AIR 1982 SUPREME COURT 1550 ::(1983) LS 1 ::1984 MCC 1 214 ::1982 UJ(SC) 851 ::1982 (3) SCC 338 ::(1983) 1 APLJ 13.1 ::(1982) 2 FAC 299 ::1983 RajLR 1 ::(1983) 1 SCJ 286 ::1983 UP Cri C 156

Supreme Court Of India

Hon'ble Judge(s): D. A. Desai, V. Balakrishna Eradi , JJ

Delhi Municipal Corporation Act (66 of 1957) , S.421— Licence for running a restaurant - Refusal to renew without notice and opportunity to represent - Decision is against principles of natural justice and void. Natural justice - Principles - Violation of. Where, in order to carry on business a licence is required, obviously refusal to give licence or cancellation or revocation of licence would be visited with both civil and pecuniary consequences and as the business cannot be carried on without the licence it would also affect the livelihood of the person. In such a situation before either refusing to renew the licence or cancelling or revoking the same, the minimum principle of natural justice of notice and opportunity to represent one's case is a must.(Para 5) Where no opportunity is given before taking the decision not to renew the licence and the hotel is sealed the decision in violation of the minimum principle of natural justice would be void. Though no specific order was made setting out the reasons for refusal to renew the licence the action taken of sealing the premises for carrying on the business without a licence clearly implied that there was refusal to renew the licence and the reasons were not disclosed. The action disclosing the decision being in violation of the principle of natural justice, d....