IMPORTANT INDIAN LEGISLATIONS
and Conciliation Act, 1996
Arbitration is form of an
Alternative Dispute Resolution, ensuring better out of court solution to a
dispute and also reducing the burden of the court. This act lays down basic
guidelines to successfully conduct an Arbitration. It can only take place if both
parties have agreed to it and as such an arbitration agreement may be in the
form of an arbitration clause in a contract or in the form of a separate
agreement also. If not so, the parties can later decide to initiate arbitration
The decision of the
arbitration is called an award and the parties are legally bound by it. No
decree is necessary for enforcement of award, the arbitration award is
executable on its own.
Subject matter of
arbitration can be any commercial matter including an action in tort if it
arises out of or relates to a contract can be referred to arbitration. However,
public policy would not permit matrimonial matters, criminal proceedings,
insolvency matters anti-competition matters or commercial court matters to be
referred to arbitration.
1. Arbitration is
settling of dispute between two or more parties, for determination, in a
judicial manner, by a person or persons other than a court of competent
2. International commercial arbitration is an arbitration where at least one of the parties is a national
or resident in any country other than India or a body corporate which is
incorporated in any country other than India or a company or association or a
body of individuals whose ‘central management and control’ is exercised in any
country other than India.
3. Mediation is an
Alternate Dispute Resolution (ADR) method where a neutral and impartial third
party, the mediator, facilitates dialogue in a structured multi-stage process
to help parties reach a conclusive and mutually satisfactory agreement.
4. Conciliation is the
amicable settlement of disputes between the parties, with the help of a
conciliator. The conciliation proceedings can start when one of the parties
makes a written request to other to conciliate, briefly identifying the
dispute. The conciliation can start only if other party accepts in writing the
invitation to conciliate.
Protection Act, 1986
The Act was enacted to protect the interest of consumer on account
of ‘defects in goods’ or ‘deficiency in services’ in consumer products. The
priority of the act is to safeguard consumer’s right of quality goods and
It provides for a three-tier quasi–judicial machinery for consumer
1. National Consumer Dispute Redressal Forum
2. State Consumer Dispute Redressal Forums
3. District Consumer Dispute Redressal Forums
The order of the N.C.D.R.C. can be challenged only in the Supreme
Court. The jurisdiction of the above forums is based on compensation that can
be claimed by the affected consumer.
The pecuniary limit is as follows;
1. up to Rs.20 lakhs – District Forum
2. up to Rs.1 crore – State Commission
3. above Rs.1 crore in the N.C.D.R.C.
24- National Consumer Day.
15- World Consumer Rights Day.
Justice Act, 2000
Juvenile Justice (Care and
Protection of Children) Act, 2000 has been legislated adopting the policy of
‘no imprisonment for children’ for any offence. The Crimes committed by those
under the age of 18, fall under this act.
The Act deals with two
categories of children;
1. Child in need of care and protection, and
2. Juvenile in conflict of law.
Under Act, each category
of children are kept in separate care-houses. Child himself can appear before
the Competent Authority and demand his/her rights, on failure of the guardian
to do so.
Salient features of the
a) Juvenile cannot be kept in police lock-up or jail.
b) Juveniles cannot be treated or sentenced in the same manner as the
c) Cases involving juveniles are tried by juvenile Justice board and
not by regular courts.
d) Juvenile Justice board consists of magistrate and two social
e) The case is decided by majority of presiding judges.
f) If a Juvenile criminal is convicted, at maximum he gets three
years in a reform facility. Thereafter he must be released on probation.
g) Juvenile can only be kept at the special home till he attains 18
years of age.
h) Capital punishment (hanging) or life imprisonment cannot be
imposed on a Juvenile offender, irrespective of the gravity of the crime.
i) Act has the provision for setting up Special Juvenile Police Unit
in every police station. These units are supposed to identify the children who
are vulnerable to engaging in criminal behavior, and extend help to them.
Drugs and Psychotropic Substances Act, 1985
It is also called the anti-drug law in India the regulates
cultivation of opium poppy, cannabis and coca plants. Production, manufacture,
possession, sale, purchase, transport, warehousing, use, consumption, import,
export or trans-shipment of any narcotic drug or psychotropic substance is
illegal without proper license; except for medical and scientific purposes,
which also are governed as per the rules or orders or conditions of license
issued to any person/institution for use.
NDPS Act empowers central government to frame rules for certain
purposes and state governments to frame rules for certain others. Thus, there
are NDPS Rules, 1985 of the central government and state NDPS Rules of
different states. Violation of any rule of either the state or central NDPS
Rules attracts punishment under the NDPS Act. All offences committed under any
law by persons under the age of 18 will be covered by the Juvenile Justice
(Care and Protection of Children) Act, 2000. This Act seeks to reform such
juveniles rather than punish them under the respective Acts, as drug abuse has
seriously affected the youth of today.
Education Act, 2010
This legislation entails
an obligation of Government to provide free and compulsory elementary education
to every child in the six to fourteen age group in the school established by
the state educational authorities. The act also makes provisions for a
non-admitted child to be admitted to an age appropriate class. Further, it
specifies the duties and responsibilities of appropriate Governments, local
authority and parents in providing free and compulsory education, and sharing
of financial and other responsibilities between the Central and State
The act lays down the
norms and standards relating inter alia to Pupil Teacher Ratios (PTRs),
buildings and infrastructure, school-working days, teacher-working
hours. It provides for appointment of appropriately trained teachers, i.e.
teachers with the requisite entry and academic qualifications for
It prohibits the
(a) physical punishment
and mental harassment;
(b) screening procedures
for admission of children;
(c) capitation fee;
(d) private tuition by
(e) running of schools
Lastly, it provides for
development of curriculum in consonance with the values enshrined in the
Constitution, and which would ensure the all-round development of the child,
building on the child’s knowledge, potentiality and talent and making the child
free of fear, trauma and anxiety through a system of child friendly and child
centered learning. The ground reality and the execution of the act is in
contrast with the provisions as laid down by the act, but serious and sincere
efforts are required to achieve the constitutional purpose of the act.
