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Judicial Review an Indian perspective

FACULTY OF LAW
JAMIA MILLIA ISLAMIA UNIVERSITY, NEW DELHI-25

SUBMITTED TO SUBMITTED BY
PROF. NUZHAT PARVEEN KHAN SYED SUBOOR HUSSAIN
LLM SEMESTER 4
Contents

LIST OF CASES 2
INTRODUCTION 4
STARE DECISIS 5
HISTORICAL BACKGROUND 6
DEVELOPMENT OF DOCTRINE OF PRECEDENT IN INDIA 7
PRE INDEPENDENCE 7
POST INDEPENDENCE 8
STARE DECISIS AND ARTICLE 141, CONSTITUTION OF INDIA 8
LAW DECLARED 9
BINDING NATURE OF THE SUPREME COURT OF ITS OWN PREVIOUS DECISIONS: 10
THE BINDING ELEMENT OF A CASE 14
CIRCUMSTANCES WEAKENING THE BINDING FORCE OF PRECEDENTS 16
ADVANTAGES AND DISADVANTAGES OF THE DOCTRINE OF JUDICIAL
PRECEDENTS 17
CONCLUSION 19
BIBLIOGRAPHY 20

1
LIST OF CASES

1. Ambika Prasad v. State of U.P. AIR 1980 SC 1762.


2. Bachan Singh v. State of Punjab (1979) 3 SCC 727.
3. Behram Khurshid Resikak v. State of Bombay AIR 1955 SC 123.
4. Bengal Immunity Co. v. State of Bihar AIR 1956 SC 631, 673;
5. Bimal Devi v. Chaturvedi AIR 1953 All. 613
6. Controller of Estate Duty v. KantilalTrikamlal (1976) 4 SCC 643.
7. Deena v. Union of India 1983 AIR 1155.
8. Dwarkadas v. Sholapur Spinning and Weaving Co. AIR 1954 SC 119
9. Fida Hussain v. Moradabad Development Authority AIR 2011 SC 3001
10. Golak Nath v. State of Punjab AIR 1967 SC 1643
11. GourishankarGovindram v. Raja Azam SahabAIR 1956 Nag 115
12. Kailash Chand Sharma v. State of Rajasthan (2002) 8 SCC 237
13. Kesavananda Bharati v. State of Kerala AIR 1973 SC 1461
14. Krishena Kumar v. Union of India AIR 1990 SC 1782, 1793
15. MaganlalChagganlal Pvt. Ltd. v. Municipal Corporation of Greater Bombay AIR 1974
SC 2039
16. Prakash Chandra Pathak v. State of Uttar Pradesh, AIR 1960 SC 195
17. Pyare Mohan v. State of Jharkhand AIR 2010 SC 3753
18. Rahim Khan v. Khurshid Ahmad AIR 1975 SC 290
19. Sajjan Singh v. State of Rajasthan AIR 1965 SC 845
20. Sankari Prasad v. Union of India AIR 1951 SC 458
21. Sri Bhagwan v. Ram Chand. AIR 1965 SC 1767
22. State of Bombay v. The United Motors Ltd. AIR 1953 SC 255
23. U.P. Power Corporation Ltd. v. Rajesh Kumar AIR 2012 SC 2728.

2
INTRODUCTION

Administration of justice is the strongest pillar of Government. For the maintenance of legal
rights and for the prevention of wrongs and injustice, there must be efficient administration of
justice according to pre-declared principles of law.1 Salmond observed, “Men being what they
are - each keen to see his own interest and passionate to follow it- society can exist only
under the shelter of the State and the law and justice of the State is a permanent and
necessary condition of peace, order and civilization”. 2 Administration of justice means justice
according to law. While administering the justice a number of legal sources are used by State to
implement justice in the society. It is endeavor of any civilized society to be governed by rule of
law and which necessarily requires Law. Judges make law is now an acknowledged concept.
Important limb of “Rule of Law” is the even application of laws and by following precedents this
object of Rule of Law is also achieved.

Precedents have been recognized as one of the sources of law. Certainty and predictability are
very important attributes of law, and indeed essential for its success. If law treats a person in
particular way, it is only just that other persons in similar position are treated likewise. Only then
will there be greater compliance with law. The doctrine of precedent was, therefore, evolved in
order to maintain consistency and uniformity in law. It can be said without a doubt that if there is
no uniformity in the application of law and no consistency is being maintained then there will be
anarchy in the society. These apart, the doctrine of precedent has the advantages of equality,
efficiency and avoiding arbitrariness. The doctrine of precedent is expressly incorporated in
India by Article 141 of the Constitution of India, 1950 which provides that the decisions of the
Supreme Court are binding on all courts within the territory of India.

