendment Act by means of Section 407 of the Criminal Procedure Code in appropriate cases. 

It was further contended that the contention of the appellant that the transfer was done without giving them an opportunity to present the case is unacceptable. The appellant could have made his allegations through his advocate before the order was made or after the directions were given. Thus, there was no illegality in the order and the appellant did not use the opportunity through his own mistakes. 

The issue of whether the superior court had jurisdiction was debated and it was contended that the Court could not be held liable for such allegations unless it had behaved in a Coram non-judice (not before a judge) manner.

Relevant provisions involved

  • Articles 13, 14, 21 and 32 of the Indian Constitution, as contended by the appellant, for violating their right to be treated equally in the courts and right of trial under a Special Judge as per Section 7(1) of the Criminal Law (Amendment) Act, 1952.
  • Sections 374, 406 and 407 of the Criminal Procedure Code, 1973 which provide for the right to appeal in the Supreme Court to any person convicted on a trial and the power of the Supreme Court and High Court to transfer the cases under certain circumstances. This was also invoked by the appellants as favouring their point of contention.
  • Sections 161 and 165 of the Indian Penal Code, 1860 (which have now been repealed) stated that the public servant should not take remuneration from the general public more than what the government provides for and also should not obtain any valuable item without consideration and treated this offence as a cognizable and non-bailable offence.
  • Sections 6 and 7 of the Criminal Law (Amendment) Act, 1952, provided the state government with the power to elect as many Special Judges as required under the law.
  • Sections 5 and 6 of the Prevention of Corruption Act, 1947 (now Prevention of Corruption Act, 1988) provided for the punishment of criminal misconduct by the public servant while performing his official duty and previous sanction that is necessary to be obtained for the prosecution of any public servant.

Judgment in A.R. Antulay vs. R.S. Nayak & Anr. (1988)

The Supreme Court’s decision, in this case, was given by a 7 judge bench. The judgement was delivered by 4:3 in favour of the appellant. The Bench ruled in 1988 that the ruling of 1984 was unreasonable, unlawful, and unconstitutional under Article 21 of the Indian Constitution because Antulay’s right to use the appeal system was curtailed. The Apex Court stated that Section 406 of the Criminal Procedure Code, 1973 allows for the transfer of criminal cases by the Supreme Court. According to the law, the Court may send a specific case from one high court to the other high court, or from a subordinate criminal court to another criminal court of equivalent or upper-level jurisdiction. Subsequently, Article 407 provides for the power of the High Court to transfer cases. Further, Section 6 of the Criminal Law (Amendment) Act, 1952, gives the state government the power to appoint as many Special Judges as required and Section 7 focuses on the cases that are triable by the Special Judges. On the question of the validity of the transfer made by the Court, it was held that the order of transfer of cases to the High Court was not allowed by law and the Apex Court has no power to advise the High Court to take cases that do not fall under its jurisdiction. The Court also noticed that four valuable rights have been infringed upon by the directions of the Constitutional Bench of the Supreme Court:

  • The right of trial before the Special Judge as per the procedure established by law.
  • The right of revision before the High Court under Section 9 of the Criminal Law (Amendment) Act, 1952.
  • The right to appeal before the High Court.
  • The right to file special leave to appeal before the Supreme Court under Article 136 of the Indian Constitution by way of a second appeal.

The Court also noted that the directions were passed without observing the principles of natural justice and therefore reversed the judgement given in R.S. Nayak v. A.R. Antulay (1984). Furthermore, the majority opined that the writ of certiorari cannot be issued by a larger bench to quash the order of another bench of the Supreme Court. 

It was also observed that merely because a criminal trial has been pending for long against the Chief Minister, it cannot be grounds for the acquittal of the accused. An accused cannot demand his trial with the co-accused as a right. 

The Supreme Court lacks the authority to transfer cases to itself. Only the Parliament, by law, has the authority to create or expand the jurisdiction. The judiciary has not been vested with such power. It was also noted that the appellant had the fundamental right under Article 21 of the Constitution for a Special Judge’s trial under Section 7(1) of the Criminal Law (Amendment) Act, 1952, and the right not to suffer as a result of any judgement rendered by the Court in violation of natural justice. 

Legal viewpoints 

The Code of Civil Procedure, 1908 and its viewpoint

The case of A.R. Antulay v. R.S. Nayak & Anr (1988) is commonly referred to while studying Section 9 of the Code of Civil Procedure, 1908, which talks about the jurisdiction of the civil courts. The Supreme Court clarified in this case that the subject matter of jurisdiction of a court has obtained a legislative character, which is to say that the judiciary has no role in widening or narrowing its jurisdiction by itself.

The judiciary has the power to only interpret the laws and in doing so, it cannot modify the jurisdiction of a court. In this case, the consent of a court is not relevant, as the judiciary cannot surpass the legislative decision-making. Along with the power to create and increase jurisdiction, the legislature has also been given the power to confer a right of appeal or take away the same from any court. The Parliament alone has the power to do it under law and no court, whether superior or inferior or both combined, can modify the jurisdiction of the court or divest a person of his or her rights to go for revision and appeal.

Constitutional viewpoint 

The rule of law is at the core of our democracy, which means we need an independent judiciary and judges who can make decisions regardless of the political winds that are blowing. The other branches of the government, including the executive and legislative branches, must not obstruct the judiciary’s ability to do justice. Judges must be able to carry out their duties without fear of reprisal or favour. The primary aim of judicial independence is for judges to be able to settle a matter before them based on the law without being affected by any other element.

Though there is no clear provision in the Indian Constitution in relation to the separation of powers, the independence of the judiciary and the rule of law are fundamental characteristics of the Constitution that cannot be changed, as the Hon’ble Supreme Court observed in the case of S.P. Gupta v. Union of India (1962)

Article 50 of the Indian Constitution specifically mentions the independence of the judiciary, that is, the separation of the judiciary from the executive organ of the government. Although different compartments function with different roles in the parliamentary form of government, hardly can the executive and the legislature be distinguished from each other. What is interesting to note in this viewpoint, when put on the same plate as the present case, is that the determination of jurisdiction does not come under the ambit of judicial independence.

This is because the independence of the judiciary does not signify taking away the legislative power of law-making; instead, what it does mean is to interpret the laws made by the legislature in such a way so that a common man can understand the meaning of the same. Thus although the judiciary is supposed to be independent of the other two organs of the Indian government, it cannot determine its own jurisdiction.

Administrative perspective 

Article 12 of the Indian Constitution defines “State”. It states that the term ‘State’ includes the central and state governments, Parliament and legislatures, and all local or other authorities functioning under India’s government or Indian territory. Whether the judiciary is included in the broad term “State” is a significant question to be addressed in this context. The judiciary’s position under Article 12 is based on judicial and non-judicial decisions, whereby if the judiciary is deciding cases, it cannot be referred to as the State.

However, if it is performing non-judicial functions, it is included in the definition of State, because if the courts are completely exempt from the State, they will have unrestricted power to make laws that violate fundamental rights. This is backed by Article 13, which provides that any law that violates basic rights is unconstitutional, and since courts have the power to establish laws, this suggests that they are performing a State duty. Article 141, on the other hand, states that the Supreme Court’s decision is binding on all courts within India’s territory. As a result, the Supreme Court’s verdicts are unassailable, but the lower court’s decisions can be appealed if they infringe fundamental rights. 

The Supreme Court reaffirmed and ruled in Rupa Ashok Hurra v. Ashok Hurra (2002) that no judicial action could be deemed to violate any fundamental right. It was claimed to be an accepted legal position that superior courts of justice do not fall under the ‘State’ or ‘other authorities’ ambit as provided in Article 12. As a result, while courts execute administrative functions, they remain within the scope of the State’s definition and cannot infringe on citizens’ fundamental rights. But they do not fall under the definition of state when they make judicial decisions.

Therefore, it will be ideal to mention that the argument that the judiciary can expand or contract its jurisdiction while executing administrative functions will not hold much ground as the judiciary has not been vested with the law-making power that the legislature has inherited.

Important judgments referred

Gurcharan Das Chadha v. State of Rajasthan (1966)

There was an identical question in this case before the Supreme Court. The state government directed the trial to be done before the Special Judge of Bharatpur. The petitioner moved the Court for transfer to another state. The Court noted that Section 7 of the Act mandated the trial only by the Special Judge, which is an essential condition for trial under Section 6. Therefore, the Court held that it can transfer a case only from one Special Judge to another Special Judge but this position was limited to the power under Section 527 of the previous Code and is not a relevant precedent for the proposition that it cannot transfer to the Court other than a Special Judge Court or the High Court. 

Kiran Singh v. Chaman Paswan (1954)

To answer the question regarding the challenge to the directions of the Supreme Court to the larger bench of the Supreme Court, the Court observed the findings of this case, wherein it was held that a decree when passed without jurisdiction is nullity and its validity can be set up at any stage. A defect of jurisdiction strikes at the authority of the Court to pass any order. 

Raja Soap Factory v. S.P. Shantharaj (1965)

This case was regarding the jurisdiction of the High Court. It was held that “jurisdiction” means the scope of the power that is given to any court by its Constitution to try any case and it cannot be enlarged or extended because the Judge deemed it to be for an extraordinary situation. Therefore, the Court in the present case noted that the power to transfer any case conferred by Section 406 of the Criminal Procedure Code does not relate to the Special Court. This does not authorise the transfer from the Special Judge to the Supreme Court and then to any of the High Courts. 

Ledgard v. Bull (1885)

In this case, the Apex Court held that under Section 25 of the previous Civil Procedure Code, the superior Court was not able to make an order of transfer unless the court from which the transfer had to be made had jurisdiction over it. Similarly, in the instant case, under Section 407 of the present Code, the High Court cannot transfer to itself any proceedings under Sections 6 and 7 of the said Act. The Supreme Court, by transferring the case to itself, had not acquired a larger jurisdiction and the fact that the objections were not made against the directions cannot act as a waiver. 

Significance of the judgement in A.R. Antulay vs. R.S. Nayak & Anr. (1988)

  • The Supreme Court noted that it has no jurisdiction to suo moto direct transfer any case from the Special Court to the High Court for speedy trial. 
  • This case has established a significant principle regarding the management of funds by the government, subject to transparency, accountability and other constitutional provisions. 
  • The Court also focused on the established principles of separation of powers and rule of law under the Constitution of India by noting that the power of management of public funds lies with the legislature and not the executive.
  • The judgement has made a significant change in the Indian political system and provided for increased scrutiny of the funds by government officials.
  • The judgement has contributed to the growth of constitutional jurisprudence and good governance.
  • The Court also established that the “State” as per Article 12 of the Indian Constitution will include courts only when they are performing non-judicial functions and not while they are performing their judicial functions. 

Brief on the judgement of R.S. Nayak v. A.R. Antulay (1984)

The judgement in this case was given by a five-judge bench of the Supreme Court- D.A. Desia, R.S. Pathak, O. Chinnappa Reddy, A.P. Sen and V.B. Eradi, JJ. On similar facts as mentioned above, the Supreme Court in this case held that sanction for prosecution of a person who has committed the offence in the capacity of Chief Minister is not required. This is because the cognizance of such an offence was taken after he had ceased to be a Chief Minister, although he is still an MLA. The Court also stated that an MLA does not come under the definition of a public servant and, therefore, set aside the order of the Special Judge. MLA is not receiving his remuneration or salary from the government for performing any public duty. Therefore, he does not fall under the definition of “public servant” in Section 21 of the Indian Penal Code. However, the same was overruled in the case of P.V. Narasimha Rao v. State (CBI) (1998) wherein the Court held that an MLA has to be given the status of a public servant for the purposes of the Act, although there is an absence of authority who can give sanction for their prosecution. 

Important judgments which referred to the case of A.R. Antulay v. R.S. Nayak (1988)

There are various judgements that refer to the landmark decision in the case of A.R. Antulay v. R.S. Nayak (1988). A few of the important judgements are:

Asit Kumar Kar v. State of West Bengal & Ors. (2009)

Facts of the case

In this case, the All Bengal Excise Licensees’ Association filed a writ petition in Calcutta High Court challenging the policy of West Bengal of granting additional licences for foreign liquor, however, this was withdrawn. During its pendency, an interim order was passed, which stayed the grant of licences. Further, a contempt petition was filed wherein it was alleged that licences were granted in violation of the stay order but this petition was dismissed. Against this dismissal, a special leave petition was filed and the same was decided by the Court but the directions were given without hearing the persons whose licences were cancelled. A writ petition was filed as per Article 32 of the Constitution of India against the decision. 

Issues raised

  1. Whether the petition filed under Article 32 of the Indian Constitution will be treated as a review petition or a recall petition?
  2. Does the Supreme Court have the power to recall any matter that was passed without fulfilling the principles of natural justice?

Judgement given

The Supreme Court observed that no adverse order should be given against any party without giving them an opportunity to be heard. The Court noted the observation made in the A.R. Antulay v. R.S. Nayak case, in which it was stated that the violation of the principles of natural justice makes the act null. The Court also held that there is a difference between a petition under Article 32 of the Indian Constitution, a review petition and a recall petition. In a recall petition, the court is not obligated to go into the merits of the case but rather look at the matter that was finalised without allowing an affected party to be heard, and this petition was treated as a recall petition. Thus, the directions were recalled by the Supreme Court in this case. 

