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AIR 2000 SUPREME COURT 3116 ::2000 AIR SCW 3442.2
Supreme Court Of India
(From : 1999 Lab IC 798 (Kant))
Hon'ble Judge(s): Ajay Prakash Misra, Y. K. Sabharwal , JJ

(A) Industrial Disputes Act (14 of 1947) , S.2(j)— Industry - Exclusion of sovereign functions - Sovereign functions are primarily inalienable functions which only State could exercise - Welfare activity of @page-SC3117State - Not sovereign function - Absence of profit motive or fact that there is State Monopoly - Does not make such enterprise soveriegn. Sovereign function in the new sense may have very wide ramification but essentially sovereign functions are primary inalienable functions which only State could exercise. Thus, various functions of the State, may be ramifications of 'sovereignty' but they all cannot be construed as primary inalienable functions. Broadly it is taxation, eminent domain and police power which covers its field. It may cover its legislative functions, administration of law, eminent domain, maintenance of law and order, internal and external security, grant of pardon. So, the dichotomy between sovereign and non-sovereign function could be found by finding which of the functions of the State could be undertaken by any private person or body. The one which could be undertaken cannot be sovereign function. In a given case even in subject on which the State has the monopoly may also be non-sovereign in nature. Mere dealing in subject of monopoly of the State would not make any such enterprise sovereign in nature. Absenc....

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