1
Nomita Aggarwal, Jurisprudence-Legal Theory 63 (Central Law Publications, Allahabad, 4th edn, 2003).
2
P.J. Fitzgerald, Salmond on Jurisprudence 88 (Universal Law Publishing, Delhi, 12th edn., 2002).
3
STARE DECISIS
In its literal sense, “stare decisis” translates as “to stand by decided matters”. “Stare decisis” is
an abbreviation of the Latin phrase “stare decisis et non quieta movere” which translates as “to
stand by decisions and not to disturb settled matters.”3Stare decisis is a doctrine used in all
court cases and with all legal issues. A doctrine is simply a principle, or an instruction, but it's
not necessarily a rule that cannot ever be broken. The doctrine of stare decisis means that courts
look to past, similar issues to guide their decisions. The past decisions are known
as precedent.4

Precedent literally means a rule followed or a principle applied previously by a competent


authority under similar facts and circumstances. If a previous decision by a court is taken as a
basis or source for deciding the case under similar facts and circumstance. It is called judicial
precedent. In general sense, precedence means some set pattern guiding the future conduct.
The fundamental principle behind the precedent is that like cases should be treated alike.
According to Bentham, “Precedents are Judge made laws.” For Gray, “A precedent covers
everything said or done which furnished a rule for subsequent practice”. In the words of
Keeton, “A Judicial Precedent is a judicial decision to which authority has in some measure
been attached.”
In the language of a layman the term ‘precedent’ implies that what was done before should be
done again the same way. The method adopted in any problem-solving exercise is to find out if
a similar problem has been tackled before. If yes, then the next step is to find out the degrees of
similarity that exists between the problems. If the similarities are found to be significant then
next it needs to be analyzed whether the same principle that was applied to the previously solved
problem can be applied successfully to solve the problem at hand. This way the precedent works
as an effective guide to solve new problems having similarity with the earlier one. This helps in
achieving consistency and certainty in legal matters. And the corollary of this situation is that
people making decisions are often afraid to do something new and striking in case ‘it creates a
precedent. In view of that in The Government of India Act, 1935, Sec. 212 provided for the
binding nature of the decisions of the Federal Court and the Privy Council upon all Courts,
and after independence doctrine of precedents received Constitutional recognition under

3
https://blog.ipleaders.in/comparative-study-doctrine-stare-decesis-india-canada-us/
4
https://study.com/academy/lesson/stare-decisis-doctrine-definition-example-cases.html
4
Article 141 of the Constitution of India while providing that the law declared by the
Supreme Court shall be binding on all courts and tribunals within the territory of India.
The law laid down by the Supreme Court is binding on all Courts and tribunals of the Country.

HISTORICAL BACKGROUND
The doctrine of stare decisis or the doctrine of precedent is essentially a feature, of common law
systems such as England, the United States, India and Australia. However, the concept of
precedent was not completely absent prior to its development in that country. Infact, in Rome,
even during the time of Justinian, precedent was recognized as having a persuasive value though
it was not considered to be binding. Prior to this period, precedent was considered binding. The
Emperor Septinus Severus considered the authority of an uninterrupted series of decided cases
as having the authority of a statute.

In England, most of the law in certain fields such as torts, developed entirely on the basis of prior
decisions. Infact what is known as common law has developed wholly from judicial
pronouncements. As noted by the Supreme Court in Waman Rao v. Union of India 5, the
doctrine of stare decisis is the basis of common law. The doctrine of stare decisis has
essentially developed as a result of progress made in law-reporting. In beginning, there was no
doctrine of stare decisis as there was no reporting of the decisions of the courts in England. The
origin of reporting of decisions in England can be traced back to 17th century when the decisions
of Exchequre Courts came to be reported and were giving binding force.

A similar view had been taken in an earlier decision in Attorney General v. Dean of Windson6,
wherein Lord Campbell observed that the House of Lords is the court of appeal of last resort and
its decisions are authoritative and conclusive declarations of the existing state of law and binding
on itself as much as they are on all inferior tribunals. This, however, was an impediment to the
development of law according to the needs and requirements of society. In 1966, this position
was cured through the Practice Note issued which provided that while former decisions of courts
would be normally treated as binding, they may be departed from when it appears right to do so.