Khoday Distilleries Ltd. & Anr. v. Registrar General, Supreme Court of India (1995)

Facts of the case

In this case, a writ petition was filed before the Supreme Court as per Article 32 of the Constitution of India after the review petitions were rejected by the Court. The learned counsel for the petitioners submitted that the civil appeals were listed before the Constitution bench for directions and were not heard on merit. It was also stated that the judgement is, therefore, invalid for violating the principles of natural justice. To support the same, reliance was placed on the judgement of this Court given in the case of A.R. Antulay v. R.S. Nayak

Issues raised

  1. Can a writ petition under Article 32 succeed on the ground that civil appeals were decided on merits without giving an opportunity to be heard to the petitioners, rendering a judgement invalid for violation of principles of natural justice?
  2. Whether a decision rendered by the Supreme Court under Article 136 of the Constitution of India becomes final on the dismissal of the review petition?

Judgement given

The Court observed that the orders on appeal clearly showed that the petitioners were given an opportunity to file written submissions on which reliance was sought to be placed on the merits. The same submissions were also answered while rejecting the review petition. Thus, the case of A.R. Antulay had no application in this case. The Court highlighted that the case of Antulay does not hold that any decision, even after attaining finality, can be reopened under Article 32 of the Constitution of India. 

Conclusion 

When the Supreme Court handed down this verdict in 1988, it drew criticism from observers, notably legal professor Upendra Baxi, who believed that India’s anti-corruption legislation protected the guilty. The Court, on the other hand, believed that “finality is fine, but justice is better.” In this instance, the principle of Ubi jus ubi remedium, which states that if a person’s legal rights are violated, he has the right to seek redress in a court of law, has been applied. It is important to remember that judges and judgments play an important role and should not be skewed in any way. As a result, technical faults or ideological differences should not be reflected in judgments, if they are, our fundamental rights will be violated.

Before the present judgement, there was no awareness within the judicial system regarding the nature of the jurisdiction of the Special Courts. However, it has been specified in this judgement that corruption cases cannot be transferred by the Supreme Court from the Special Courts to the High Court. In 2014, in Subrata Roy Sahara v. Union of India, the Supreme Court found the present case to be a precedent that is not relevant and should be used only in consideration of the facts and circumstances of each case. However, it was one of the most prominent corruption cases in Indian history that established that no attempt to weaken the separation of powers between the three organs could survive. 

Frequently Asked Questions (FAQs)

How many judges decided this case and by what ratio?

A.R. Antulay v. R.S. Nayak was a 7-judge bench case and was decided by 4:3 in the favour of the appellant. 

What was the main ratio of the judgement?

The Court held that corruption cases are to be tried by the Special Judges and such cases cannot be transferred from the Special Courts to the High Court.

Which rights of the appellants were violated?

The petitioner had contended that there was a violation of his fundamental rights as given under Articles 14 and 21 of the Indian Constitution and his other rights like the right to appeal.

Is an MLA a public servant?

Yes, MLA is a public servant under Section 21 of the Indian Penal Code as per the judgement of P.V. Narasimha Rao v. State (1998)

Who has the authority regarding the jurisdiction of the Courts in India?

Only the Parliament has the authority to extend or limit the jurisdiction of the Courts and no Court has the power to do so. 

Can a writ of certiorari be given by a bench of the Supreme Court to quash the order of another bench?

No, this writ cannot be issued to quash the order of one bench of the Supreme Court by another bench.

Which judgement was reversed in the present case?

The judgement given by a five-judge bench in the case of R.S. Nayak v. A.R. Antulay (1984) was reversed by a seven-judge bench of the present case.

What was held in the case of R.S. Nayak v. A.R. Antulay (1984)?

A five-judge bench in this case held that an MLA is not a public servant, therefore, no sanction is required to be taken for prosecuting any MLA. 

In which case did the Court hold that an MLA comes under the definition of a “public servant”?

The Court in the case of P.V. Narsimha Rao v. State (1998) held that an MLA is a public servant under Section 21 of the Indian Penal Code.

Are Courts included within the definition of “State” under Article 12 of the Constitution of India?

Courts do not come under the definition of “State” while performing judicial functions. However, they are considered to be a “State” when they are performing administrative and non-judicial functions. 

Under which provisions do the Supreme Court and High Courts have the power to transfer cases?

Under Sections 406 and 407 of the Criminal Procedure Code, the Supreme Court and High Courts have the power to transfer cases. 

Can the corruption cases be transferred?

The present case laid down this rule that no corruption cases can be transferred to any High Court or Supreme Court from the Special Courts. 

Which essential principles were considered by the Court while delivering the judgement in this case?

The Court considered the doctrine of separation of powers among the three organs and the rule of law while noting that the power of management of public funds lies with the legislature and not the executive.

Who gave the doctrine of separation of powers and which Article talks about the same?

Montesquieu, who was a French judge and a political philosopher, gave the theory of separation of powers and the same is enshrined in Article 50 of the Constitution of India.

Who propounded the principle of ‘rule of law’? 

A.V. Dicey propounded the principle of the rule of law. He defined it as the absolute supremacy or predominance of the regular law as opposed to the influence of arbitrary power and excluded the existence of arbitrariness or even of wide discretionary authority on the part of the government. 

References

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Section 375 IPC punishment 

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This article is written by Kaustubh Phalke. The article exhaustively covers the punishment for rape. The article attempts to explain the meaning and scope of rape and the types of rape. It also deals with the punishment of rape in other countries.

This article has been published by Shashwat Kaushik.

Table of Contents

Introduction

Violence against women or any person in any form is a violation of Article 21 of the Constitution of India which guarantees a person the right to live a dignified life. People, especially women face such violence in different forms, the most recorded and brutal crime being ‘rape’.

A verse from Manusmriti is well-taught and followed in the culture of India is “यत्र नार्यस्तु पूज्यन्ते, रमन्ते तत्र देवता:” which means where women are worshipped and respected, there resides God. Indian culture has been worshipping women in every form for ages. However, it is very distressing to see that according to the NCRB Report 2023, the crime against women showed a troubling increase of 4% in India.

Rape not only breaks the victim physically but emotionally as well. It leaves them with deep trauma till their last breath. Many rape survivors commit suicide because of such post-rape traumas. Rape shatters the victim into pieces and it takes years to rebuild their courage to re-live their life normally and delightfully.

Section 375 IPC : meaning of rape

According to the Black’s Law Dictionary, rape is the “unlawful carnal knowledge of a woman by a man forcibly and against her will”.

Rape in India is defined under Section 375 of the Indian Penal Code, 1860 (hereinafter referred to as IPC). it is a cognisable offence i.e., the police can directly arrest the person who has committed this crime.

Rape in India need not be complete sexual intercourse. Mere penetration is sufficient to constitute the offence of rape. 

The essentials of Section 375 IPC after its amendment in 2013, are as follows:

  • As per clause (a) of the provision, the offence of rape is said to be committed when a person penetrates his penis, to any extent, into the vagina, mouth, urethra or anus of a woman.
  • As per clause (b) of the provision, the offence of rape is said to be committed when a person penetrates any object or a part of the body that is not a penis, to any extent, into the vagina, mouth, urethra or anus of a woman.
  • As per clause(c) of the provision, the offence of rape is said to be committed when a person manipulates any part of the body of a woman so as to cause penetration into the vagina, urethra, anus or any part of the body of such woman.
  • As per clause (d) of the provision, the offence of rape is said to be committed when a person applies his mouth to the vagina, urethra, and anus.

To constitute the offence of rape, this intercourse should be under any of the following below-mentioned seven circumstances:

  • Against her will.
  • Without her consent.
  • With her consent obtained by putting her under the fear of death or hurt or putting some other person in whom she’s interested, in fear of death or hurt.
  • With consent when the man knows that he is not her husband but making her believe to be lawfully married to that person.
  • Consent is given by the reason of unsoundness of mind, intoxication or under the influence of any stupefying or unwholesome substance.
  • With a woman under 18  years of age, with or without consent.
  • When she is unable to communicate her consent.

It is pertinent to note the following points: 

  • The vagina includes the labia majora.
  • The meaning of consent for the purpose of this provision refers to the unequivocal voluntary agreement when the woman, by words, gestures or any form of verbal or non-verbal communication, communicates a willingness to participate in the specific sexual act.
  • The consent will not be regarded only on the fact that she has not resisted the act of penetration.

The exceptions of this provision are the following:

  • A medical procedure or intervention shall not constitute rape.
  • Sexual intercourse by a husband with his wife is not rape. The wife in this condition must be above 15 years of age.

Penetration is said to have taken place once the male organ has penetrated the woman. Rupturing of the hymen and seminal emission is not a requirement and rather irrelevant.

Categories of rape in India

Understanding the categories of rape is important before diving into the punishments given for the abuse against the woman in India. The following are the categories of rape in India:

Statutory rape

The rape of a woman below 18 years of age is known as statutory rape. As per Section 375, the consent of the minor is immaterial to constitute an offence of rape. This was done to protect the children and minors from sexual exploitation. Prior to the Criminal Amendment Act 2013, a person below the age of 16 was considered a minor as opposed to the current threshold of 18 years of age.

A special gender-neutral law Protection of Children from Sexual Offences Act was enacted in the year 2012 to deal with cases of sexual abuse with children irrespective of their gender. The definition of a child according to this Act is any person below 18 years of age.

A disturbing trend was observed before the formulation of POCSO i.e. non-reporting of sexual assault on minors. This problem arose because there was no such law that imposed an obligation to report such incidents to the juvenile justice board or special juvenile police unit (commonly known as S.P.J.U). These two organisations specifically deal with offences against children. Reporting of offences against children has now been made mandatory under the POCSO. This puts an obligation upon the person having knowledge of any offence against a child to report to the concerned authorities; on failure to report the same will result in 6 months of imprisonment and fine to such person.

Incestuous rape

Incestuous refers to forceful sexual intercourse by a close relative. It is a blatant betrayal of trust by the relative. Incestuous rape, like any other form of rape, often leads to deep mental trauma and cases of suicide and honour killing.

There are certain relations that are really very pious and serene such as father-daughter, mother-son etc. Cases of incestuous rape disgrace such relations. These are irreparable in nature and leave a trauma on the victim for the rest of life.

There are many cases wherein relatives, who are in close proximity of the victim, make them their prey, which leaves a long-lasting negative impact and inflicts trauma on them. Such victims rarely are allowed to approach the court of justice because of the stigma attached to it as well as the obvious appalling nature of such a crime. Generally, such victims are minors or teenagers and ultimately fall helpless under such circumstances.

Both females and males undergo such offences which go unrecorded and unobserved. 

The IPC which is a substantive law of India gives no mention of any word or punishment for offences like incestuous rape. This is a notable legal lacuna of the Indian justice system.

In the famous case of Lokesh Mishra Vs. State of NCT of Delhi (2010) the Delhi High Court stated in this case of incestuous rape, that the change would not merely come from increasing policing, giving harsher punishments, etc. The required change lies in upgrading the moral values inside all of us and imbibing an essential value that women are not objects of sexual gratification.

Brutal rapes

Brutal rapes as suggested by the name are those cases in which the body of the victim is grievously harmed or disfigured the body and has endangered the life of the person. Such cases often leave the victim in a vegetative state or lead to death.

Marital rape

This is a kind of rape when a man forcefully seizes a woman who is his wife to have intercourse with him. This is done by threatening to use force or using force under circumstances when the woman is not in a position to have intercourse.

According to exception (2) of Section 375 IPC, sexual intercourse or sexual acts by a husband with his wife is not considered to be rape if the age of the wife is more than 15 years. Marriage is often presumed to be an automatic consent to cohabit and engage in sexual intercourse and hence is not considered rape. No provision in India adequately recognizes a crime such as marital rape. This is a point of major concern.

Section 376B of the IPC grants special legal protection to the wife living separately from her husband. The Protection of Women from Domestic Violence Act, 2005 and Section 498A of the IPC also provide remedies to a certain extent.

Custodial rape

Rape by a person in authority is known as custodial rape. 

Clauses a,b,d,e,f & k of Sections 376(2) of the amended IPC deals with custodial rape.

Sub-section (2) of Section 376 deals with the punishment for the following persons:

(a) A  police officer who commits rape in any of the following instances:

(i) Within the limits of the police station to which such a police officer is appointed.

(ii) In the premises of any station house.

(iii) With a woman who is in the custody of such police officer or his subordinate 

(b) A public servant who commits rape on a woman in his custody or in his subordinate’s custody 

(d) Any personnel who commits rape on any inmate of jail, remand home, place or institution and the person belongs from the management or on the staff of a jail, remand home or other place of custody established by or under any law for the time being in force or of a women’s or children’s institution.

Any person in the management or on the staff of a hospital.

(f) Any person who is related to the victim in the following relations:

  •  A relative.
  • A guardian. 
  • A teacher.
  • A person in a position of trust or authority.

(k) If the offender is in a position of control or dominance over a woman, commits rape on such a woman.

The above-mentioned persons shall be punished with rigorous imprisonment for not less than ten years which may extend up to life imprisonment. Life imprisonment shall mean imprisonment for the rest of his natural life and he shall also be liable for fine.

Custodial rape attracts a higher level of punishment as the perpetrator in such cases is the person who misuses his authority to commit rape against the woman.

Gang rape

When a woman is raped by more than one person who shares a common intention and thus constitutes a group, such act is known as gang rape. Each person who is a part of such a group is charged with the offence of rape.

Common intention is mentioned under Section 34 of IPC. It refers to the prior meeting of minds to do some act together. Every person who constitutes the group in the case of gang rape is held guilty of the same offence irrespective of whether he has committed the offence individually or not. Hence, complete proof of rape by each person is not required in the case of gang rape. 

Rights of rape victims

Following are the rights of the rape survivors as per the different laws in India:

Right to zero FIR

Zero FIR is a concept in criminal law according to which the victim can lodge an FIR in any police station irrespective of the fact whether it has the jurisdiction or not. The FIR is then transferred to the police station having jurisdiction for taking cognizance and starting an investigation. The concept of FIR came after the famous Nirbhaya case.

