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The Supreme Court on Thursday said it could not unnecessarily fiddle with well-thought-out interim orders of High Courts staying criminal and civil proceedings.
A Constitution Bench headed by Chief Justice of India D.Y. Chandrachud said the top court had no power whatsoever to declare that a stay order passed by a High Court after due application of mind would automatically expire within six months.
The five-judge Bench was deciding a reference made to it about the correctness of a 2018 judgment in Asian Resurfacing of Road Agency Vs CBI.
Validity of stay orders
A stay order is a court order that temporarily suspends a judicial proceeding or the enforcement of a previous court order.
It aims to maintain the status quo until the court makes a final decision on the matter.
Validity of Stay Orders in India
The recent Supreme Court of India ruling (February 2024) overturning the previous Asian Resurfacing decision has had a significant impact on the validity of stay orders:
Stay orders now do not have an automatic expiration date of six months. They will remain in effect until the case is decided or explicitly modified by the court.
Judicial Discretion: Courts have full discretion to determine the duration of a stay order based on the specific circumstances of a case. They can grant time-bound or indefinite stay orders.
Reasoning Required: Courts must provide sufficient reasons for granting a stay order and, if necessary, explain why it should remain in force for an extended period.
Considerations for Validity
While the recent ruling provides more flexibility, courts generally consider the following factors when determining the validity and duration of a stay order:
Balance of Hardship: Whether the party seeking the stay will suffer more hardship if it's denied compared to the hardship caused to the other party if it's granted.
Likelihood of Success: The court evaluates the merits of the underlying case and the probability of success for the party seeking the stay.
Public Interest: In some cases, the court might consider the broader public interest when making a decision on a stay order.
Important Notes:
The Supreme Court's ruling aims to prevent unnecessary delays and ensure that cases are resolved within a reasonable timeframe.
This decision enhances judicial discretion in managing cases, potentially reducing indiscriminate use of stay orders.
Article 142
Article 142 of the Indian Constitution is a unique provision that grants extraordinary power to the Supreme Court of India.
Purpose:
Complete Justice: Article 142 aims to ensure "complete justice" in any case before the Supreme Court.
This means the Court can go beyond the limitations of existing laws and statutes to reach a fair and just outcome.
Flexibility: It gives the Supreme Court the flexibility to tailor its orders to the specific circumstances of a case, preventing potential injustices that may arise from a rigid interpretation of the law.
Key Provisions
Power to Pass Decrees and Orders: The Supreme Court can pass any decree or order necessary to achieve complete justice in a matter before it.
Enforcement: Such decrees and orders are enforceable throughout India, and the manner of enforcement can be prescribed by Parliament or the President.
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