5
(1981) 2 SCC 362
6
(1898) AC 375
5
DEVELOPMENT OF DOCTRINE OF PRECEDENT IN INDIA
The doctrine developed in the country in the pre independence period and underwent a large
number of changes in the post-independence period.
PRE INDEPENDENCE
In the ancient and medieval period we do not find any traces of any theory of precedent as in
those times the issues were mainly decided at the local level. There was absence of a well-
organized judicial system and therefore no doctrine of precedent developed in India as it
developed in England. It is only after the establishment of the British rule in the country that
the present theory of precedent started developing and from that time onwards we see a
gradual development of the theory in India.
For sometimes the English people administered justice according to the personal law of the
parties. By the ‘Regulating Act’ a Supreme Court was established at Calcutta. Later on, Supreme
Courts were established in other Presidency towns also. After sometimes High Courts were
established in provinces. There was no relationship between the Supreme Court and the High
Court and they were independent of each other. They administered two different sets of laws.
When many of the branches of the law were codified, both kinds of Courts started administering
the same law. When the Judicial committee of the Privy Council became the final appellate
tribunal, a new chapter was added in the Indian legal history. A clear hierarchy of the Courts was
established. There were Presidency Courts (in Presidency towns) and Mofussil courts (in
districts). The Privy Council was the final appellate tribunal. Every Court was bound by the
decisions of the superior Court. This helped in bringing uniformity and certainty in law because
the decisions of Privy Council were binding on ail the courts in British India. And in spite of the
great and many defects of such judicial system, it rendered this valuable service. Thus, the
doctrine of precedent, in the modern sense of term, took its birth in India. Reporting of Indian
cases also started about this time. The Government of India Act, 1935, Federal Court was
established in India. This was an interposition in the hierarchy of Courts. This Act provided that
the decision of the superior courts will have the binding effect on the courts below. Section 212
of the Act made the following provisions:
“The law declared by Federal Court and by any judgment of the Privy Council shall, so far as
applicable, be recognized as binding on and shall be followed by all courts in British India, and,
so far as respects the application and interpretation of the Act or any order in council thereunder

6
or any matter with respect to which the Federal Legislature has power to make law in relation to
the State, in any Federal State”.7
After independence of the country the Privy Council ceased to be the appellate court from India
and Federal Court was abolished. By the Indian Constitution, a Supreme Court has been
established which is the final appellate Court. In States there are High Courts and in districts
there are district courts.

POST INDEPENDENCE
With independence and the adoption of the Indian Constitution, there was a move to a significant
new legal landscape and a whole range of new perspectives generated by the constitutional
context, which led to a radical reorientation at the level of the Supreme Court in regard to the
Court’s continuing obligation to follow the common law doctrine of precedent. 8 The Supreme
Court has been established by the Indian Constitution, 1950. It is the highest judicial tribunal of
the Indian Union. It has very wide appellate, writ, revision and in some cases, original
jurisdiction. “The law declared by the Supreme Court shall be binding on all Courts within the
territory of India”.9

STARE DECISIS AND ARTICLE 141, CONSTITUTION OF INDIA


While statutes and enactments of the legislature lay down the general rules to be applied in the
adjudication of disputes between parties, the final authority for the interpretation of those rules
are the courts. The doctrine of stare decisis makes the decisions of courts, usually the higher
forums, binding on subordinate courts in cases in which similar or identical questions of law are
raised before the court. The application of this doctrine ensures that there is uniformity and
certainty in the law. It saves time and efforts of judges and helps in preventing arbitrary action on
the part of judges. The doctrine thus ensures that at least over a certain period of time law remain
certain and people are able to conduct their business in accordance with the prevalent
interpretation of law. The doctrine is thus in the interest of public policy. In India, the doctrine
is constitutionally recognized in respect of the decisions of the Supreme Court which have been
declared under Article 141 to be binding on all courts and tribunals in the country. This of course
implies that even a single pronouncement of the Supreme Court would be binding on subordinate
7
Section 212 of Government of India Act, 1935.
8
A. Lakshmi Nath, Precedent in The Indian Legal System 16 (Eastern Book Company, Lucknow, 1990).
9
V.N. Shukla, Constitution of India 454 (Eastern Book Company, 10th edn., 2001).
7
courts. However, as held in the Bengal Immunity case, the decisions of the Supreme Court are
not binding on itself. It is only the reasons for deciding a case i.e., the ratio decidendi of the case
which are binding on future courts. There is no definite view as to how the ratio decidendi is to
be determined but there are a number of tests for its determination of which some are the
material facts test proposed by Prof. Goodhart and the Reversal Test Proposed by Wambaugh.