Free medical treatment to the victim

As per Section 357 of CrPC, no government or private hospital can charge fees for the treatment of the victims. They shall immediately provide first aid to the victim for free. A new proviso was added to Section 166B of IPC after the Criminal Amendment Act, 2013 for punishing those in charge of the hospitals for refusing free-of-cost treatment to the victims of rape. The punishment is imprisonment for up to one year or a fine or both.

No two-finger test during medical examination

In the case of Lillu Alias Rajesh and Anr. Vs State of Haryana (2013), the Supreme Court stated that the two-finger test during medical examination violates the right to privacy, integrity and dignity of the victim and thus, the Court condemned the use of such test to identify the cases of rape.

Right of compensation of the victim

As per Section 357A of CrPC, victims of rape are entitled to adequate compensation. The objective behind providing compensation to the victim is to aid them in their recovery and treatment. The amount of compensation depends upon the gravity of the case and factual circumstances. The compensation is paid out of the state victim compensation fund. These compensations are used for the proper rehabilitation of the victim. These compensations are provided to the victim regardless of the fact that the accused has been found guilty of the offence or not.

Free legal aid for victims

The victims of the rape are given free legal aid who are not capable enough to pay their own expenses of private legal defence. The victims who cannot afford a private legal defence are assisted by the National Legal Service Authority commonly known as NALSA. This institution provides assistance for trial, investigation and appeals. Victims can approach also specially trained women officers for their cases.

Section 376 IPC : punishment for rape 

Rape is a life-threatening offence against women and the State as well. It creates a sense of fear amongst all the women to reside with a sense of security in society. Hence, the punishment for the offence like rape or sexual abuse against women should be exemplary.

Punishment for rape committed under Section 375 of the IPC is given under Section 376 of the IPC. The punishment prescribed under sub-section (1) of this provision is rigorous imprisonment which shall not be less than ten years which may extend up to life imprisonment and shall also be liable to fine.

Sub-section (2) of Section 376 deals with the punishment for the following persons:

(a) A  police officer who commits rape.

(i) Within the limits of the police station to which such a police officer is appointed.

(ii) In the premises of any station house.

(iii) With a woman who is in the custody of such police officer or his subordinate 

(b) A public servant who commits rape on a woman in his custody or in his subordinate’s custody 

(c) if the offender is a member of the armed forces deployed in an area by the Central or a State Government committing rape in such area.

(d) Any personnel who commits rape on any inmate of jail, remand home, place or institution  and the person belongs from the management or on the staff of a jail, remand home or other place of custody established by or under any law for the time being in force or of a women’s or children’s institution,

(e) if the offender committing an offence under this provision is from the management or on the staff of a hospital.

(f) any person who is related to the victim in the following relations:

  •  A relative.
  • A guardian. 
  • A teacher.
  • A person in a position of trust or authority.

(g) Any person who commits rape during communal or sectarian violence.

(h) Any person who commits rape on a woman knowing her to be pregnant.

(j) Any person who commits rape, on a woman who is incapable of giving consent; or

(k) An offender is in a position of control or dominance over a woman, commits rape on such a woman.

(l) Any person who commits rape on a woman suffering from mental or physical disability.

(m) Any person who causes grievous bodily harm or maims or disfigures or endangers the life of a woman while committing rape.

(n) Any person who repeatedly rapes the same woman.

The above-mentioned persons shall be punished with rigorous imprisonment for not less than ten years which may extend up to life imprisonment. Life imprisonment shall mean imprisonment for the rest of his natural life and he shall also be liable for fine.

As per sub-section (3,), if someone commits rape on a woman of less than sixteen years of age, he shall be punished with rigorous imprisonment of not less than twenty years and which may extend to imprisonment for life. Life imprisonment shall mean imprisonment for the rest of his natural life and he shall also be liable for fine.

The proviso to this subsection states that the fine charged shall be paid to the victim and shall be just and reasonable to meet the medical expenses of the victim and her rehabilitation expenses.

Punishment for different categories of rape

Section 376A IPC defines the punishment for the person who has caused death or resulting persistent vegetative state of the victim. Punishment is rigorous imprisonment for not less than twenty years but which may extend to imprisonment for life and in some extreme cases, he may also be liable for the death penalty. Life imprisonment shall mean imprisonment for the rest of his natural life.

Section 376AB IPC defines the punishment for the person who has committed rape against a woman who is under 12 years of age. Punishment is rigorous imprisonment for not less than twenty years but may extend to imprisonment for life and with a fine and in some extreme cases, he may also be liable for the death penalty. Life imprisonment shall mean imprisonment for the rest of his natural life.

Section 376B IPC describes the punishment for a husband who has had sexual intercourse with his wife during separation. Punishment is imprisonment for not less than two years but which may extend to seven years and shall also be liable to a fine.

Section 376C describes the punishment for the offender who is in some authority over the victim. Punishment is rigorous imprisonment for not less than five years but may extend to imprisonment for ten years and shall also be liable to a fine. This provision deals with punishment in case of sexual offences not amounting to rape.

Section 376D describes what constitutes gang rape when one or more than one person constituting a group act in furtherance of a common intention to rape a woman. Punishment is a rigorous imprisonment for not less than twenty years but which may extend to imprisonment for life. Life imprisonment shall mean imprisonment for the rest of his natural life and with fine.

Section 376DA describes the punishment for the offender who has committed rape against a woman under 16 years of age. Punishment is imprisonment for life. Life imprisonment shall mean imprisonment for the rest of his natural life and with fine.

Section 376DB describes the punishment for the offender who has committed rape with a woman under 12 years of age. Punishment is imprisonment for life and a fine. Life imprisonment shall mean imprisonment for the rest of his natural life. In some extreme cases, he may also be liable for the death penalty.

Section 376E defines the punishment for repeated offenders under Section 376 or Section 376A, Section 376AB, Section 376D, Section 376DA, and Section 376DB. Punishment is imprisonment for life and a fine. Life imprisonment shall mean imprisonment for the rest of his natural life. In some extreme cases, he may also be liable for the death penalty.

Punishment for attempt to rape

The attempt to commit rape is also punishable under the IPC. The attempt to commit offences punishable with life imprisonment or other imprisonment is covered under Section 511 of IPC. If no express provision is made for the punishment of the attempt of the offence then the accused will be punished with imprisonment of half of the maximum term specified or a fine as specified for that offence. It prescribes imprisonment, which could be up to half of the maximum sentence allowed for life imprisonment or up to half of the longest term of imprisonment specified for that particular offence. Additionally, the punishment may include a fine as prescribed for the offence, or it could involve both imprisonment and a fine.

Sometimes the offence falls short of its completion because of some supervening circumstances but the accused shall be punished for attempting the commission of such crime.

In the famous case of Madan Lal v. State of Jammu & Kashmir, (1997) the Apex Court gave clarity on an attempt to rape. The facts of the case were that the appellant Madan Lal who was the headmaster in the present case forced a thirteen-year-old girl to have sex with him. An FIR was lodged against the headmaster under Section 376 and Section 511 of IPC. The Sessions Court acquitted the headmaster on the basis of the statements of the girl that there had been penetration into the vagina in-depth, but no traces of injuries were found on her hymen which made her story unbelievable.

The appeal was made to the High Court by the State against the impugned judgement of the Sessions Court. The High Court reversed the order of the Sessions Court.

The appeal was then made to the Apex Court which while holding the accused guilty of the attempt of rape observed that the major difference between the preparation and the attempt of rape is the higher degree of determination. It shows that the accused has gone beyond the stage of preparation. If the accused has gone beyond the stage of preparation for the offence of rape by undressing the girl and making her lie on the ground undress himself but fails to penetrate penis into her vagina then the case cannot be made out for merely outraging the modesty of a woman but under 376 of IPC read with Section 511 of IPC.

Protection of Children from Sexual Offences Act (POCSO), 2012

Brief of POCSO, 2012 

As mentioned earlier, before 2012, a high rise was seen in the cases of sexual offences against children that were unreported. Hence, the Protection of Children from Sexual Offences Act was enacted in November 2012 by the Ministry of Women and Child Development. This act is popularly known as POCSO. The POCSO has a wide ambit and covers all types of sexual abuse. The Act includes offences against children such as sexual harassment, sexual assault and child pornography.

The Act is gender-neutral in nature and covers offences against both female and male victims of sexual offences.

IPC is not gender-neutral in nature and also does not address offences against children such as sexual harassment, sexual assault and pornography. India is currently a signatory of the United Nations Convention on the Rights of the Child. The POCSO fulfils the requirement of the Convention and Article 15(3) of the Constitution of India by ensuring a child-friendly procedure for child victims right from the stage of filing the report.

Punishment under POCSO, 2012

Section 4 describes the punishment for committing a penetrative sexual assault on a child. Punishment is a minimum of 10 years imprisonment which can extend up to life imprisonment and shall also be liable to a fine. The person committing the same offence with a child below 16 years of age shall be punished with 20 years of imprisonment which can extend up to life imprisonment i.e., his natural life and shall also be liable to a fine.

Section 6 describes the punishment for committing aggravated penetrated sexual assault on a child, which is a minimum of 20 years of rigorous imprisonment which can extend up to life imprisonment as well as payment of a fine or with death penalty, in certain cases. Aggravated penetrated sexual assault refers to the offence committed by a certain specified category of persons such as sexual assault committed by a police officer, a public servant or any staff of a hospital.

Section 8 describes the punishment for sexually assaulting a child as a minimum of 3 years imprisonment which may extend up to 5 years of imprisonment as well as a fine.

Section 10 describes the punishment for committing aggravated sexual assault on a child as a minimum of 5 years imprisonment which can extend up to 7 years as well as payment of a fine. Aggravated sexual assault refers to the offence committed by a certain specified category of persons such as sexual assault committed by a police officer, a public servant or any staff of a hospital.

Criminal Law Amendment of 2013

Nirbhaya gang rape shattered the entire nation in 2012. There were protests and agitations nationwide and the nation was demanding amendments to the existing laws to fight against such monsters and prevent more such horrific incidents against women. Before that, the existing laws were not strict enough to fight such predators and provide protection to victims. Following this, a committee was set up to report the changes to be made in the existing laws to provide better protection to the victims and to prevent more such incidents. Retired Honourable Justice J. S Verma was appointed as the head of this committee. The focus was on gender justice and making the laws compatible with gender justice. The report was submitted on 23rd January 2013 based on which the Criminal Law (Amendment) Act,2013 came into force. Remarkable changes were made to the three criminal laws, namely:- The Indian Penal Code,1860, Code of Criminal Procedure, 1937 and The Indian Evidence Act,1872. Let us sail through the changes made to each act separately-

Changes in the Indian Penal Code,1860

  • A new provision was introduced under Section 166A of IPC to punish police officers who do not record FIR in cases of offences against women like rape. The punishment being rigorous imprisonment for not less than six months which may extend up to two years and shall also be liable to fine.
  • A new proviso was added to Section 166B of IPC for punishing those in charge of the hospital for refusing free-of-cost treatment to the victims of rape.
  • The definition of rape under Section 375 of IPC was broadened and included acts other than forceful sexual intercourse. The definition included forcible penetration by a man of his penis or any part of his body or any object into the vagina, mouth, urethra or anus of the woman or making her do so with some other person. Manipulation of any part of the body of a woman so as to cause penetration into the vagina, urethra or anus of a woman or making her do so with him or any other person and applying his mouth to the vagina, anus or urethra of a woman or making her do so with him or any other person.
  • The definition of consent in the explanation under Section 375 of IPC signified agreement by the woman through words, gestures or verbal or non-verbal communication. The definition of consent now clearly states that a woman’s silence or absence of denial could not be understood as consent to the sexual act.
  • The age of consent under IPC was raised to 18 from 16.
  • The ambit of Section 376(2) was expanded to include personnel of armed forces for committing rape which were deployed by the Central Government or state governments. The rape of women under 16 years of age was considered to be of an aggravated form. It enhanced the punishment to be awarded for it.
  • The Amendment Act deleted the provision regarding the judicial discretion used by the courts to impose a reduced sentence than the minimum sentence that could be offered for an offence.
  • Three provisions were amended which are as follows:
    • Section 376A – This provision stated the punishment of the death penalty for the person who has raped and caused the death of the victim or has left the victim in a persistent vegetative state.
    • Section 376D – The provision stated that when a woman is raped by more than one person who shares a common intention and thus constitutes a group is known as gang rape. Each person who is a part of such a group is charged with the offence of rape. Section 376D  IPC deals with the punishment of gang rape which is rigorous imprisonment for not less than twenty years which may extend to life imprisonment.
    • Section 376E – This provision talked about repeated offenders. The death sentence was added to the possible punishments along with imprisonment with parole.
  • Section 376C describes the punishment for the offender who is in some authority over the victim. This includes a man who seduces a woman to have sexual intercourse with him. This was added to prevent the abuse of the authority.
  • After the Amendment Act, the punishment for intercourse by a husband with a wife during separation without her consent was enhanced. The punishment was increased to at least two years of imprisonment which may extend to a maximum of seven years.

Code of Criminal Procedure, 1937

  • A special provision was added under Section 154(1) for recording FIR under the following provisions:
    • Sections 354 of IPC, relate to assault or criminal force to a woman with intent to outrage her modesty.
    • Sections 354A of IPC, cover sexual harassment and its punishment.
    • Sections 354B of IPC, which reads as assault or use of criminal force to a woman with intent to disrobe.
    • Sections 354C of IPC, which covers the offence of voyeurism.
    • Sections 354D of IPC, which covers the offence of stalking.
    • Sections 376 of IPC, which covers the offence of rape.
    • Sections 376A of IPC state the punishment for causing death or leaving the victim in a persistent vegetative state.
    • Sections 376B of IPC, covers forceful sexual intercourse by the husband with his wife during separation.
    • Sections 376C of IPC covers sexual intercourse by the person in authority.
    • Sections 376D of IPC, which cover the offence of gang rape and intercourse by the management or staff of the hospital.
    • Sections 376E of IPC, which covers the punishment for the repeated offenders of rape.
    • Section 509 of IPC, covers the act, gesture or word intended to insult the modesty of a woman.

