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  • HARYANA AFFILIATED COLLEGES SECURITY OF SERVICE ACT
  • Article 113 by Act of 1963 (corresponding to Article 120 of Act No. 1 of 1908,
  • Rules VI and VII of the Kurukshetra University Rules
  • provisions of Article 311 of the Constitution
  • Article 113 of the Limitation Act.
  • Societies Act, 1860
  • Section 7(1)
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Cites
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Citation Codes
Equivalent Citations
citation codes
Case Number
Judges
Acts
  • HARYANA AFFILIATED COLLEGES SECURITY OF SERVICE ACT
  • Article 113 by Act of 1963 (corresponding to Article 120 of Act No. 1 of 1908,
  • Rules VI and VII of the Kurukshetra University Rules
  • provisions of Article 311 of the Constitution
  • Article 113 of the Limitation Act.
  • Societies Act, 1860
  • Section 7(1)
Smart Summary

Structured Summary of the Opinion (G.R. Majithia, J.)

Factual and Procedural Background

The defendants (appellants) brought a Regular Second Appeal against the judgment and decree of the First Appellate Court which had reversed the trial court and decreed the plaintiff/respondent's suit declaring the termination order dated 17 May 1978 to be null and void.

The material facts as recorded in the opinion are: Hindu Vidya Sabha Avam Dharmarth Society (registered under the Societies Act, 1860) runs Hindu College, Sonepat, affiliated to Maharshi Dayanand University, Rohtak. The respondent was appointed Sports Assistant in September 1965. He fell ill and informed the college on 18 January 1977 of his inability to join duties. After recovery he reported for duty but the college refused to accept him. On 3 November 1979 he applied to be permitted to resume duty, and on 17 November 1979 the college informed him that his services stood terminated with effect from 17 May 1978. The plaintiff challenged the validity of that termination order principally on the ground that it was passed in violation of the principles of natural justice; the defendants maintained that the plaintiff had been given a show-cause notice and that he had appeared on 17 May 1978 but refused to justify his absence, whereupon his services were terminated.

At trial the judge framed six issues (see below). The trial court found the termination order illegal and void (Issue No. 1) and that the plaintiff was entitled to emoluments (Issue No. 2), but held the suit to be barred by limitation (Issue No. 3) and dismissed the suit on that basis. The plaintiff appealed to the First Appellate Court, which reversed the trial court's dismissal on limitation grounds and decreed the suit, holding the termination void for breach of natural justice and statutory rules. The defendants (appellants) then brought this Regular Second Appeal. The present opinion disposes of that second appeal.

Legal Issues Presented

  1. Whether the order dated 17.5.1978 is illegal, void and arbitrary and liable to be set aside?
  2. Whether the plaintiff is entitled to all emoluments, pay, house rent etc., if Issue No. 1 is proved?
  3. Whether the suit is maintainable in the present form (i.e., whether it is barred by time)?
  4. Whether the court has jurisdiction to try the suit?
  5. Whether the suit has been properly valued for purposes of court fee and jurisdiction?
  6. Reliefs to be granted.

Arguments of the Parties

Plaintiff / Respondent's Arguments

  • The termination order dated 17 May 1978 was void for being passed in violation of the principles of natural justice—no proper charge sheet was served and no opportunity of hearing was afforded.
  • The plaintiff only learned of the termination on 17 November 1979 (the communication date), and the suit filed on 21 September 1981 was within the period prescribed by Article 113 of the Limitation Act (i.e., within three years of accrual of the right to sue).

Defendants / Appellants' Arguments

  • The defendants asserted that the plaintiff had been given a show-cause notice and that he appeared on 17 May 1978 but refused to give any statement; the charges stood proved and his services were therefore terminated.
  • In the second appeal, counsel for the appellants argued that the plaintiff could not be granted reinstatement; reliance was placed on Kayastha Pathshala, Allahabad v. State of UP, (1989 Supp (2) SCC 732 : AIR 1990 SC 415).