LAW DECLARED
The law declared by the Supreme Court shall be binding on all courts within the territory of
India.10The term “law declared” means not only the ratio decidendi of a decision but it
includes an obiter dictum’ also provided it is upon a point raised and argued. 11 The
expression ‘law declared’ is wider than the ‘law found or made’ and implied the law creating
role of the Court.12 However, it does not mean that every statement contained in a judgment of
the Supreme Court has the binding effect. Ratio Decidendi of judgment is not to be discerned
from a stray word or phrase read in isolation. It has to be found out only by reading the entire
judgment.13

Judicial property, dignity and decorum demands that being the highest judicial tribunal in the
country even the obiter dictum of the Supreme Court should be accepted as binding. But all that
does not mean that every statement contained in a judgment of that Court would be attracted by
Article 141. Statements on matters other than law have no binding force. Several decisions of the
Supreme Court are on facts and that Court itself has pointed out in Prakash Chandra Pathak v.
State of Uttar Pradesh,14 that as on facts no two cases could be similar, its own decisions which
were essentially on questions of fact could not be relied upon as precedents for decision of other
cases.15 When the Judges are confronted with the decision of a coordinate Bench then the matter
should be referred to a larger Bench as held in a number of cases including Sri Bhagwan v. Ram
Chand16 and U.P. Power Corporation Ltd. v. Rajesh Kumar.17In case of conflict between two or

10
Art. 141, The Constitution of India, 1950.
11
Bimal Devi v. Chaturvedi, AIR 1953 All. 613.
12
Mahendra P. Singh (ed.), Constitution of India 519 (Eastern Book Company, Lucknow, 11th edn., 2008).
13
J.N.Pandey, Constitutional Law of India 566 (Central Law Agency, Allahabad, 52nd edn., 2015).
14
AIR 1960 SC 195.
15
State of Kerala v. Vasudevan, 1975 Cr.L.J. 97.
16
AIR 1965 SC 1767.
17
AIR 2012 SC 2728.
8
more judgments, the judgment of the larger Bench is to be followed.18 If the question of law
before the court is same as in the previous case, the judgment of the court in the former is
binding in the latter for the reason that the question of law before the court is already settled.19

BINDING NATURE OF THE SUPREME COURT OF ITS OWN PREVIOUS DECISIONS:


Article 141 of the Constitution of India provides that 'the Law declared by the Supreme Court
shall be binding on all courts within the territory of India. The expression ‘all courts’ within the
territory of India means courts other than the SC.20 The SC is not bound by its decisions21 and it
may in proper cases reverse its previous decisions.22 Judgments are not scriptural absolutes but
relative reasoning.23 In Article 141 the expression “all courts” has been used. Now the question
comes whether Supreme Court is bound by its own decisions or not. The position was not clear
before 1954. In 1954, an important case Dwarkadas v. Sholapur Spinning and Weaving Co.,24
came before the Supreme Court, where Justice Das expressed the view, "Accepting that the
Supreme Court is not bound by its own decisions and may reverse a previous decision
especially on constitutional questions the Court will surely be slow to do so unless such
previous decision appears to be obviously erroneous.”

The position became very clear after this and in 1955 the Supreme Court in Bengal Immunity
Co. v. State of Bihar,25 overruled its own previous judgment of the State of Bombay v. The
United Motors Ltd.,26 stating that the doctrine of stare decisis has no application to an isolated
and stray decision of the Court recently made and not followed by a series of decisions
based thereon. In this case the Supreme Court observed: "There is nothing in Indian
Constitution which prevents the Supreme Court from departing from its previous decision
if it is convinced of its error and its beneficial effect on the general interest of the public".
The court also laid down guidelines for overruling its earlier decisions. The court said, “The