The amendments made were that the information of commission of any such above-mentioned offence must be compulsorily recorded by a woman police officer.

If the victim gets permanently or temporarily mentally or physically disabled, then information regarding the commission of the offence should be recorded at the residence of such victim or at any other convenient place of the victim’s choice. The information shall be recorded in front of the interpreter or special educator as required.

The act of giving information to be videographed and the statements under Section 164 CrPC given in front of the magistrate to be recorded as soon as possible.

  • A new sub-section (5A) was inserted into Section 164 which made it necessary to record the statements by the judicial magistrate as soon as it is brought to the notice of the police authorities for the offences covered under Section 354, 354A, 354B, 354C, 354D, 376 sub-section 1 and 2, 376A, 376B, 376C, 376D, 376DA, 376DB, 376E or 509 IPC.
  • An explanation was added to Section 197(1), which stated that it would not be necessary to seek prior sanction from the government to prosecute public servants for any offence of sexual abuse. Section 197 was introduced to prevent malicious prosecutions of a public servant for the discharge of their duties but discharging duties gives no excuse of any sexual abuse by the public servant and hence, the amendment was made.
  • Section 309 was modified and a proviso was added which stated that inquiry and trial of offences under Section 376, 376A, 376AB, 376B, 376C,376D, 376DA, 376DB of the Indian Penal Code must be completed within two months from the date of filing of chargesheet.
  • Section 357C was added to make sure that all kinds of hospitals whether private or public provide free medical aid to the victims of offences covered under Sections 376A to 376E.

The Indian Evidence Act,1872

  • Section 53A was added to this act which dealt with “evidence of character or previous sexual experience”. Previous sexual experience and character of victim were made irrelevant i.e., the prosecution cannot use these two factors to answer the question of consent given by the victim.
  • Section 114A was substituted which now stated that in a prosecution for rape under clauses (a) to (n) of section 376(2) IPC, the court shall presume that rape has been committed on the woman if the woman merely states that she has not given consent and sexual intercourse by the accused is proved.
  • The proviso of Section 146 was substituted. The new one stated that the victim shall not be permissible to adduce evidence or to put questions in the cross-examination of the victim as to the general immoral character or previous sexual experience of such person with any person for proving such consent or the quality of consent.

Punishment for rape in neighbouring countries

Pakistan

The offence of gang rape, rape and molestation are punishable by death in Pakistan. Assault and intentional display of a woman’s body in public is also punishable by death.

China 

The offence of rape in China is punishable by death or castration. Castration is a process by which the testicles of a man are removed.

Japan 

The punishment for the offence of rape in Japan is 20 years of imprisonment and in case of brutal rape, the offender can be punished with the death penalty.

Saudi Arabia

The punishment in Saudi Arabia for rape is a public beheading after administering the rapist with the sedative.

North Korea

The punishment for rape in North Korea is death by firing squad.

Afghanistan 

The punishment for rape in Afghanistan is hanging to death or a shot in the head.

Egypt 

It uses the traditional mode of punishing by hanging till death.

Iran 

The punishment for the offence of rape is death by hanging.

Important case laws

Tuka Ram and Anr v. State of Maharashtra (1978)

Facts of the case

The facts of the case were, that Mathura was a young orphan girl who lived with her brother Gama. She worked as a house help for Nushi. During that time she developed sexual relations with Ashok, Nushi’s nephew. Both were ready to marry each other. A report was filed by Gama regarding the kidnapping on 26, March 1972 and thereafter, all the concerned parties i.e., Ashok, Nushi and other relatives were called by the police. After recording their statements everyone walked out of the police station and Ganpat, the police head constable asked Mathura to stay back. He took her to the washroom and sexually assaulted her. Ganpat and his colleague took her behind the police station with the intention to rape her. His colleague was unable to commit the crime because of being in a state of intoxication. On coming back from the police station, Mathura narrated the story to her family. As per the medical examination reports, there were no marks of injuries on the body of Mathura and her hymen revealed old ruptures. Dr. Shastrakar who examined the victim advised to file an FIR for the same. The Supreme Court acquitted the accused in 1979.

Issues of the case

The issues of the case were the following:

  • Whether Ganpat and Tukaram are liable for the punishment of rape under Section 376 IPC?
  • Whether the minor can give consent for such an act?
  • Whether the girl consent to such an act or it was passive submission due to fear?

Judgment

Trial Court

The session judge passed an order of acquittal saying that the act does not fall under the category of rape but is consensual sexual intercourse. The unreasonableness of his logic, when he derived that Mathura was habitual to rape, might have invited Ganpat to satisfy her needs and therefore it was a contented intercourse. He justified the semen present on her clothes to be of some other person with whom she had intercourse other than Ganpat. The semen marks on the cloth of Ganpat were considered to be due to nightfall. The court seemed to be biased on the basis of gender.

 High Court

The High Court of Maharashtra held that the accused were strangers for Mathura and her brother had just filed a case in the same station so taking advances on such a stranger was very improbable. The Court said it was passive submission rather than consent. The absence of semen on the vagina and pubic hair was rightly justified by the Court. It stated that the examination was done 20 hours later and she must have taken a shower in the meantime.

The High Court convicted the accused.

Supreme Court

The Apex Court overturned the judgement of the High Court and acquitted the accused. The Supreme Court held that the case was of consensual sexual intercourse. Since the marks of injury were absent on her body which shows she did not resist the act at that time which shows her consent for the act.

All this shows that the court did not decide the case on merit instead, the court attacked the character of the victim. It is believed that Mathura was so habitual that she was unable to stop herself from having intercourse even when her brothers Gama, Ashok and Nushi were waiting for her outside the police station.

Mathura misidentified the exact accused during the test identification parade which went against her. The court on this misidentification deduced that if Mathura could have gone wrong with the identification, she could also have fabricated her testimony.

The Supreme Court acquitted both the accused stating that the intercourse happened with the due consent of Mathura.

The Mathura rape case is a prominent judgment, whose final judgment especially stirred outrage. The Supreme Court even took a sexist approach same as the session court. It kept a tunnel view by equating lack of resistance with consent. This was more of a character assassination of the victim. The judgement was very upsetting and disappointing, this was conveyed to the then chief justice of India through protests and letters by eminent jurists and citizens of India. This case had a long-lasting impact on the judiciary with regard to the language being used in the judgement by the apex Court and lower courts. 

Mukesh & Anr v. State (Nct Of Delhi) & Ors (2017)

Facts of the case

This case is popularly known as the Delhi gang rape case. On 6, December 2012, Nirbhaya, a 23 years old girl went to watch a movie with her friend. They were forced by one of the offenders to board a vacant bus at the Munirka bus stand. As the bus started moving they were attacked by a group of six men, one of them being a 17-year-old minor. The friend of Nirbhaya tried to protect and retaliate to the attack of offenders but was brutally beaten by them. The offenders sexually assaulted the girl and brutally raped her by inserting an iron rod into her body inflicting severe injuries. After such a heinous incident, both were thrown on the roadside in a serious vegetative state to die. The vehicles were passing by them and no one was ready to help them. It took long hours for the police to reach them. Nirbhaya fought for her life and died on December 29. The six men involved in this crime were convicted on the basis of the shreds of evidence available such as DNA, blood traces, etc. The defence contended that the accused were not present at the crime scene. The nation was demanding legal changes relating to sexual offences against women. The Criminal Amendment Act, 2013 was introduced to widen the scope of rape by including various forms of rape through various provisions. It brought attention to strengthening the laws relating to crime against women and enhancing the punishment to curb such heinous crimes and provide justice to the victims.

Issues of the case

The following issues were involved in the case:

  • Whether the offenders be punished with life imprisonment or death penalty?
  • Whether the minor should be given the same punishment or should be sent to a juvenile home?

Judgment

The Court regarded the case as the rarest of rare cases in which the death penalty should be awarded. The Apex Court stated that the act has shaken the common consciousness of the nation. As per the examination of pieces of evidence by the court, the presence of the accused on the bus was confirmed. The Court stated that the act is unforgivable and no mercy should be given in such cases. The Court punished the offenders with the death penalty by categorising the crime as the rarest of rare. The minor was sent to the juvenile home for three years and was not awarded the death penalty. 

Independent Thought v. Union of India (2017)

Facts of the case

The facts of the case were that Independent Thought is a child rights organisation that filed a writ petition before the Supreme Court for the public interest in 2013. The petition was regarding the constitutionality of exception (2) of Section 375 which is about sexual intercourse by a husband with his wife under 18 years of age. This marital intercourse was decriminalised irrespective of the age of the girl. The petitioners challenged that the rights of the married girl child between the ages of 15 and 18 are getting violated. In all other provisions regarding sexual offences, the age of consent was 18 years. The petition was filed to seek clarification and synchronisation of exception (2) with existing laws on child marriage and children’s rights.

Issues of the case

  • Whether the exception 2 of Section 375 maintains harmony with the main provision?
  • Whether exception 2 of Section 375 be declared unconstitutional?
  • Whether the intercourse by a husband with his wife who is between 15 to 18 years of age be considered as rape?

Judgement of the case

As per the Supreme Court, the child below 18 years of age is also entitled to protection of her human rights, she must be protected from any kind of violence and protect her right to live with dignity. The Supreme Court cited India’s 172nd Law Commission report as well. According to POCSO, 2012 engaging in any penetrative sexual assault by the husband is an offence. The age of consent was raised to 18 years by amending Section 375 through the Criminal Laws Amendment Act, 2013. Therefore exception (2) of Section 375 became violative of the main provision, objectives of POCSO and social welfare aims of Article 15(3). The Exception must be read as only sexual intercourse with a wife above 18 years of age is not rape. The Court held that the woman is entitled to the right to privacy irrespective of her character or sexual history.

Nipun Saxena and ors. v. Union of India (2019)

Facts of the case

The facts of the case are that the accused raped a woman and then killed her. The Bombay High Court then convicted him and granted him a sentence of death penalty. The news was spread in the media persons and they published the ins and outs of the case without hiding the identity of the victim. This became the point of concern and a writ was filed by the Petitioner to request the Court to issue guidelines in this regard.

Issues of the case

Following were the issues discussed in this case:

  • What should be the manner of the courts to protect the identity of the victim?
  • Under what circumstances the identity of the victim can be revealed?
  • Whether such circumstances be made applicable to POCSO as well?
  • What measures shall be taken in order to reduce the difficulties faced by the victims during reporting and investigation?

Judgement of the case

The judgment was divided into parts – the first one dealt with the victim of the offence of rape under IPC and the second part dealt with victims under POCSO.

For the first issue, the defence was advised to conduct the cross-examination while maintaining decency and respect for the woman at large. The court issued guidelines which are mentioned below. For the second issue, the Court stated“There may be certain documents in which her name will have to be disclosed; e.g., the power of attorney and affidavit(s) which may have to be filed as per the Rules of the Court”. The same rule of non-disclosure shall be applied with greater force in the case of minor victims.

The court issued certain guidelines regarding the issues mentioned above:

  1. The identity of the victim is to be kept confidential and not to be disclosed by any means.
  2. If the victim is of unsound mind or is a minor or dead then the identity of the victim is not to be disclosed even after the consent of parents or guardians.
  3. FIRs lodged under Sections 376, 376A, 376B, 376C, 376D, 376DA, 376DB or 376E of IPC and FIRs lodged under POCSO are not to be disclosed in any public domain.
  4. The identity of the victim is to be kept confidential in appeal under Section 372 of CrPC.
  5. The documents of the victim which can reveal the identity of the victim are to be kept under a sealed envelope by the police officials.
  6. The authority receives the victim’s name from the investigating agencies to keep it confidential except in a report that is to be sent to the court or investigating agencies through a sealed envelope.
  7. The identity under the cases of POCSO can be revealed only when the special court permits it for the benefit of the child.
  8. A request to permit the disclosure of the identity of the victim of unsound mind by the parents shall be submitted to the concerned session judge.

Suggestions

As per the author’s view, the punishment of crimes like rape must be effective in deterring such crimes rather than just being harsh. The judiciary has played a great role in finding solutions to provide justice in the cases of rape. Several laws protect the dignity of women but the State still lacks in the implementation of these laws. Though there have been progressive reforms in the laws there are still some lacunas such as consideration of marital rape, gender neutrality, etc which must be taken into account. The ambiguity and inconsistency of the judgements reflect the patriarchy that exists in our society. 

The problem of gender neutrality should be taken into account with immediate effect. This call for gender neutrality has gained considerable traction in recent years. The lack of legal recourse for male and transgender victims exacerbates their trauma and contributes to a culture of silence.

The punishment for rape in other countries like the USA, Pakistan, Saudi Arabia, etc is harsher than in India. This puts people in fear of punishment and hence curbs the offences like rape. Many countries have replaced the term rape with sexual offences, the punishment of which is based on the gravity of the offences. There are still different views regarding capital punishment for rape, some are against it while some favour it.

Conclusion

India is a country where women have been worshipped for ages but the paradigm seems to fade away these days. Rape is one of the most shattering crimes in society which puts a long-lasting negative effect on the entire society. Crimes like rape cut across all the barriers like religion, race, caste, etc. Society is currently failing at keeping itself safe. Education and awareness must start right from the root, the youth, who make up the future of the country.