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Mt. Bolo v. Mt. Koklan, A.I.R. 1930 Privy Council 270 Definition of when a "right to sue" accrues: no right to sue until the right asserted has accrued and been infringed or there is a clear and unequivocal threat of infringement. The court cited this authority to explain that the plaintiff's "right to sue" accrued only when he learned of the termination (17 November 1979), and therefore limitation began to run from that date.
Cannon Bunkerley & Co. Ltd. v. Union of India, (1969) 3 SCC 607 : AIR 1970 SC 1433 Affirmation of the principle that there is no right to sue until a substantive right has accrued and been infringed or clearly threatened. The court relied on this decision as an affirmation of the Mt. Bolo principle and applied it to hold that the plaintiff's cause of action accrued on the date he was informed of the termination (17 November 1979).
Kayastha Pathshala, Allahabad v. State of UP, 1989 Supp (2) SCC 732 : A.I.R. 1990 SC 415 Authority discussed regarding the general rule that personal service contracts ordinarily cannot be specifically enforced, and the related exceptions. The appellant relied on this case to argue that reinstatement should not be granted. The court held the appellant had misread the ruling and pointed out the settled exceptions (including where a statutory body acts in breach of mandatory statutory provisions) which permit enforcement; thus the submission that reinstatement could not be granted was rejected.
Bank of Baroda Ltd. v. Jeewan Lal Mehrotra, (1970) 3 SCC 677 Authority referenced for the general proposition that contracts of personal service are not ordinarily specifically enforced. Referenced (via discussion in Kayastha Pathshala) to show the origin of the general rule; the court used the chain of authorities to identify recognised exceptions to that general rule, including where statutory provisions have been breached.
Sirsi Municipality v. Kom Francis, (1973) 3 SCR 348 Authority referenced alongside other decisions relating to enforceability of personal service contracts and recognised exceptions. Referenced in the discussion of exceptions to the rule against specific enforcement of personal service contracts; used to support the court's conclusion that reinstatement may be appropriate where a statutory body breaches mandatory statutory provisions.

Court's Reasoning and Analysis

The court's analysis proceeded in a sequence of findings grounded in fact and statutory/regulatory provisions, as recorded in the opinion:

  1. Violation of natural justice and statutory rules: On the evidence the First Appellate Court had found—and this court accepts—that the impugned termination order dated 17 May 1978 was passed in violation of the principles of natural justice. The plaintiff had not been served with a proper charge sheet for wilful absence nor afforded an effective opportunity of hearing before imposition of the major penalty of termination.
  2. Non-compliance with university rules and statute: The court noted that Rules VI and VII of the Kurukshetra University Rules (adopted by Maharshi Dayanand University) applied to the college, and that the Haryana Affiliated Colleges (Security of Service) Act (the Act) — including Section 2 (definition of "employee") and Section 7(1) — requires that no employee be dismissed except after enquiry in which he has been informed of charges and given a reasonable opportunity to be heard. There was no compliance with Section 7(1) here: no charge sheet had been framed and served and no effective opportunity to be heard given. The court emphasized that the opportunity must be effective and not a mere "eye wash."
  3. Conduct of the college: The court highlighted factual indicators of hasty and perfunctory action by the college: the plaintiff was placed under suspension on 17 May 1978 and apparently terminated the same day, yet the termination order was not communicated to him until 17 November 1979 — a delay of over 1½ years. This delay, the court held, undercuts the defendants' claim that the order had been properly and immediately taken on 17 May 1978, and exhibited undesirable conduct.
  4. Effect of procedural and statutory breach: Because the procedure mandated by the statutory rules and university regulations had not been followed, the impugned order was held to be void and to have cast a stigma on the plaintiff; the court treated the void order as non-existent in law.
  5. Limitation (Article 113): The court applied Article 113 of the Limitation Act and the precedents (Mt. Bolo; Cannon Bunkerley) to hold that the "right to sue" accrues when the plaintiff learns of the infringement (i.e., when the termination order was communicated to him). The appellate court found the plaintiff learnt of the termination on 17 November 1979, and therefore the suit filed on 21 September 1981 was within three years of accrual and was not time-barred.
  6. Reinstatement / specific performance of personal service: The appellant's reliance on Kayastha Pathshala to contend that reinstatement cannot be granted was held to be a misreading. The court reiterated the established principle that although contracts of personal service are not ordinarily specifically enforced, there are recognised exceptions — including where a statutory body acts in breach of mandatory statutory provisions — under which enforcement (or declaration and consequential relief such as reinstatement) can be appropriate. Applying that principle, the court found the appellant's submission unsustainable.

Holding and Implications

HOLDING: The Regular Second Appeal is dismissed.

The effect of this decision is that the judgment and decree of the First Appellate Court — which had reversed the trial court's dismissal on limitation grounds and had decreed the plaintiff's suit declaring the termination order of 17 May 1978 to be null and void — stands. The opinion upholds the First Appellate Court's conclusions that:

  • The impugned termination order was void for being passed in breach of the principles of natural justice and in non-compliance with statutory and university/regulatory provisions (including Section 7(1) of the Haryana Affiliated Colleges (Security of Service) Act and Rules VI and VII of the Kurukshetra University Rules as adopted).
  • The plaintiff's "right to sue" accrued when he was informed of the termination (17 November 1979) and the suit filed on 21 September 1981 was within the period mandated by Article 113 of the Limitation Act.
  • The appellant's contention that reinstatement could not be granted was rejected on the ground that established exceptions permit relief where a statutory body breaches mandatory statutory provisions.