18
Pyare Mohan v. State of Jharkhand AIR 2010 SC 3753.
19
Fida Hussain v. Moradabad Development Authority AIR 2011 SC 3001.
20
Mahendra P. Singh (ed.), Constitution of India 519 (Eastern Book Company, Lucknow, 11th edn., 2008).
21
J.N.Pandey, Constitutional Law of India 565 (Central Law Agency, Allahabad, 52nd edn., 2015).
22
Bengal Immunity Co. v. State of Bihar AIR 1956 SC 631, 673; Sajjan Singh v. State of Rajasthan AIR 1965 SC.
845; Kailash Chand Sharma v. State of Rajasthan (2002) 8 SCC 237.
23
Controller of Estate Duty v. KantilalTrikamlal (1976) 4 SCC 643.
24
AIR 1954 SC 119.
25
AIR 1955 SC 661.
26
AIR 1953 SC 255.
9
Supreme Court should not lightly dissent from its previous pronouncement. The power of
review, which undoubtedly exists, must be exercised with due care and caution and only for
advancing the public well-being in the light of the surrounding circumstances of each case
brought to its notice but it is not right to confine its power within rigidly fixed limits. If on a re-
examination it come to the conclusion, that the previous majority decision was plainly erroneous
then it will be its duty to say so and not to perpetuate its mistake. Further the court was of the
view that the doctrine of stare decisis is not an inflexible rule of law and cannot be permitted to
perpetuate errors of the Supreme Court to the detriment of the general welfare of the public.27

In Sajjan Singh v. State of Rajasthan,28Gajendragadkar, C.J. while considering the question of


precedent observed: "It is true that the Constitution does not place any restriction on our
powers to review our earlier decisions or even to depart from them and there can be no
doubt that in matters relating to the decisions of constitutional points which have a
significant impact on the fundamental rights of citizens, we would be prepared to review
our earlier decisions in the interest of public good".

Since 1955 Supreme Court has been overruling its earlier decisions whenever it deems fit. In
1967, Supreme Court in Golak Nath v. State of Punjab 29 overruled its two previous judgments
Sankari Prasad v. Union of India30 and Sajjan Singh v. State of Rajasthan 31 and held that the
power to amend the fundamental rights is not found in Art. 368, but in the residuary power of
legislation, hence a law made under Art. 368 is subject to Art. 13. 32 The court had applied
prospective overruling in Golaknath Case. The most important instance of the rule that
Supreme Court is not bound by its own decision is furnished by the case of Kesavananda
Bharati v. State of Kerala.33 In KB case, the SC reconsidered its Golaknath decision and
overruled it. It was held by the majority judgment that the word ‘law’ in Art. 13 did not include
an amendment of the Const. Passed under Art. 368 and so Golaknath was wrongly decided.34
27
J.N.Pandey, Constitutional Law of India 565 (Central Law Agency, Allahabad, 52nd edn., 2015).
28
AIR 1965 SC 845.
29
AIR 1967 SC 1643.
30
AIR 1951 SC 458.
31
AIR 1965 SC 845.
32
J.N.Pandey, Constitutional Law of India 565 (Central Law Agency, Allahabad, 52nd edn., 2015).
33
AIR 1973 SC 1461.
34
Kesavananda Bharati v. State of Kerala AIR 1973 SC 1461.
10
In a number of other cases Supreme Court has cleared the position. In Rahim Khan v. Khurshid
Ahmad,35 Justice Krishna Iyer, observed: "Precedents on legal propositions are useful and
binding but the variety of circumstances and the peculiar features of each case cannot be
identical with these of another and judgments of Courts on when and why a certain witness has
been accepted or rejected can hardly serve as a binding decision". InMaganlalChagganlal Pvt.
Ltd. v. Municipal Corporation of Greater Bombay 36 Supreme Court observed, that if the
previous decision is erroneous and has given rise to public inconvenience and hardship, there is
no harm in overruling such decision. Therefore it can be said that the doctrine of stare decisis is
followed in India to a limited extent only. At the same time it is worthwhile to note that the
Const. cannot be kept in constant uncertainty by judicial review as it will paralyse the legislative
and administrative actions on important views.37 It needs to be attempted only in case there is a
national crisis of great movement to the life, liberty and safety of the country.38

The High Courts in India are bound by the law declared by the Supreme Court. 39 Decisions of
Supreme Court are binding only so long as they have not been overruled by the Supreme Court.
The decisions of a High Court are binding on all the courts below it within its jurisdiction. The
judgment of a particular High Court, is not binding on other High Courts. The High Courts are
the courts of coordinate jurisdiction. Therefore, the decisions of one High Court is only of
persuasive value for other High Courts.