Frequently Asked Questions (FAQs)

Which court has the power to conduct the trial in case of rape?

The Court of Session has the power to conduct a trial as given under Schedule I of CrPC.

Is the offence of rape a bailable or a non-bailable offence?

The offence of rape committed under Section 375 IPC and punishable under Section 376 IPC is a non-bailable offence. Non-bailable offence refers to a case in which bail cannot be granted as a matter of right. It is upon the court’s discretion whether to grant bail or not.

Which provision deals with the punishment of rape under Bhartiya Nyay Sanhita, 2023?

Section 64 deals with the punishment of rape under Bhartiya Nyay Sanhita, 2023. There are no changes with regard to the punishment in the new law.

References

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Effective corporate governance strategies that help the reputation of an organisation 

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This article has been written by Riya Puthran, pursuing a Diploma in Corporate Law & Practice: Transactions, Governance and Disputes course from LawSikho.

This article has been edited and published by Shashwat Kaushik.

Introduction 

In its Corporate Governance Review 2020, Grant Thornton concluded: “The best-performing companies are embracing governance activities, not as separate compliance needs but as business essentials that are fundamentally linked; risks to strategy, strategy to purpose, reward to what really matters to all.” A company or an organisation is said to be directed or managed by some rules or regulations laid down by its Board of Directors. Such a process of controlling a company’s overall activities is called corporate governance. The concept of corporate governance also pushes the narrative of ethical business practices. Companies that follow corporate governance can be said to have a good and trustworthy image in the market.

Importance of corporate governance

Companies that follow such practices become successful in creating a reputation for their company in the market. With their ethical business practices and transparency in transactions, they gain the trust of their shareholders, investors, employees, and customers. When a company has well-built corporate governance, it means that the interests of employees and shareholders are aligned with each other.

Benefits of corporate governance

There are numerous benefits to corporate governance. They are:

Risk identification

Corporate governance helps to identify and reduce risks by appointing personnel who keep a close eye on the transactions of the company and implement policies that identify the risks and take measures to minimise them.

Long-term sustainability

Corporate governance ensures the smooth functioning of the organisation. It helps to minimise financial losses that are likely to happen in the future and also promotes product efficiency. This results in the orderly working of the organisation in the long term.

Investor confidence

Corporate governance asks the board of directors to conduct meetings regularly, frame policies, and maintain transparency in transactions. This transparency helps investors understand what is happening in the company. Due to the lack of any secrets between the investors and the company, there is a high amount of trust between them.

Improved brand image

A company that discloses all of its transactions in front of its investors without any hesitation is bound to have a good reputation or brand image in the market. Such practices also lead to increased share prices for the company.

Corporate governance models

Anglo-American model

The Anglo-American model, also known as Anglo-Saxon, is usually practiced in the United States, the United Kingdom, Australia, and Canada. Variations of the above model can be seen in India, Malaysia, and China. It focuses more on the shareholders of the company by giving them various rights. The Board of Directors also plays a crucial role in framing policies and strategies. Usually, the Chief Executive Officer and Chairman of the Board are one single individual, but not in the case of the Anglo-American model, as it does not promote the concentration of all the power within a single individual. This model promotes transparency in the affairs of the company. Companies are required to provide proper information about their financial standing and everyday work to their shareholders so that they can make fair and practical decisions in the annual general meeting.

Continental-European model

This type of model is focused on stakeholder satisfaction rather than the satisfaction of just shareholders. The term stakeholders consists of employees, creditors, customers, etc. This model consists of two boards: a management board, which includes the insiders, i.e., the executives, and a supervisory board, which includes the shareholders. Any bank that holds a stake in the company can be a part of the supervisory board. The supervisory board directs or guides the management board. Countries like Germany or the Netherlands can be good examples of countries that follow the continental European model.

Japanese model

Similar to the Continental-European model, the Japanese model also focuses on the stakeholder approach. The fulfilment of stakeholders, including the local community, employees, creditors, etc., along with those of the shareholders, is the primary goal of this model. Companies provide lifetime employment to their employees, which gives them job security and creates a sense of loyalty in the minds of employees. Japanese companies have always insisted on undertaking Corporate Social Responsibility (CSR) activities. Conducting an activity that results in the betterment of the environment or people or an improved overall image of the nation is one of the goals of the Japanese model. The interests of individual investors or small businesses are less likely to be taken into consideration. The Japanese model lacks transparency.

Examples of corporate governance

Good corporate governance

  1. Tata Group is one of India’s largest and oldest conglomerates. It is known for its corporate social responsibility and ethical business practices. Tata Group is often used as a prime example of good corporate governance. Chairpersons such as J.R.D. Tata and Ratan Tata inculcated the concept of ethical business practices and the welfare of the people. The group has always maintained transparency in its actions and always made sure that the stakeholders were aware of the company’s direction. The group has always communicated with its employees, shareholders, creditors, etc., and made sure that their interests are considered by the board of directors while making decisions. The group also contributes a good part of its profits towards CSR activities.
  2. Unilever is a British-Dutch multinational consumer goods company operating in a variety of products, including beverages, personal care products, etc. Unilever has undertaken many social responsibilities, including environmental protection, community welfare, etc. This company involves a diverse but balanced board of directors. The board includes executive, non-executive, and independent directors. The company has framed various policies to ensure fair labour practices and ethical business practices. Unilever earned the respect and trust of its shareholders because of its transparency.

Bad corporate governance

  1. Enron Corporation was an American energy, commodities, and services company. As a result of its accounting fraud, Enron ceased its operations in 2007. In the year 2000, the company started collapsing due to high financial losses. However, to hide these losses from the shareholders, the top management engaged in accounting fraud. The company also discovered flaws in the existing law and used it in its favour to undertake unlawful activities. This led to the enactment of new regulations, such as the Sarbanes-Oxley Act, to prevent such corporate governance failures in the upcoming future.
  2. Satyam Computer Services, popularly known as the Satyam scandal, can be a good example of bad corporate governance. It was one of the largest IT companies in India, founded by Ramalinga Raju. Later, he admitted to having falsely altered the financial statements of the company and even produced the false statements in front of the shareholders. This fraudulent act led to great financial losses for investors.

Does corporate governance affect a company

Good corporate governance results in an increased company reputation and long-term sustainability. It bridges a gap between stakeholders and the company, as a result of which stakeholders begin to have faith in the company and extend their support towards the company, which is what happened with Tata Group and Unilever. On the other hand, the fall of Enron and Satyam Computer Services can be a good example of what happens in the case of poor corporate governance. Not only was the company shut down, but also the investors lost their confidence, employees lost their jobs, etc. Hence, it is necessary to maintain good corporate governance by maintaining transparency, communicating with stakeholders, and conducting CSR activities.

How to achieve effective corporate governance

Stakeholder management

The company should maintain communication with its stakeholders and make decisions in their interests. Shareholders can also participate in the decision-making process by voting.

Transparency

Companies should maintain transparency in their actions at all costs to achieve effective corporate governance. Timely financial statements shall be produced before investors to help them understand the financial standing of the company.

Ethical business practices

A company should follow ethical standards to achieve effective corporate governance. No company shall produce any false records or statements to hide the real financial standing of the company. It should comply with all the rules and regulations. A part of the profit should be spent on CSR activities for the welfare of society.

Board diversity

Shareholders should appoint directors with different experiences, different approaches to problem-solving, and different skills; this way, there will be diversity on the board. Board directors shall be responsible for conducting meetings, recording minutes, and producing them in front of shareholders. The board should also frame policies and procedures that will be followed by the employees in the day-to-day operations of the company.

Mitigate risks

Mitigate risk means to identify and reduce the risk. The board should appoint such personnel who will keep a close eye on the transactions of the company and mitigate the risks involved in or resulting from such transactions. It enables a company to enjoy long-term sustainability.

Conclusion

It can be said that good corporate governance plays a significant role in the success story of a company. Companies that adopt corporate governance stay in the market for a long time; however, companies that take this concept lightly may gain short-term profits, but in the long run, the reputation of the company will suffer. Hence, every company should adopt the process of corporate governance.

References

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How do current corporate governance practices affect managerial styles : an insight

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This article has been written by Spriha Smith pursuing a Diploma in US Corporate Law and Paralegal Studies course from LawSikho.

This article has been edited and published by Shashwat Kaushik.

Introduction

Leadership and management styles are greatly influenced by corporate governance practices. Healthy company governance encourages managers and other leaders to build team member’s motivation and trust. Numerous studies reveal that a country’s capital market size determines how quickly its economy grows. In order to secure the survival of business enterprises, well defined norms and regulations are necessary for controlling and general supervision of the businesses. It is within this framework that the phrase “corporate governance” first appeared and gained popularity as a barometer for business.

The structure of rules, bylaws, policies, and practices that regulate and manage an organisation’s operations is known as corporate governance. It is primarily about balancing the interests of various parties involved in a business, including investors, senior management, clients, vendors, lenders, the government, and the community. Effective corporate governance is a crucial component of any prosperous business. When carried out correctly, it offers the management team a path to take in order to fulfil the company’s goal. A corporation with sound governance practices will be trustworthy, well-directed, risk-aware and future-focused. It aids businesses in maintaining their financial stability as well as building strong bonds and trust with the public, shareholders, and investors.

Corporate governance is important to build the confidence of investors, the government, and the community. The company’s direction and business integrity are better understood by investors. It promotes long-term financial viability by offering opportunities and benefits, facilitates raising capital, reduces the chances of risks, corruption, and financial loss, and is revolutionary for tenacity and long-term growth. Good corporate governance can also increase share prices.

The business equation has people on both sides, like the founders, the board, the shareholders, consumers, and an impartial observer. Every member of the governance body works towards achieving a specific goal. Their goals and programmes ought to be all focused on achieving that goal. The process of governance facilitates collaboration among employees in an organisation in order to accomplish it’s objectives. This procedure is the result of an analysis of the business’s performance. To help the business reach it’s objective, procedures can be enhanced over time. Knowing how to analyse the performance, determine whether it is effective (or successful enough), and then apply the findings to the rest of the organisation is one of the most crucial aspects of corporate governance.

Transparency, responsibility, accountability, candour, and risk management are, among others, some of the basic principles of corporate governance. Managers are expected to operate with clear explanations for their decisions. This encourages a managerial style that emphasises integrity and honesty. A board of directors discussing the possible benefits and drawbacks of a decision, such as an acquisition or merger, or performing staff assessments are examples of corporate governance in action.

Importance of corporate governance

Corporate governance is essential for ensuring the effective and ethical operation of a company and protecting the interests of all stakeholders. Here are some key reasons why it matters:

  1. Accountability and transparency:
    • Corporate governance establishes clear lines of accountability and ensures that the board of directors and management are responsible for their decisions.
    • It promotes transparency by requiring regular reporting, disclosure of financial information, and compliance with legal and regulatory requirements.
  2. Risk management and compliance:
    • Effective corporate governance helps organisations identify, assess, and manage risks.
    • It ensures compliance with applicable laws, regulations, and ethical standards, reducing the likelihood of legal liabilities and reputational damage.
  3. Stakeholder protection:
    • Corporate governance protects the interests of various stakeholders, including shareholders, employees, creditors, customers, and the community.
    • It ensures that decisions are made in the best interests of all stakeholders, fostering trust and confidence.
  4. Long-term sustainability:
    • Strong corporate governance practices promote long-term sustainability by emphasising ethical decision-making, environmental stewardship, and social responsibility.
    • A well-governed company is more likely to adapt to changing market conditions, foster innovation, and maintain a competitive advantage.

Influence of corporate governance practices on managerial styles

Corporate governance practices significantly influence managerial styles, shaping how managers make decisions, interact with stakeholders, and lead their teams.

1. Risk-taking and decision-making

  • Strong governance: Boards with independent directors and robust oversight mechanisms encourage managers to take calculated risks and make informed decisions.
  • Weak governance: Boards dominated by insiders or lacking diversity may lead to groupthink and less risk-taking, potentially hindering innovation.

2. Stakeholder engagement

  • Transparent governance: Clear communication and engagement with stakeholders, including shareholders, employees, and customers, foster a collaborative and responsive management style.
  • Opaque governance: Lack of transparency can lead to mistrust and disengagement, making it challenging for managers to build effective relationships.

3. Ethical leadership

  • Ethical governance: Boards that emphasise ethics and integrity create an environment where managers prioritise ethical behaviour and decision-making.
  • Lax governance: Weak ethical standards at the board level can trickle down, leading to unethical managerial practices and a lack of accountability.

4. Long-term planning

  • Sustainable governance: Boards focused on long-term sustainability encourage managers to adopt strategies that consider environmental, social, and governance (ESG) factors.
  • Short-term governance: Boards prioritising short-term gains may pressure managers to focus on immediate profits at the expense of long-term growth.

5. Performance monitoring and evaluation

  • Effective governance: Regular performance evaluations and clear expectations from the board help managers stay accountable and aligned with organisational goals.
  • Ineffective governance: Lack of effective performance monitoring can lead to complacency and a lack of motivation among managers.

6. Employee empowerment and motivation

  • Collaborative governance: Boards that involve management and employees in decision-making create a culture of empowerment and motivation, encouraging managers to delegate and involve their teams.
  • Autocratic governance: Boards with a top-down approach may result in micromanaging managers who suppress employee initiative.

7. Innovation and adaptability

  • Forward-thinking governance: Boards that encourage innovation and embrace change empower managers to be agile and adapt to evolving market conditions.
  • Resistant governance: Boards resistant to change may stifle managerial creativity and hinder the organisation’s ability to innovate.