Implications for the parties: the practical consequence is that the First Appellate Court's decree in favour of the plaintiff remains effective. The opinion does not purport to set a new legal precedent beyond affirming the application of existing principles cited in the judgment.

Additional procedural note from the opinion: the respondent was not represented by counsel and the court directed that he be informed of the decision.

    Hindu College Sonepat And Another v. Sadhu Ram Saini .

    G.R Majithia, J.:— The appellant/defendants have come up in Regular Second Appeal against the judgment and decree of the First Appellate Court reversing on appeal those of the trial judge and decreeing the suit of the plaintiff/respondent for declaration that order of termination from service dated May 17, 1978 was null and void.

    2. The facts:—

    Hindu Vidya Sabha Avam Dharmarth Society which is registered under the Societies Act, 1860 is running Hindu College, Sonepat. This college is affiliated to Maharshi Dayanand University, Rohtak. The respondent/plaintiff was appointed as a Sports Assistant in the College in September 1965. He fell ill. He sent intimation on January 18, 1977 showing his inability to join his duties. After recovering from illness, he reported for duty but the College refused to take him back on duty. On November 3, 1979, he submitted an application to the College to permit him to job the duty but he was informed vide letter dated November 17, 1979 that his services stood terminated with effect from May 17, 1978. It is the validity Of this order which was challenged in the suit principally on the ground that the order was passed in violation of the principles of natural justice and was thus void. The defendants justified the order on the ground that he was given a show cause notice. The plaintiff appeared in the College on May 17, 1978 but he could not justify his absence from duty. Resultantly, the order terminating his services was issued.

    3. The trial judge framed the following issues arising out of the pleadings of the parties:—

    1) Whether the order dated 17.5.78 is illegal, void and arbitrary and is liable to be set aside? OPP.

    2) Whether the plaintiff is entitled to all the emoluments, pay, house rent etc. if issue No. 1 is proved? OPP.

    3) Whether the suit is not maintainable in the present form? OPD.

    4) Whether this court has got no jurisdiction to try the suit? OPD.

    5) Whether the suit has not been properly valued for purposes of court fee and jurisdiction? OPD.

    6) Relief.

    4. The trial judge answered issue No. 1 in favour of the plaintiff and held that the order dated May 17, 1978 whereby his services were terminated was illegal and void; issue No. 2 was decided in favour of the plaintiff and it wa??? held that he was entitled to all emoluments pay, house rent etc.; issue No. 3 was decided in favour of the defendants and it was held that the suit was barred by time; issues No. 4 and 5 were answered against the defendants being not pressed and in view of finding under issue No. 3, the suit was dismissed.

    5. The defendants did not challenge the correctness of the findings recorded by the trial Court under issues No. 1 and 2 by way of appeal or cross-objections. The palintiff assailed the judgment and decree of the trial judge in first appeal.

    6. The first Appellate Court on evidence gave a firm finding that the impugned order of termination was passed in violation of the principles of natural justice. The plaintiff was not afforded any opportunity before imposing the major penalty of termination from service on the charge of his wilful absence from duty. The impugned order dated May 17, 1978 reads thus:—

    “Shri Sadhu Ram, Sports Assistant was asked to appear for personal hearing on 17.5.1978 He is present on 17.5.1978 but he refused to give any statement either oral or in writing. He is not co-operating. Charges against him stand proved. His services are therefore, terminated with immediate effect. He is directed to collect one month salary in lieu of due notice on any working day.”