Regarding the question that is how far a High Court is bound by its own decision it can be said
that High Courts are not bound by their own decisions. In most High Courts generally appeals
are heard by a single judge. When an appeal involves some important and complicated point of
law, it is referred to a larger Bench. A single judge constitutes the smallest Bench. A Bench of
two judges is called the Division Bench. Three or more judges constitute a Full Bench. The
decisions of a larger bench are binding on a smaller bench. A bench is not bound by the

35
AIR 1975 SC 290.
36
AIR 1974 SC 2039.
37
J.N.Pandey, Constitutional Law of India 566 (Central Law Agency, Allahabad, 52nd edn., 2015).
38
Ambika Prasad v. State of U.P., AIR 1980 SC 1762.
39
Behram Khurshid Resikakv. State of Bombay AIR 1955 SC 123.
11
decisions of another bench of equal authority. In GourishankarGovindram v. Raja Azam
Sahab,40 the Nagpur High Court held that, “The decision of a Division Bench is binding on
another Division Bench as much as it is binding on a single judge. If it is necessary to reconsider
a Division Bench ruling the only course open to a Division Bench is to make a reference to the
Chief Justice with a recommendation that the case be placed before a Full Bench.” Munsifs
Courts and Magistrates Courts are bound by the decisions of District Courts (within their
jurisdiction). There are several views expressed by different authors on this issue. A close
perusal, the judgment of the apex Court provides the following:
(i) It has been a practice in the apex Court whenever Constitutional matters or conflicting
constitutional aspects reach the apex Court the matters is always placed for a larger bench.
(ii) For usual matters of appeal, the matters under Article 136 or under Article 32 of the
Constitution a two judge, three judge, four judge or five-judge bench is constituted for hearing
the matters.
(iii) A larger bench like five judge bench or seven judge bench is constituted usually in situations
wherein there is an involvement of Constitutional issue or to resolve an apparent conflicting
views expressed by the Court in respect of matters involving either interpretation, application of
operation.
(iv) A greater larger bench consisting of more than ten judges like thirteen judge bench is
constituted to resolve greater conflicting constitutional issues touching the very root of the
Fundamental Rights guaranteed under Part III of the Constitution.41
It can be concluded that the practice in the Supreme Court is that, the Court is not bound by
the previous decision decided by the coordinate bench of the same Court. However, a
smaller bench of the Court is bound by the decisions of the larger bench. This is the normal
practice of jurisprudence in the Supreme Court of India.

THE BINDING ELEMENT OF A CASE


Every judgment contains four major elements42:
a. statement of material (relevant) facts
40
AIR 1956 Nag 115.
41
Kesavananda Bharati v. State of Kerala AIR 1973 SC 1461.
42
Mahendra P. Singh (ed.), Constitution of India 522 (Eastern Book Company, Lucknow, 11th edn., 2008).
12
b. statement of legal principle(s) material to the decision the ratio decidendi /stare decisis
c. discussion of legal principles raised in argument but not material to the decision– obiter
dicta
d. the decision or verdict

Ordinarily, a court will decide only the questions necessary for determining the particular case
presented. But once a court acquires jurisdiction, all material questions are open for its decision;
it may properly decide all questions so involved, even though it is not absolutely essential to the
result that all should be decided. It may, for instance, determine the question of the
constitutionality of a statute, although it is not absolutely necessary to the disposition of the case,
if the issue of constitutionality is involved in the suit and its settlement is of public importance.
An expression in an opinion which is not necessary to support the decision reached by the court
is dictum or obiter dictum is distinguished from the holding of the court in that the so- called;law
of the case & does not extend to mere dicta, and mere dicta are not binding under the doctrine of
stare decisis.

In Krishena Kumar v. Union of India43 clarifying that the precedent consists only in ‘the
enunciation of the reason or principle upon which a question before a Court has been decided’,
the SC has observed: “The ratio decidendi is the underlying principle, namely, the general
reasons or the general grounds upon which the decision is based on the test or abstract from the
specific peculiarities of the particular case which gives rise to the decision. The ratio decidendi
has to be ascertained by an analysis of the facts of the case and the process of reasoning
involving the major premise consisting of a pre-existing rule of law, either statutory or judge-
made, and a minor premise consisting of the material facts of the case under immediate
consideration.”
In applying the doctrine of stare decisis, a distinction is made between a holding and a
dictum. Generally, stare decisis does not attach to such parts of an opinion of a court which are
meredicta. The reason for distinguishing a dictum from a holding has been said to be that a
question actually before the court and decided by it is investigated with care and considered in its

43
AIR 1990 SC 1782, 1793.
13
full extent, whereas other principles, although considered in their relation to the case decided, are
seldom completely investigated as to their possible bearing on other cases.