Women on board

While proxy advisors and shareholders are important investors who can affect governance, a board of directors is equally vital to governance. Many studies have tried to find out if the inclusion of a woman director as a member of the board is linked to the board’s performance. Gender diversity is a significant component of board diversity, an issue that receives a lot of attention in today’s business world. The inclusion of female directors on corporate boards is referred to as gender diversity. Three distinct criteria for assessing the importance of women on boards were provided by Smith, Smith and Verner (2006) in support of these viewpoints. In general, female board members possess  masterful market knowledge. This knowledge has a favourable impact on the board’s decision-making process. Having women board members tends to improve a company’s success by improving the perception of the company in the community, which is the second criteria and third, the appointment of women board members inspires male board members to possess an in-depth understanding of the business environment. The career growth of junior female employees in a company can also be positively impacted by female directors.

There are companies with good corporate governance practices, while others fall short. Let’s explore a few examples:

One of the largest accounting scams in history was carried out by Houston, Texas-based Enron, an energy trading and utility firm. An energy company that began trading extensively in energy derivative markets. Executives at Enron used accounting techniques to inflate the company’s sales, temporarily elevating it to the seventh largest corporation in the United States. The business swiftly collapsed after the scam was discovered and in December 2001, it filed for Chapter 11 bankruptcy.

The public is rarely aware that a corporation has sound corporate governance procedures in place. PepsiCo is a good example of a business that has a strong track record of moral corporate conduct. It is one business that appears to have continuously followed sound corporate governance principles and regularly modifies or improves them. Investor feedback was solicited by PepsiCo in six areas when it was developing it’s 2020 proxy statement:

  1. Board composition and diversity.
  2. Long-term strategy, corporate purpose, and sustainability concerns.
  3. Ethical governance practices and ethical corporate culture.
  4. Management human capital.
  5. Analysis and discussion of compensation.
  6. Engagement of shareholders and stakeholders.

The following businesses are some examples of corporate governance: Google, Walmart, and Apple Inc. Each of these businesses has a unique corporate governance structure that determines how authority is distributed throughout the organisation. There are benefits and drawbacks to each of these arrangements for businesses.

HDFC, Infosys, Mahindra, Marico, and Wipro in India are among the top scorers in the corporate governance index report. The Tata Group is among India’s best examples of excellent corporate governance. They have established themselves as a symbol of honesty with strong ethical values and an unwavering commitment to transparency, and they have become a beacon of trust and integrity. Sun Pharma has demonstrated excellent corporate governance standards by stressing the value of risk management and stakeholder engagement. The company’s board not only encourages diversity and gender representation but also comprises independent directors. Sun Pharma has given its stakeholders and investors confidence by implementing strict internal controls and compliance measures. The commitment to governance has enabled the company to navigate complex challenges and emerge as a global pharmaceutical leader, resulting in sustainable growth. As we sum up the exploration of Indian corporate governance success stories, these outstanding businesses are inspiring and work to incorporate their best practices into establishments in order to foster an environment of integrity, transparency, and trust.

Good corporate governance practices

Choosing businesses that follow sound corporate governance is something an investor does in the hopes of avoiding losses and other unfavourable outcomes like bankruptcy. To find out if a corporation is following strong corporate governance, one can do research on specific aspects of the organisation. These areas include:

  • Policies of disclosure.
  • The structure of executive compensation, including whether it is based only on performance or on additional metrics.
  • Risk management involves checks and balances in decision-making.
  • Rules and practices for resolving conflicts of interest (the manner in which the business approaches decisions that may be in opposition to its mission statement).
  • The board of directors’ members (their financial interests or competing interests).
  • Social and contractual obligations (a company’s reaction to concerns like climate change ties with suppliers).
  • Relationships with vendors.
  • Shareholder complaints and the manner in which they were addressed.
  • Audits (the frequency of internal and external audits, as well as the manner in which any concerns revealed by those audits were addressed).

Types of bad governance practices

  1. Businesses that fail to provide auditors with adequate cooperation or that fail to choose auditors with the right qualifications may release fraudulent or non-compliant financial documents.
  2. Executive compensation packages that fail to provide corporate officers with the best possible incentive.
  3. Boards with poor organisational design make it impossible for shareholders to remove incompetent board members.

It is commonly accepted that the role of leadership involves actively seeking out new projects to maintain the viability and sustainability of an organisation. Ironically, disagreement can arise among leaders, which hinders the development of the organisation. Leaders should act or carry themselves in a way that respects employees, especially when it comes to honouring their word. It was also claimed that the leader’s lack of clarity and uncertainty resulted in abandoned projects and needless extra time and expenses. A company’s collapse due to poor corporate governance frequently results in scandal and bankruptcy.

Conclusion

The guiding principles that a business establishes to direct all of its operations, including risk management, employee treatment, remuneration, and handling the environment, are collectively referred to as corporate governance. The foundational pillars of leadership and corporate governance are essential to the long-term viability of corporate organisations. One should not undervalue nor overstate the relationship between corporate governance and leadership styles. A masterful combination of these two characteristics can turn a small company into a market leader, but a dangerous partnership between them can lead to the untimely demise of even the largest organisations. A business organisation’s long-term and thriving prosperity is built on its strategic leadership strategy. Effective corporate governance is not only a choice but a necessity in the ever-changing Indian business scene. This is something that the corporate sector in India needs to recognise. For the benefit of these institutions’ stakeholders, a successful leadership style directs the organisational ship towards a path that preserves and prioritises excellent corporate governance practices over transient gains. This leads to unmatched prosperity. Businesses stand apart from the crowd and draw in investors who respect moral behaviour and sound judgement. Furthermore, it is a major force behind growth, jobs, and social responsibility, all of which help to shape the country’s economic landscape. An unmatched legacy is created when people fully embrace the values of good corporate governance – not only out of obligation but with zeal and under the direction of capable leadership. Consequently, stakeholders receive benefits from this legacy that lasts beyond time and permanently alters the organisation’s journey to excellence. A corporation that follows corporate governance principles that demand integrity and transparency can make moral decisions that are advantageous to all of its stakeholders, including investors.

References

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Prerogative writs

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This article is written by Trisha Prasad. The article discusses the concept of Prerogative writs, its legal history, the existing laws in India and the application of the writs in the current Indian legal system. This article will also provide a global perspective on the application of writs through a comparative analysis of prerogative writs in two prominent jurisdictions, India and the United States of America.

Table of Contents

Introduction

The Constitution of India guarantees certain fundamental rights and legal rights to citizens of India as well as other individuals. The Indian judiciary plays the important role of safeguarding these rights as guaranteed by the Constitution.

The Supreme Court serves as the Apex Court is entrusted with the duty of upholding the basic features of the Constitution. Along with providing individuals with fundamental rights, it is also important to give provisions for aggrieved individuals whose rights have been violated or infringed upon to seek remedies and reinstate their rights. The power entrusted with the Supreme Court and the High Courts to issue writs and orders to safeguard the rights of an individual is a part of the basic structure of the Constitution. The writ jurisdiction, as enshrined in the Indian Constitution also plays an important role in a democracy as it helps in the maintenance of balance of powers, rule of law and principles of natural justice.

What are prerogative writs

Writs are a cornerstone of common law legal systems, offering powerful remedies for upholding justice and protecting the rights of individuals. Under common law, writs are formal written orders of any authorised judicial body that generally directs the one receiving the order to act or refrain from acting in a certain manner. The English common law includes, among others, writs in the form of warrants, subpoenas and prerogative writs. The term “prerogative” refers to an exclusive right or privilege that is available to a certain class of individuals. In English law, prerogative or prerogative powers refer to the powers that were exclusively vested in the hands of the crown or delegated by the crown. Originally, prerogative writs were issued as written royal orders by the king or under the king’s seal by the king’s bench in England. The most important and commonly issued writs in the modern world, including Habeas Corpus, Mandamus, Certiorari, Prohibition and Quo Warranto, fall under the category of prerogative writs. Each type of prerogative writ is distinct and is used for various purposes, from compelling public officials to fulfil their duties to stopping a judicial authority from overstepping their jurisdiction. The Indian legal system adopted the prerogative writs from the English common law, and the same are embodied in the Indian Constitution under Article 32, Article 139 and Article 226.

Legal history of prerogative writs

English Law

The issuing of writs by the King’s court in England was an exercise of its extra-judicial powers. Prerogative writs developed in mediaeval England due to the non-recognition of certain rights under common law, which strictly limited its recognition to rights that were expressly provided under English statutes that were in force, thereby limiting the ability of common law courts to give reliefs that were beyond the purview of well-known and prominent statutes that existed during that period of time. The writ of Habeas Corpus is the oldest writ and can be traced back to the Magna Carta.

While the writs were initially only restricted to serving the interest of the crown, after the 12th century, they became available to the public on the purchase or the payment of certain fees, thereby preserving royal supremacy while catering to certain needs of the public. This led to the usage of the term “prerogative writs”. Some of these writs were available to the public, and some were restricted to the crown alone.

English courts witnessed a decline in the application of prerogative writs during and after the Second World War. There was a steady decline in the application and development of general administrative law. This decline in administrative law was a threat that eventually resulted in the decline in application of prerogative writs with the looming threat of the writs being completely extinguished.This stagnation in the application of prerogative writs was said to be due to the inherent inability of most prerogative writs to cope up with the newer needs, sentiments and developments in society and law.

The application of prerogative writs transformed and developed in England after the concept of Judicial Review was introduced in 1977.

Indian Law

In the Indian context, despite being derived from the traditional English Law, prerogative writs or simply writs developed in a more progressive manner, with the judiciary playing an active role in its interpretation and development.

The introduction of writs in India can be traced back to the Regulating Act of 1773 as a result of which the Supreme Court was set up in Calcutta. The Supreme Court in Calcutta and, subsequently, the Courts that were set up in Bombay and Madras came to enjoy the same powers as the King’s Court in England. The Supreme Court was replaced by the High Courts in the three Presidency towns, which continued to exercise the powers to issue writs. Initially, the power to issue writs was not extended to any High Court other than the Presidency High Courts. The Presidency High Courts were conferred with the power to issue the writ of Mandamus in their respective jurisdictions under Section 45 of the Specific Relief Act, 1877 and Habeas Corpus under Section 491 of the Code of Criminal Procedure, 1898. The power to issue the writ of Habeas Corpus was later extended to other High Courts.

The evolution of prerogative writs to what we know today is a result of post-colonial or post-independence actions of incorporating writs in the Constitution and defining the scope of the said writs by way of judicial decisions.

Nature and scope of prerogative writs

Prerogative writs, by nature, are extraordinary legal remedies that are available for the purpose of both enforcing rights and holding public authorities and judicial bodies accountable for their actions or lack of action. Writs play a crucial role in ensuring that the rule of law is upheld and that the rights of individuals are secured. The general nature and scope of prerogative writs that form a part of most common law jurisdictions include the following:

  • Extraordinary Remedies: These writs are considered extraordinary legal remedies as they are invoked only in specific cases and are not generally a part of all legal proceedings. Further, in the Indian scenario, especially under Article 226 of the Constitution, the court may consider whether other alternative remedies have been exhausted before issuing a writ.
  • Judicial Review: Certain prerogative writs involve the exercise of the judiciary’s power of judicial review. Courts can use this as a means of reviewing certain actions of the government, administrative bodies or quasi-judicial bodies and ensure that they comply with the basic features of the Constitution.
  • Limited Application: The issues that writs cover are limited to the board categories of jurisdictional issues, legality of power exercised or error in records and exercise of power by public authorities and judicial bodies.
  • Protective Rights: Writs are in the nature of protective rights as they play the crucial role of protecting the fundamental rights and other legal rights of individuals who approach the court to redress the infringement or violation of their rights. It is, hence, an important power vested upon the Indian judiciary, the watchdogs of the Indian Constitution.
  • Promotes Good Governance: Writs ensure transparency, accountability and adherence to legal principles as well as the protection of rights. This makes the judiciary an important contributor towards the promotion of good governance.
  • Immediate relief: Unlike civil remedies that may require time to execute or may even require the initiation of execution proceedings, writs provide immediate relief. The courts that issue the writs can order the respondent party to immediately cease doing some activity or compel them to do some activity, as the case may be. Writs often require swift action from the respondent party.
  • Flexibility and evolution: One distinct feature of prerogative writs, especially in India, is the fact that it is always evolving on the basis of judicial decisions, and there is a wide scope for interpretation on a case-to-case basis without disturbing the basic nature of the writs. This feature makes it easy for courts to adopt remedies that are sufficient to meet the changing needs of society.

Constitutional provisions surrounding prerogative writs

Article 32 of the Indian Constitution

Article 32 is a significant provision of the Constitution of India, guaranteeing the “right to Constitutional Remedies”. As emphasised by Dr B.R Ambedkar, Article 32 is the “heart and soul” of the Indian Constitution. This Article provides the Supreme Court with the power to enforce the fundamental rights that are available to both citizens as well as any other person under Part III of the Constitution titled, Fundamental Rights. Anyone who believes that their rights have been unduly violated or infringed upon can approach the Supreme Court with their grievances under this Article. The Supreme Court shall, in turn, pass any order, writ or direction as deems fit. The Article specifically lists out the 5 types of writs, ie. Habeas Corpus, Certiorari, Quo Warranto, Prohibition and Mandamus.

Additionally, the Article also provides the parliament with the power to permit any other court to exercise the same powers as the Supreme Court under this Article within its own local jurisdiction.

The Apex court in Skill Lotto Solutions Pvt. Ltd. v. Union of India (2020) observed that Article 32 is an integral part of the basic structure of the constitution and is the most potent weapon for the enforcement of fundamental rights. Article 32 is necessary to ensure the application of rule of law.