Information Act, 2005
The Act primarily envisages setting out a practical regime of
right to information for citizens to secure access to information under the
control of public authorities, in order to promote transparency and accountability
in the working of every public authority. Every information held by or under
the control of a public authority is accessible to a citizen, unless an
information is exempt from disclosure by the act itself.
Meaning of Information: Any material in any form, including records, documents, memos,
e-mail, opinions, advices, press releases, circulars, orders, log books,
contacts, reports, papers, samples, models, data material held in any
electronic form and information relating to any private body which can be
accessed by a public authority under any law for the time being in force.
The applicant need not to give any reason for requisitioning the
information or any other personal details except those that may be necessary
for contacting him.
This act governs
establishment of Bar Council of India and State Bar Councils for the regulation
of legal profession and legal education.The Bar Council of India is the central
institution for supervising and monitoring the growth and development of legal
services and the functioning of advocates and related firms and corporations in
The Roll of Advocates
maintained by the Supreme Court or the High Court is divided into two
classifications; Advocate and Senior Advocate. A Senior Advocate is designated
by the Supreme Court or any High Court based on his ability or special
knowledge in the field of law.
enrollment of advocates in State Bar Councils
The Advocates Act in
Section 24 stipulates that one must be at least 21 years old and must possess a
law degree from a valid law college, to become an enrolled advocate. Under the
Advocates Act 1961, only advocates enrolled in India are entitled to practice
the profession of law.
Advertising in Legal
There is a complete ban on
advertising for lawyers in India. It is against an advocate’s code of ethics to
solicit or advertise work and amounts to a misconduct on the part of the
advocate. Both direct and indirect advertising is prohibited. Advertising on
the internet is also prohibited.
Companies Act, 2013
The Indian Companies
Act 2013 replaced the Indian Companies Act, 1956. This is a landmark
legislation with far-reaching consequences on all companies incorporated
a) Class action suits for Shareholders: The Companies Act 2013 has
introduced new concept of class action suits with a view of making shareholders
and other stakeholders, more informed and knowledgeable about their rights. It
also provides for approvals from shareholders on various significant
transactions made by the company.
b) Women empowerment in the corporate sector: The Act stipulates
appointment of at least one-woman Director on the Board (for certain class of
c) Corporate Social Responsibility: It stipulates certain class of
Companies to spend a certain amount of money every year on
activities/initiatives reflecting Corporate ‘Social’ Responsibility.
d) National Company Law Tribunal: The Companies Act
2013 introduced The National Company Law Tribunal and the National Company
Law Appellate Tribunal to replace the Company Law Board and Board for
Industrial and Financial Reconstruction. They would reduce the burden on
regular courts while simultaneously providing specialized justice.
e) Fast Track Mergers: The Act proposes a fast track and simplified
procedure for mergers and amalgamations of certain class of companies such as
holding and subsidiary, and small companies after obtaining approval of the
f) Cross Border Mergers: The Companies Act 2013 permits cross
border mergers, both ways; a foreign company merging with an India Company and
vice versa but with prior permission of Reserve Bank of India.
g) Prohibition on forward dealings and insider trading: The Companies
Act 2013 prohibits directors and key managerial personnel from purchasing
call and put options of shares of the company, if such person is reasonably
expected to have access to price-sensitive information.
h) Increase in number of Shareholders: The Companies Act 2013 increased
the number of maximum shareholders in a private company from 50 to 200.
i) One Person Company: The Act grants new form of private company,
that being one-person company. It may have only one director and one
shareholder. The Companies Act 1956 requires minimum two shareholders and
two directors in case of a private company.
j) Electronic Mode: The Companies Act, 2013 proposed
E-Governance for various company processes like maintenance and inspection of
documents in electronic form, option of keeping of books of accounts in
electronic form, financial statements to be placed on company’s website, etc.
Negotiable Instruments Act, 1881
This act governs
negotiable instruments. Promissory Notes, Bills of Exchange and Cheques are
called ‘negotiable instruments’.
Public Holidays (national
holidays) are declared under this Act.
Salient features of the
a) The dishonor of a cheque can be caused by an irregularity with the
cheque itself or insufficient funds in the drawer's account to meet payment of
b) When a cheque has been dishonored, prompt action must be taken by
the principal or the administrative officer to seek payment for the amount of
the dishonored cheque and any fees charged by the bank.
c) Proper accounting procedures must be followed to record the
dishonored cheque and the subsequent outcome of the recovery action taken.
d) Dishonour of cheques is punishable up to 1 year of imprisonment
and fine or both under Section 138 of this Act.
of Property Act, 1882
The Transfer of Property Act, 1882 regulates the transfer of
property in India. It contains specific provisions regarding what constitutes a
transfer and the conditions attached to it.
According to the Act, 'transfer of property' means an act by which
a person conveys/transfers the property from one person(s) to another
person(s). The person may include an individual, company or association or body
of individuals, and any kind of property may be transferred, including the
transfer of immovable property.
Property is broadly classified into the following categories:
(excluding standing timber, growing crops, and grass)