    7. The first Appellate Court found that the plaintiff was denied the protection of Rules VI and VII of the Kurukshetra University Rules which were adopted by Maharshi Dayanand University with which the defendant college indisputably stands affiliated. No proper charge sheet was served upon the plaintiff for wilfully remaining absent from duty. He was not afforded any opportunity of hearing before passing the order. If, as alleged by the defendants, the plaintiff refused to give explanation for having remained absent from duty then a finding should have been recorded that the plaintiff was served with the charge sheet; that he was given an opportunity of hearing which he did not avail and after recording that finding, the follow up action could have been taken. Apart from this, the facts proved on the record establish that the defendants acted in great haste and they were evolving methods for terminating the services of the plaintiff. The plaintiff was placed under suspension for not attending to his duties on May 17, 1978 vide Ex. D.W 2/9 and his services were terminated on that very day i.e May 17, 1978 vide Ex. DW 2/7. The order vide which his services were terminated was communicated to him through forwarding letter dated November 17, 1979, Ex. P1. If the services of the plaintiff had been terminated on May 17, 1978, as is alleged, the order of termination should have been communicated to to him forthwith. The defendants did not communicate this order till November 17, 1979 and remained silent for more than 1-½ years. This per se establishes that the defendants acted in an undesirable manner. The services of a Class IV employee has been dispensed with in a most perfunctory manner. If the plaintiff had remained wilfully absent from duty then a proper charge sheet should have been served upon him. He should have been afforded an opportunity to render his explanation and proper enquiry should have been held and thereafter action should have been taken as is warranted by the proved facts on enquiry. Kurukshetra University framed regulations governing service and conduct of employees in the non-government affiliated colleges. The provisions of the Haryana Affiliated Colleges (Security of Service) Act (for short the Act) with certain modifications were made available to the employees of the non-affiliated colleges. Section 2 of the Act deals with definitions. Clause (c) of Section 2 defines the term “employee” which means any person who is in the whole-time employment of an affiliated college. Section 7(1) envisages that no employee shall be dismissed, removed or reduced in rank except after an enquiry in which he has been informed of the charges against him and given a reasonable opportunity of being heard in respect of those charges. In compliance with Section 7(1) of the Act, no charge sheet was framed and served on the respondent and he was not given any opportunity of being heard in respect of those charges. The opportunity pre-supposes an effective opportunity and not a mere eye wash. The college acted in breach of these provisions. The proved facts on the record establish that the plaintiff was not afforded any opportunity of hearing before passing the order of termination of his services which apparently has cast a stigma on him and the order thus cannot be sustained. The impugned order having been passed in violation of the principles of natural justice and, breach of the statutory rules is thus rendered void. The void order is thus non-existent in the eye of law. The instant case will fall under Article 113 of the Limitation Act. Time under this Article runs from the date when the ‘right to sue’ accrues. The word ‘right to sue’ means, a right to seek relief i.e a right to prosecute by law to obtain relief by means of legal procedure; the right to sue accrues when the cause of action arises. In order that there may accrue a right to sue there must;(i) has come into existence a substantive right asserted in the suit; and (ii) such right must have been infringed or threatened to be infringed. The right should itself be an infringement or threat to infringement constitute a cause of action and gives a right to sue. The term ‘right to sue’ as in Article 113 by Act of 1963 (corresponding to Article 120 of Act No. 1 of 1908, came up for consideration before the Privy Council in Mt. Bolo v. Mt. Koklan, A.I.R 1930 Privy Council 270 and it was held thus:—

    “There can be no “right to sue” until there is an accrual of the right asserted in the suit and its infringement or at least clear and unequivocal threat to infringe that right by the defendant against whom the suit is instituted.” The ratio of this judgment was affirmed by the apex Court in Cannon Bunkerley and Co. Ltd. v. The Union of India, (1969) 3 SCC 607 : AIR 1970 Supreme Court 1433 and it was held thus:—

    “In our judgment, there is no right to sue until there is an accrual of the right asserted in the suit, and its infringement, or at least a clear and unequivocal threat to infringe that right by the defendant against whom the suit is instituted.”

    8. The first Appellate Court on evidence found that the plaintiff came to know of the order dated May 17, 1978 vide which his services were terminated on November 17, 1979. The ‘right to sue’ accrued to him on November 17, 1979. The suit was filed by him on September 21, 1981 i.e within three years from November 17, 1979 when the right to sue accrued to him.

    9. The learned counsel for the appellant submitted that the plaintiff cannot be granted relief of re-instatement in service. In support of his submission, he relied upon The Kayastha Pathshala, Allahabad v. State of UP, 1989 Supp (2) SCC 732 : A.I.R 1990 S.C 415. The submission is based upon mis-reading of the ruling. The apex Court after referring to the authorities in Bank of Bank Of Baroda Ltd. v. Jeewan Lal Mehrotra, (1970) 3 SCC 677 and Sirsi Municipality v. Kom Francis, (1973) 3 SCR 348 where the Court rounded off the conclusion thus, “On a consideration of the authorities mentioned above, it is therefore, clear that a contract of personal service cannot ordinarily be specifically enforced and a court normally would nqt give a declaration that the contract subsists and the employee, even after having been removed from service can be deemed to be in service against the will and consent of the employer. This rule, however, is subject to three well recognised exceptions : (i) where a public servant is sought to be removed from service in contravention of the provisions of Article 311 of the Constitution of India; (ii) where a worker is sought to be reinstated on being dismissed under the Industrial Law; and (iii) where a statutory body acts in breach or violation of the mandatory provisions of the statute”,-ultimately re-affirmed the conclusions. It is true that a contract of personal service cannot strictly be specifically enforced but this rule is subject to the exceptions reproduced supra that where a statutory body acts in breach of the violation of the mandatory provisions of the statute, the contract of service can be enforced. The submission of the learned counsel that the plaintiff is not entitled to the relief of re-instatement thus cannot be sustained.

    10. For the reasons stated above, the appeal is devoid of any merit and is dismissed.

    11. Since the respondent is not represented by any counsel, he be informed about this decision.

    12. Appeal dismissed.

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    Hindu College Sonepat And Another v. Sadhu Ram Saini .
    (Apr 5, 1991)