The Court also observed in Rashid Ahmad v. Municipal Board (1950) that the existence of alternative remedies will be considered while deciding a petition under Article 32 of the constitution. The powers of the court under Article 32, however, are not limited to issuing prerogative writs but also extends to making any other order or direction that is required for the protection of Fundamental Rights.

Article 226 of the Indian Constitution

Similar to the powers of the Supreme Court under Article 32, Article 226 of the Constitution provides the High Courts with the power to issue directions and writs to enforce the rights of any person. According to Clause 1 of Article 226, the Article can be used to enforce both fundamental rights as well as legal rights, making the scope of this Article wider than Article 32. This was specifically observed in the case of Bandhau Mukti Morcha v. Union of India (1983). The powers vested with the High Courts under Article 226 do not give the court appellate powers in those cases. In cases where a petition under Article 226 is filed, the High Courts only exercise its original jurisdiction. 

Further explaining the scope and application of Article 226, it was observed in the case of Bumrah Constructions Co. v. The State of Orissa (1961) that the High Court’s power under Article 226 cannot generally be invoked for civil remedies or liabilities arising out of torts or breach of contract. However, in cases where payment of money or enforcement of a contract is necessary in order to execute statutory duties, Article 226 can be invoked.

Which writs come under prerogative writs 

Habeas Corpus 

Meaning

The writ of Habeas Corpus can be literally translated to mean “to have a body”. Any person who is arrested or detained illegally or without following the due process of law can seek this relief. The competent court issues the writ of Habeas Corpus against the detaining authority, ordering them to present the arrested person before the court with the aim of examining whether the arrest was lawful or illegal. If it is proved before the court that the arrest was illegal, the detained person will be released. This writ is the most powerfully developed writ and is more prominent in application in India when compared to the other writs. Habeas Corpus is a writ that is essential for the protection of the personal liberty of an individual as well as to prevent unlawful detention. Article 22 of the Indian Constitution provides for the fundamental right of protection against arrest and detention in certain cases. Any violation of the provisions under this Article can be a ground for filing a Habeas Corpus petition. Some of the important rights and conditions provided under the Article includes:

  • The right to be informed of grounds and circumstances of arrest;
  • The right to consult and be defended by a lawyer;
  • The right to be produced before the nearest magistrate within 24 hours of arrest. Any detention beyond the period of 24 hours must be authorised by the Magistrate.

Applicability

The petition for Habeas Corpus can be filed by the detained person or by a relative, friend or representative on their behalf, provided that the person filing the case on behalf of the detained person is not a total stranger to the issue of the detention. Additionally, the petition for Habeas Corpus can only be filed after a person has been arrested and not in case of anticipation of detention or any other situation before the concerned person is actually detained. An warrant under Section 97 of the Code of Criminal Procedure,1973 is based on a concept similar to the writ of Habeas Corpus. As per Section 97, if any magistrate of the level of a sub-divisional magistrate, district magistrate or magistrate of first class believes that some person is illegally or unlawfully confined, they may issue a search warrant, authorising the person to whom the warrant is issued (police) to search for the detained person and bring them before the concerned magistrate.

Case law

Kanu Sanyal v. District Magistrate (1973)

In this case, the appellant along with a few of his companions were arrested and brought before the sub-divisional magistrate in Siliaguri who ruled that the appellant must be detained in Darjeeling’s district jail. The detention in the district jail, Darjeeling was challenged by the Appellant as being unlawful.The appellant was then subsequently held in the central jail of Visakhapatnam on the orders of the Special Magistrate of Visakhapatnam. The Court however, did not issue the writ of Habeas Corpus as it found the subsequent detention to be valid in law. Additionally, the writ could not be determined in terms of the initial detention as it was filed after the initial detention period was over.In relation to the writ of Habeas Corpus, the Supreme Court observed that the writ is a procedural writ that deals with the machinery of justice. The purpose is to release any person who is illegally detained and restore their liberty. The production of the person’s body, as the meaning of the writ suggests, is ancillary to the release of the person who is illegally detained and is only a manner to help meet the purpose of Habeas Corpus. It was held that it is not necessary for the person to be presented before the court while the court determines whether the detention was illegal or not and orders the release.

ADM Jabalpur v. Shivkant Shukla (1976)

The case of ADM Jabalpur v. Shivkant Shukla (1976) was overruled in 2017 by a 9-judge Supreme Court bench in the case of K.S Puttaswamy v. Union of India (2017). However, the ADM Jabalpur case is an extremely important case in order to understand the legal evolution and application of Habeas Corpus in India.

The ADM Jabalpur case was referred to as the “Habeas Corpus case” and was decided by a 5-judge bench in relation to the Emergency of 1975. The wife of Shivkant Shukla filed the petition of Habeas Corpus in an attempt to have the latter released from detention as he was arrested and detained during the Emergency without trial. The Apex court, in this case, passed a controversial judgement stating that the right to life and personal liberty under Article 21 of the Constitution is also suspended along with other rights during the Emergency and can hence not be enforced. This judgement was heavily criticised and later overruled on the grounds of it being violative of the basic concept of fundamental rights and liberties. It is also cited as an example of the negative consequences of executive overreach.

Sunil Batra(II) v. Delhi Administration (1979)

The nature, locus standi and scope of a Habeas Corpus petition were expanded in this case. The petitioner was a convict under death sentence. He wrote a letter to the Supreme Court alleging that another prisoner was subject to torture by a jail warden with the aim of extracting money. This letter was converted into a Habeas Corpus petition.The court held that the writ of Habeas Corpus under both Article 32 and Article 226 is available to any prisoner against the actions of jail authorities that are not in accordance with the prisoner’s sentence or are violative of fundamental rights that are available to prisoners. The court also observed that one prisoner can file a Habeas Corpus petition on behalf of a co-prisoner and that a letter addressed to the court is sufficient to be regarded as a petition or application of habeas corpus.

Rudul Shah v. State of Bihar (1983)

The case of Rudul Shah is an important case that played a prominent role in determining the writ jurisdiction of the judiciary in India, and the concept of provision of monetary compensation on account of violation of fundamental rights was firmly established. The petitioner, in this case, was arrested and detained for a period longer than his actual sentence. After serving his sentence, he was acquitted by the court in 1968 but was released from prison only 14 years later in 1982. Rudul Shah filed a Habeas Corpus petition under Article 32 and also demanded compensation for his wrongful detention. While the petition was only presented after the petitioner was released from prison, the court awarded him the additional compensation and reliefs which he had sought while observing the detention to be illegal.

Certiorari

Meaning

The writ of Certiorari literally means “to be certified” and is a writ issued by a superior court, commanding the inferior court or any authority exercising quasi-judicial functions to transfer or make available records before itself. This writ is used to review the decision of a lower court and quash decisions of the lower court.

Applicability

Certiorari can only be issued against a lower court or any other authority that is exercising quasi-judicial functions. The writ cannot be issued against private individuals, companies, or authorities not exercising judicial or quasi-judicial functions or any private authority.

The writ of Certiorari can be issued in the following cases or conditions:

  • Want or excess of jurisdiction: This condition comes into the picture when the concerned judicial or quasi-judicial authority acts beyond the jurisdiction or authority vested with it (excess of jurisdiction) or when the concerned authority completely lacks the jurisdiction or authority to act (want of jurisdiction).
  • Violation of Principles of Natural Justice: The principles of Natural Justice are basic legal principles that are crucial in ensuring fairness and justice. A violation of the principles of natural justice during judicial proceedings will lead to a gross miscarriage of justice. In simple terms, the principles of natural justice include:
    • The hearing rule states that it is necessary for both parties to be given sufficient opportunity to be heard before a decision is made in relation to the dispute.
    • The bias rule which emphasises the impartiality of the judge or the expert who is making the decision in relation to the dispute.
    • The reasoned decision rule which emphasises on the necessity for the decision or judgement to be given on fair and reasonable grounds only.
  • Violation of due process of law and procedure: Due process of law and the procedure established by law must be followed throughout a legal proceeding. It is essential for the procedural law to be followed in order to ensure that the rights of all involved parties are respected and not unduly violated. Violation of due process of law and procedure of law can also lead to a gross miscarriage of justice and prolonged legal battles.
  • Error apparent on the face of the record: This condition refers to a situation when errors in a decision or judgement are apparent from a brief review of the official records of the case alone. These errors are generally very obvious and can be identified without the need to extensively review the merits of the case.

Case Law

Nagendra Nath Bora v. Commissioner of Hills (1958)

The Apex court had, in this case, observed that the writ of Certiorari issued by the Supreme Court or the High Courts is not in the court’s appellate jurisdiction but on account of the court’s supervisory jurisdiction. A petition for Certiorari cannot be filed instead of an appeal when the statute does not confer the right to appeal on the matter. While hearing an application for the writ of Certiorari, the court will only examine the jurisdictional aspect or any errors in the record rather than the merits of the case or the essential requirements of the law that is being applied.

Syed Yakoob v. K S Radhakrishnan (1963)

In this case, the scope of the writ of Certiorari was further interpreted and explained. The Supreme Court observed that Certiorari can be issued by a superior court for correcting errors of jurisdiction of an inferior court. Errors of jurisdiction can mean three things:

  • Orders passed in excess of jurisdiction;
  • Failure to exercise jurisdiction that is actually vested in the concerned inferior court or improper or illegal exercise of jurisdiction by the court;
  • Orders passed by a court or tribunal in complete absence of jurisdiction.

The Apex court also observed that certiorari can be issued when the inferior court conducts the proceedings without adhering to the principles of natural justice. 

Radhey Shyam and Anr v. Chhabi Nath and Ors (2015)

In this more recent case, the Supreme Court held that the writ of Certiorari under Article 226 cannot be issued against judicial orders of civil courts. The court observed that the term “inferior court” in terms of Article 226 does not include judicial courts. In other words, it was explained that the High Courts have the power to issue Certiorari against any tribunal or authorities exercising judicial or quasi-judicial functions as long as it is not a judicial court.

Mandamus

Meaning

The writ of Mandamus literally means “we command”. This writ is issued by a superior court to a lower court or public authority, ordering them to fulfil their duty or do an act that is a part of their official duty. It is essentially a writ issued to public authorities in order to ensure the performance of public duties and secure private rights that have been withheld by the public authorities on account of failure to perform their duties.

Applicability

A petition for Mandamus can be filed by any person or group of persons against any public authority, court or authority discharging public functions. However, for the writ to be issued, it is essential to prove that the party had made a demand to the authority to fulfil a specific public duty and that the authority refused or failed to do so. The duty in question must be a mandatory statutory duty. The writ cannot be used to enforce a private duty or any duty that is not mandatory or statutorily imposed on the public authority. It is also important to note that Mandamus cannot be filed against any person for the enforcement of any private contractual liability. The following conditions must be fulfilled for a writ of mandamus to be issued:

  • There must be a mandatory public duty.
  • The person against whom the petition is being filed must have refused to or failed to perform the public duty.
  • The person filing the petition must have the right to compel the other party to perform the concerned public duty or function.
  • The person filing the petition must have made a demand for the performance of the public dirty which was refused.

Case Law

Sohanlal v. Union of India (1957)

The Supreme Court, in this case, reiterated that the writ of Mandamus, by nature, cannot be issued against a private party. The appellant in this case was a displaced person from Pakistan who was allotted a plot under the scheme’s devices by the government, provided that they met certain criteria. However, he was evicted from the allotted plot without notice. The purpose of Mandamus is to direct a public authority to do something that is in consonance with their public duty and in pertinence with the public office they hold.However, the Apex Court also stated that in cases where a private individual has merged with or acted in complete connection with a public authority, mandamus can be issued against them. There was no evidence to prove such collusion in this case and so, the writ of mandamus was not issued.

SP Gupta v. Union of India (1981)

This case, popularly referred to as the “first judges case”, dealt with various aspects in relation to the transfer and appointment of judges to the High courts. Among the various dimensions and provisions dealt with by the Apex Court in this matter, the court observed, by a majority, that the writ of Mandamus cannot be issued, directing the President to increase the number of permanent judges appointed to the High Court pursuant to the President’s powers under Article 216 of the Indian Constitution. The number of permanent judges required is a decision that must be taken by the president and cannot be determined by the judiciary.

CG Govindan v. State of Gujarat (1998)

This case was specifically in relation to the applicability of the writ of Mandamus against the Governor in relation to Article 229 of the Indian Constitution, which deals with the expenses of High Courts, including fixing the salaries of officers and judges of the court. Clause 2 of the Article provides powers to the Chief Justice of the High Courts to fix the salaries. However, this power is not absolute and is subject to the approval or rules laid down by the Governor. The Governor may either grant or withhold the approval while keeping the public interest in mind. It was observed that this procedure cannot be judicially circumvented or bypassed by issuing a writ of Mandamus directing the approval. Mandamus, in this case, can only be issued if there is a situation of constitutional breakdown which results in substantial public injury. An honest difference in opinion cannot be a ground for issuing Mandamus.

Quo Warranto

Meaning

The writ of Quo Warrant literally means “by what authority”. This writ questions the authority of a public official to hold an office. The court, by issuing this writ, orders any public official to vacate the office or post that they are not entitled to hold.

Applicability

This writ cannot be issued against any private office. The purpose of the writ is to prevent the usurpation or illegal occupation of public offices. Any individual who can prove the following can make an application for the writ of Quo Warranto:

  • The office in question is a public office and is not in any manner private in nature.
  • The person holding the office is not legally entitled to do so.

Case Law

Amarendra Chandra v.Narendra Kumar Basu (1952)

The petitioner in this case filed a petition for Quo Warranto before the Calcutta High Court, questioning the authority by which the respondents were holding the position of and acting as members of a school in Calcutta. The petition was, however, dismissed with costs as the court observed that the school in question was not a public authority or body and that the writ of Quo Warranto can only be used to question the authority under which a public office or position is held.