It is not the entire judgment that is binding on the lower courts but only the ratio decidendi. A
decision is not binding because of its conclusion but in regard to its ratio and the principles laid
down therein.44 The ratio decidendi of a case is the underlying principle or legal reason on which
the result of the case depends. This ratio is different from the obiter dicta which is not held to be
binding but may be regarded as having persuasive control. And what we are concerned with is
not who won or lost but the legal principles that can be extracted from the case which is known
as the ratio decidendi. In the words of the Supreme Court: “The determination of the ratio
decidendi i.e. the reason of the decision is not an easy task and each judge may state a principle
in a different language. Moreover as Professor Goodhart has pointed out, it is not always safe to
accept the actual formulation of a principle by a court, since the principle may be laid down in
either too broad or too narrow a fashion.”45
It is well settled that obiter dictum is a mere observation or remark made by the court by
way of aside while deciding the actual issue before it. The mere casual statement or
observation which is not relevant, pertinent or essential to decide the issue in hand does not form
the part of the judgment of the Court and have no authoritative value. The expression of the
personal view or opinion of the Judge is just a casual remark made whilst deviating from
answering the actual issues pending before the Court. What the doctrine of precedent declares is
that cases must be decided the same way when their material facts are the same. Obviously, it
does not require that all the facts should be the same. We know that in the flux of life all the facts
of a case will never recur, but the legally material facts may recur and it is with these that the
doctrine is concerned.

CIRCUMSTANCES WEAKENING THE BINDING FORCE OF PRECEDENTS


1.ABROGATED DECISIONS: A decision ceases to be binding if a statute or statutory rule is
inconsistent with it is subsequently enacted or if it is reversed or overruled by a higher court.
2.IGNORANCE OF STATUTE: A precedent is not binding if it was rendered in ignorance of a
statute. Such decisions are per incuriam and not binding.

44
Bachan Singh v. State of Punjab (1979) 3 SCC 727.
45
Mahendra P. Singh (ed.), Constitution of India 521 (Eastern Book Company, Lucknow, 11th edn., 2008).
14
3.SUB SILENTIO: A decision is rendered sub silentio when the particular point of law involved
in it is not perceived by the court. Where a judgement is given without the losing parties having
been represented, there is no assurance that all the relevant considerations have been brought to
the notice of the court and consequently the decision ought not be regarded as absolute authority
even if it does not fall within sub silentio rule.
4. OVERRULING: A higher court can overrule a decision made in an earlier case by a lower
court. It can occur if the previous court did not correctly apply the law or because the later court
considers that the rule of law contained in the previous ratio decidendi is no longer desirable.
5.DISTINGUISHING A CASE: When the facts are materially different from the previous
decision, the precedent can be distinguished, that is to say, a different rule may be applied in
order to suit the circumstances. Distinguishing cases also serves a tool to evolve law with the
change in society.
Prospective Overruling: The general rule is that the overruling of an earlier decision is
retrospective. However the SC in Golaknath v. State of Punjab established the rule of prospective
overruling to a limited extent. This means that an overruling decision shall not affect
intermediate transactions made on the basis of overruled decision but shall apply only to the
cases arising in future. The doctrine will apply only in matters arising under the Const. and will
be applied by the highest court only.46

ADVANTAGES AND DISADVANTAGES OF THE DOCTRINE OF JUDICIAL


PRECEDENTS
There are both advantages and disadvantages in following the method of precedents in deciding
cases. The most significant advantage is the element of consistency and certainty that is brought
in with the application of precedents. A good decision making process must be consistent.
Similar cases must be decided similarly to avoid inconsistency. Consistency is perhaps the most
important advantage claimed for the doctrine of judicial precedent. It may also allow persons
generally to order their affairs and come to settlements with a certain amount of confidence. The

