AIR 1975 SUPREME COURT 171 ::1975 LAB. I. C. 137 ::1975 3 SCC 613 ::30 FacLR 115 ::1975 (1) LabLJ 163 ::46 F J R 343 ::46 FJR 348 ::1975 JabLJ 412 ::1975 Mah LJ 332 ::1975 MPLJ 280 ::1975 (1) SCJ 279 ::1975 2 SCR 873

Supreme Court Of India

(From: Madhya Pradesh)

Hon'ble Judge(s): A. Alagiriswami, R. S. Sarkaria , JJ

(A) Industrial Disputes Act (14 of 1947) , S.18, S.2(p)— Conciliation proceedings - Settlement - Extension of operation of such settlement beyond parties. From a perusal of Section 18, it would be clear that a settlement arrived at in the course of conciliation proceedings is binding not only on the actual parties to the industrial dispute but also on the heirs, successors or assigns of the employer on the one hand, and all the workmen in the establishment, present or future, on the other. In extending the operation of such a settlement beyond the parties thereto, sub-section (3) of the Section departs from the ordinary law of contract and gives effect to the principle of collective bargaining. But sub-sec. (3) cannot be invoked where it is a finding of the High Court that a settlement arrived at between the employer and the workmen is not deemed a settlement arrived at in the conciliation proceedings.(Para 13) According to the scheme of S. 18 read with Section 2 (d), an agreement, made otherwise than in the course of conciliation proceedings, to be a settlement within the meaning of the Act must be a written agreement signed in the manner prescribed by the rules framed under the Act. An implied agreement by acquiescence, or conduct such as acceptance of a benefit under an agreement to which the worker acquiescing or accepting ....