University of Mysore v. CD Govinda Rao (1963)

The nature of the writ of Quo Warranto and conditions precedent to issuing the writ were discussed in this case, which was an appeal filed against the decision of the Karnataka High Court. The Apex Court observed that Quo Warranto proceedings are simply a judicial enquiry conducted by the court where the concerned person holding a public office has to show the court the right or authority by which they are holding such public office. If the court is satisfied that the said person does not have the right to hold that public office, the writ of Quo Warranto will be issued, and the person will be removed from the office. The applicant or petitioner must prove that the office in question is a public office and that the person holding the office is doing so without any legal authority.

Purushottam Lal Sharma v. State of Rajasthan (1978)

The petitioner had filed a petition for the issue of the writ of Quo Warranto against the then Chief Minister, claiming that the respondent was not a member of the legislative assembly when he was elected and failed to become a member within 6 months of being instated as the Chief Minister. In the context of Quo Warranto, the Rajasthan High Court observed that the writ can be issued in the public interest if the petitioner further proves substantial injury or failure of justice caused due to the unauthorised holding of a public office or post. In the given case, the writ of Quo Warranto may be issued as the court was satisfied that the Chief Minister holding his office without being a member of the legislative assembly had caused substantial injury to the public as well as other members of the assembly. However, considering the fact that the petition was filed challenging the election, Quo Warranto cannot be invoked. In matters where elections are challenged, the procedure followed must be in accordance with the Representation of People’s Act, 1951, and a writ of Quo Warranto is not applicable.

Prohibition

Meaning

As suggested by the name, the writ of Prohibition means “to forbid or prohibit”. This writ, also referred to as a “stay order”, is issued by a superior court to stop a lower court from exercising jurisdiction or powers beyond the limits vested on the concerned lower court. As an effect of this writ, the ongoing proceedings before the lower court will stop. The underlying principle in this writ is “prevention is better than cure”, as it stops the court from continuing any proceedings that are beyond its jurisdiction.

Applicability

The writ of Prohibition can only be issued against any authority or body exercising judicial or quasi-judicial functions during the pendency of proceedings. In cases where the proceedings are completed, a writ of Certiorari will be issued and not a writ of Prohibition. Prohibition can be issued on the following grounds:

  1. When the lower court does not exercise its jurisdiction correctly or exercises excess jurisdiction. This is referred to as “jurisdictional error”.
  2. When the actions of the lower court are invalid in law or when, the lower court acts beyond the powers vested in it.
  3. When the actions of the lower court and the procedure adopted by the court during the proceedings violate the principles of natural justice.
  4. When the lower court acts in a manner that is unconstitutional.

Difference between Certiorari and Prohibition

S.noBasisCERTIORARIPROHIBITION
1.Stage when issuedCertiorari is issued after the lower court has pronounced or given its judgement.Prohibition is issued during the pendency of any suit before a lower court.
2.ObjectiveThe writ of certiorari is issued with the intention of reviewing the decision of a lower court and quashing the decision. The writ of prohibition is like a preventive measure adopted to prevent or prohibit a lower court from acting in a manner that is beyond its jurisdiction
3.Type of measureThe writ of certiorari is a curative measure or corrective remedy.The writ of prohibition is a preventive measure.
4.ConsequenceThe writ, once issued, quashes any judgement rendered by the lower court.The writ, once issued, prevents the lower court from rendering a judgement.

Case Law

S. Govind Menon v. Union of India (1967)

The Supreme Court further interpreted the scope of the writ of Prohibition in this case. It was held that the applicability of Prohibition is not only valid when there is excess of jurisdiction or no jurisdiction involved. It can also be issued in cases where there is a departure from the principles of natural justice. Prohibition cannot, however, be used to correct the procedure or decision of an inferior court on the merits of the case. An error of law that is within the jurisdiction of the inferior court cannot be corrected by way of this writ.

Brij Khandelwal v. Union of India (1974)

Criminal litigation

The Delhi High Court observed in this case that the writ of Prohibition is issued against actions of any tribunal to prevent it from exceeding its jurisdiction. It is an order issued to prevent an inferior court or tribunal from acting in excess of jurisdiction or when it does not have any jurisdiction. The writ cannot be issued against executive actions. This means that it cannot be issued against any public authority that is acting in a purely executive or administrative capacity.

Recent judicial pronouncements surrounding prerogative writs

Nimananda Biswal v. State of Odisha (2023)

In this case, a Habeas Corpus petition was brought before a division bench of the Odisha High Court to produce the petitioner’s missing daughter. The daughter of the petitioner was missing for a long period of time, subsequent to which the petitioner filed an FIR for the same. However, no effective steps were taken to find the missing girl.The court however dismissed the petition by stating that a Habeas Corpus petition cannot be filed to seek out a missing person. The High Court observed that there was no evidence of the young girl being illegally detained by anyone. The court emphasised that illegal detention is a prerequisite for Habeas Corpus. “Missing person” cases were held to be outside the ambit or scope of a Habeas Corpus petition.

Central Council for Research in Ayurvedic Sciences v. Bikartan Das (2023)

This case was a result of an appeal filed before the Supreme Court against a judgement passed by the Orissa High Court which allowed for and held that the respondent was entitled to the benefits of an extended superannuation age which was only available to AYUSH doctors working under the ministry of AYUSH. Such extension of the age of superannuation for only one set of professionals as against others who also performed similar duties. The High Court by way of an interim order also allowed the respondent to continue working for a period of 3 years after the date on which the respondent had to retire.The Apex Court deemed the High Court’s approach to be completely incorrect. The Supreme Court in this case, discussed the principles and essentials of the writ of Certiorari as issued by the High Courts. The court listed two cardinal principles of the writ:

  • While issuing the writ, the High Court does not exercise its appellate power.
  • The issue of this writ by the High Court under Article 226 is discretionary in nature.

The court additionally also pointed out three essentials that must be fulfilled for issuing the writ of Certiorari:

  • The applicant must make out a clear case where the writ of Certiorari can be issued;
  • The writ can be issued to correct the errors of jurisdiction;
  • The writ can only be issued to correct errors that are manifest on the face of the proceedings. This means that it can only be issued to correct a patent error and not a wrong decision on the basis of facts or merits of the case.

Radha Krishnan Industries v. The State of Himachal Pradesh (2021)

The Supreme Court in this case, summarised the established position of law related to the applicability of Article 226 when alternate remedies exist. The following points were discussed:

  • The power to issue writs by the High Court can be used for both the enforcement of fundamental rights as well as other legal rights.
  • The power vested with the High Courts under Article 226 is discretionary in nature. The High Courts can refuse to entertain a writ petition on grounds like the existence of alternate remedies. In cases where the relevant statutes provide for a legal remedy, that statutory remedy must be exhausted before filing a writ petition. However, there are exceptions to the rule of alternate remedies:
    • When the petition is specifically for the enforcement of fundamental rights,
    • When principles of natural justice have been violated,
    • The proceedings were or are being carried out without any jurisdiction;
    • When legislation is being challenged as ultra vires.

Magadh Sugar & Energy Ltd. v. State of Bihar (2021)

The Supreme Court, in this case, crystalised the position of law in relation to the existence of alternate remedies as upheld in earlier cases. The Appellant in this case had invoked the writ jurisdiction of the High Court under Article 226, challenging the electricity duty that was imposed on the electricity that his Sugar Mill was supplying to the Bihar State Electricity Board. The High Court however, dismissed the petition on the grounds that the appellant had statutory remedies that could be invoked to address his grievances before filing a writ petition. The Apex Court however, remanded the case back to the High Court while also deciding that the issue was amenable to writ jurisdiction due to the presence of issues of law and not mere facts. The court also observed that the mere existence of an alternate remedy does not automatically bar the High Court from exercising its writ jurisdiction. The power is discretionary and subject to exceptions.

Global perspective on prerogative writs : India v. USA

Unlike the Constitutional provision in India, the power to issue writs is specifically provided to the Supreme Court and other courts in the US by the All Writs Act, 1789. This Federal Statute vests the courts with the power to issue all writs that are necessary and appropriate in relation to their respective jurisdictions, provided that it is in consonance with the principles of law and justice. Specific procedures and writs are governed under the Federal Rules of Civil Procedure 1938, applicable to district courts. Similar to the exercise of writ jurisdiction by the High Courts in India under Article 226, the courts in the US only issue writs in cases where other available remedies are exhausted or if there is no other alternative remedy. The prerogative writs available in the US are the same as in India but differ in applicability in certain cases.

  • Habeas Corpus: The writ of habeas corpus in the US is specifically used to determine whether the state’s action of detaining a person (usually a defendant, accused or convicted person) is lawful or not. Unlike the flexibility provided in India, the writ of Habeas Corpus cannot be issued against a private person in the US. This writ often precedes a civil suit against a state agent like a jail warden who is responsible for detaining defendants.
  • Quo Warranto: The writ of Quo Warranto in the US has a broader scope than in India. Along with removing from office any person who is holding such office without the authority to do so, the writ of Quo Warranto in the US is also used to challenge any unauthorised act of a public authority. 
  • Certiorari: In the US, the writ of Certiorari can be understood as an alternative to an appeal. In some cases, the party may have the right to appeal. However, in cases where the right to appeal is not available, any party aggrieved by the decision of a lower court can file a petition for the writ of certiorari. If the court grants the writ, the case will be heard and reviewed. This writ is generally associated with the Supreme Court.
  • Prohibition: Similar to the application of the writ of prohibition in India, a superior court, which is an appellate court in the case of the US, directs a lower court to cease a proposed action. The writ of prohibition is the counterpart of the writ of mandamus.
  • Mandamus: The writ of Mandamus is issued by a court to an inferior government official, directing them to either fulfil their official duties or to correct any action that was a result of the abuse of any discretionary powers vested with them. The US Department of Justice has specified that the writ of mandamus is an extraordinary remedy that must only be issued in cases of emergency or public importance.
  • Procedendo: The writ of procedendo, which is not expressly available in India, is an important writ in the US. The appellate or superior courts issue this writ, directing the lower court to proceed with the judgement of any ongoing proceedings.This writ merely directs the Court to arrive at a decision and to give its judgement. The appellate court that issues the writ of procedendo cannot instruct or direct the lower court on how it must decide the matter. Procedendo is usually issued in case of delays in rendering judgements or a refusal to deliver a judgement. 

Conclusion 

In conclusion, prerogative writs or simply writs, are one of the most important pillars of justice in common law countries. Originating from the English legal system, writs of the nature of Habeas Corpus, Mandamus, Certiorari, Quo Warranto and Prohibition have become integral parts of the Indian judicial system. These extraordinary remedies, incorporated under Article 32 and Article 226 of the Indian Constitution, are ever-evolving through judicial decisions to meet the changing requirements of justice in the country. Prerogative writs are indispensable in the process of defending the principles of the Indian Constitution.

Frequently Asked Questions (FAQs) 

Can a writ be issued against a private person?

A writ is generally considered a public remedy and is generally deemed to be applicable only against a public entity or authority discharging public functions. However, the writ of habeas corpus is a direct exception to this condition. Habeas corpus can be issued against a private person who has illegally or unlawfully detained another person. The writ petitions, especially those of Mandamus, have also been entertained against private entities that were discharging public functions despite being a private authority and not being conferred authority or duty by way of any statute or law. In general, writs cannot be issued to enforce any private liability arising out of contractual obligations or tortious actions.

What is the difference between the writ jurisdiction conferred by Article 32 and Article 226?

The primary difference between the power to issue writs by the Supreme Court under Article 32 and the High Courts under Article 226 is that under Article 32, writs and directions can be given for the enforcement of fundamental rights only, while Article 226 allows the High Courts to enforce both fundamental rights as well as other legal rights usually when there is no other alternative available to the aggrieved person. The territorial jurisdiction, however, is narrower under Article 226 when compared to Article 32.

Is it necessary to exhaust all alternative remedies before filing a writ petition under Article 226?

Generally, a writ petition is not expected to be entertained when the law provides alternative remedies to the aggrieved person. However,it is pertinent to note that it is not always necessary for alternate remedies to be exhausted by the petitioner before a petition under Article 226 is filed. The High Court is not barred from addressing a writ petition merely on the grounds of existence of alternate remedies.The High Courts have the discretion to decide whether the writ petition has to be entertained or not. As a general practice, High Courts usually entertain writ petitions irrespective of the existence of alternate remedies in the following four circumstances:

  • When Fundamental Rights are violated;
  • When principles of natural justice are violated;
  • When the proceedings is wholly without jurisdiction;
  • When the proceedings or resultant order is ultra vires the Constitution or relevant statute.

Is there a prescribed time limit for filing a writ petition?

There is no prescribed time limit for filing a writ petition. However, the courts have, on various occasions, highlighted the necessity to file the petition within a reasonable time after the cause of action has arisen. Undue delay in filing the petition without sufficient reason to justify the unnecessary delay may lead to the court dismissing the petition.

Can any court other than the Supreme Court and High Courts issue writs?

The Constitution confers the power to issue writs only on the Supreme Court and High Court. No other court, tribunal, judicial or quasi-judicial body can issue writs. However, the parliament has the power under Article 32(3) to empower a lower court to issue writs within its jurisdiction if deemed to be crucially necessary.

References 

  1. https://primelegal.in/2022/10/23/writs/
  2. https://www.intolegalworld.com/article?title=writs-in-indian-constitution 
  3. https://blog.ipleaders.in/all-you-need-to-know-about-article-226-of-the-indian-constitution/
  4. https://blog.ipleaders.in/article-32-constitution-india/ 

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