46
Mahendra P. Singh (ed.), Constitution of India 524 (Eastern Book Company, Lucknow, 11th edn., 2008).
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interests of justice also demand impartiality from the judges in a civilised society. In this method
the Judges have clear cases to follow. This is assured by the existence of a binding precedent,
which he or she must follow unless it is distinguishable. If he tries to distinguish an
indistinguishable case his attempt will be obvious. And hence this method ensures impartiality
from the judge.
Case law is practical in character. It is based on the experience of actual cases brought before the
courts rather than on logic or theory. Case laws are viable statute law and the rules and principles
are derived from everyday life. This means that it should work effectively and be intelligible and
is thus practical. It removes any element of ambiguity regarding the authority of the binding
precedents and enables lower courts to follow the decisions of higher courts unanimously. The
making of law in decided cases offers opportunities for growth and legal development, which
could not be provided by Parliament. The courts can more quickly lay down new principles, or
extend old principles, to meet novel circumstances. The hierarchy of the courts ensures that
lower courts follow higher courts and this leads to an orderly development of law. It is also a
convenient time saving method. If a problem has already been answered, it is natural to reach the
same conclusion by applying the same principle. It also helps save unnecessary litigation. The
existence of a precedent may prevent a judge making a mistake that he might have made if he
had been left on his own without any guidance. The doctrine of precedent may serve the interests
of justice. It would be unjust to reach a different decision in a similarly situated case.
The most evident disadvantage of this method is the rigidity it confers on the development of
law. The doctrine of stare decisis is a limiting factor in the development of judge-made law.
Practical law is founded on experience but the scope for further experience is restricted if the
first case is binding. The cases exemplify the law in great detail, therein lies another weakness of
case law. It is in bulk and its complexity makes it increasingly difficult to find the law. There are
so many cases that it is hard for judges to find relevant cases and the reasoning may not be clear.
The convenience of following precedent should not be allowed to degenerate into a mere
mechanical exercise performed without any thought. Judicial mistakes of the past are perpetuated
unless bad decisions happen to come before the court of appeal for reconsideration. A system
that was truly flexible could not at the same time be certain because no one can predict
when and how legal development will take place. However, the advantage of certainty is lost
where there are too many cases or they are too confusing. The overruling of an earlier case may

16
cause injustice to those who have ordered their affairs in reliance on it. Precedent may produce
justice in the individual case but injustice in the generality of cases. It would be undesirable to
treat a number of claimants unjustly simply because one binding case had laid down an unjust
rule.

CONCLUSION

Lord Halsbury has said that there is more to the law than a mechanical process of logical
deduction. It is obvious that the Judge has in every case to decide for himself which of the
circumstances of the alleged precedent were relevant to the decision and whether the
circumstances of his own case are in their essentials similar. Once he has decided which
principle to apply, a bit of logic may enter into his application of principles. But there cannot
always be a principle which imposes itself or an absolutely inescapable logical deduction.
Generally there is a choice. And this has been explained by Chandrachud,then C.J. in Deena v.
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Union of India47 as “Any case, even a locus classicus, is an authority for what it decides. It is
permissible to extend the ratio of a decision to cases involving identical situations, factual
and legal, but care must be taken to see that this is not done mechanically, that is, without a
close examination of the rationale of the decision cited as a precedent.”
However, it must be conceded that stare decisis is only a part of this topic. There is much more.
There are substantive rules for the interpretation of statutes, there are unique considerations when
principles of the law of equity are involved and problems caused by the evidentiary rules of onus
of proof. Yet, while the multitude of these rules provides the lawyer with a large variety of other
tools and techniques for legal reasoning and legal argument, it also has to be conceded that stare
decisis continues to play the pivotal role. It can be concluded that for an organized and orderly
development of law the method of using judicial precedents is inevitable.

BIBLIOGRAPHY

Primary Sources
● The Constitution of India, 1950

Secondary Sources
I. Books
● A. Lakshmi Nath, Precedent in The Indian Legal System, Eastern Book Company,
Lucknow, 1990

47
1983 AIR 1155.
18
● J.N.Pandey, Constitutional Law of India,Central Law Agency, Allahabad, 52nd edn.,
2015

● Mahendra P. Singh (ed.), Constitution of India, Eastern Book Company, Lucknow, 11th
edn., 2008

● Nomita Aggarwal, Jurisprudence-Legal Theory, Central Law Publications, Allahabad,


4th edn, 2003.

● P.J. Fitzgerald, Salmond on Jurisprudence, Universal Law Publishing, Delhi, 12th edn.,
2002

● V.N. Shukla, Constitution of India, Eastern Book Company, 10th edn., 2001.

II. Websites
● www.manupatra.com
● http://ssrn.com
● https://blog.ipleaders.in/comparative-study-doctrine-stare-decesis-india-canada-us/
● https://study.com/academy/lesson/stare-decisis-doctrine-definition-example-cases.html

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