Whistle Blowers ACT, 2011
Initially, to control and supervise disclosures regarding complaints or accusations of corruption or misuse of power by public authorities, the Indian Government passed “The Public Interest Disclosure and Protection to Persons Making the Disclosure Bill, 2010“. This legislation was later renamed the Whistleblowers Protection Bill, 2011 and was enacted in 2014. The Act serves as a mechanism for protecting the anonymity of whistleblowers, ensuring their safety from victimisation, and encouraging individuals to report such complaints without fear. Under this Act, whistleblowers can report complaints to the Central Vigilance Commission (CVC), which is the competent authority. The Act stipulates punishment, including imprisonment of up to two years and a fine of up to Rs. 30,000, for false or frivolous complaints. Therefore, whistleblowers must make their complaints in good faith, accompanied by a personal declaration that they believe the disclosed information to be true. The allegations should be substantially true. The complainants can submit complaints in writing or via email, providing all relevant details and any supporting evidence or documents. If the complaint turns out to be incorrect or if the public authority’s identity remains unknown, no action will follow. Additionally, any information that poses a threat to national security falls outside the purview of this Act. Done By: Seethala B , BBA., LL.B (Hons.), Junior Legal Consultant For Origin Law Labs
Arbitration Clause Vs Byelaws
Case: A.V. Vijayakumar V. Sharekhan Limited O.P.No.216 of 2016 In this case, the critical issue lies in defining the territorial jurisdiction to decide the Application for setting aside an arbitral award made under Section 34 of the Arbitration and Conciliation Act, 1996 between an intermediary and a client within a national stock exchange framework. 1. SEBI released a Circular on August 22, 2011, which replaced the Client Broker Agreements with an account opening form incorporating a Know Your Client (KYC) form and additional documents gathering more information about the client about the trading account. Clause No.17, the jurisdiction clause, was introduced by the 2011 amendment to the National Stock Exchange bylaws following this circular. 2. Clause 17 of the NSE bylaws states that jurisdiction for Arbitration, Appellate Arbitration, and Applications to set aside an arbitral award under Section 34 of the Arbitration and Conciliation Act, 1996, should be submitted to the competent court nearest to the address provided by the Client in the KYC form. 3. This was reiterated in the SEBI circular dated 5th July 2013. It was held that NSE bylaws may have a statutory flavour, but it may not be necessary to go into them. The parties’ autonomy kicks in when there is an arbitration agreement. Considering that the parties have knowingly and consciously agreed that the Courts of Mumbai will have jurisdiction, it is unnecessary to go into the bylaws, which only operate absent a specific agreement to the contrary. Done By: Sowmiya R.K , B.A.,LL.B(Hons), LLM (Business Law), Junior Legal Consultant For Origin Law Labs
The Criminal Law Perspective On Defualt Bail
The release of an accused upon the failure of the investigating agency to submit a charging document within the designated timeframe is referred to as “default bail” in India. It is essential to criminal justice because it preserves the legal process’s integrity while safeguarding the accused’s rights. Section 167(2) of the Criminal Procedure Code (CrPC) discusses default bail. The duration during which the investigation of offences under the Indian Penal Code (IPC) must be concluded, and the charge sheet must be filed is subject to variation based on the severity of the offence. In cases where offences have a maximum jail sentence of 10 years, the inquiry must be concluded within 60 days after the arrest. In cases involving offences with penalties of death, life imprisonment, or imprisonment exceeding 10 years, the inquiry must be concluded within 90 days after the arrest. In Ravi Prakash Singh @Aravind Singh v. State of Bihar, 2015 (8) SCC 340, the Supreme Court held that the 60-day or 90-day period should be calculated from the date of initial remand following arrest rather than the date of the arrest itself. The charging document and filing date shall also be incorporated into the calculation. The Supreme Court upheld the High Court’s refusal of bail in this case. By safeguarding against the potential abuse of state authority, default bail protects the accused’s fundamental rights, including the right to liberty. This legislation reinforces the presumption of innocence until proven guilty by permitting individuals to obtain their release even without substantial evidence implicating them. Done By: Anoushka Samyuktha, B.A LL.B (Hons), LLM (Criminal Law), Junior Legal ConsultantFor Origin Law Labs
Gram Nyayalayas
The establishment of Gram Nyayalayas is governed by the Gram Nyayalayas Act, 2008, which aims to provide access to justice at the grassroots level. Enshrined in the Directive Principles of State Policy as Article 39A, the act emphasises equal justice and free legal aid. The 114th Report of the Law Commission (1986) recommended these courts reduce the burden on higher courts and provide speedy and affordable justice in rural areas. Gram Nyayalayas ensures justice for marginalised sections of society, reduces barriers to justice such as distance, time, and cost, and provides speedy resolution of disputes. These mobile courts have jurisdiction over specified criminal and civil cases and aim for conciliation between parties. Nyay Adhikaris (presiding officer) is appointed by the State Government in consultation with the High Court, ensuring eligibility criteria similar to those of judicial magistrates of the First Class. States are responsible for notifying the boundaries of Gram Nyayalaya areas and providing necessary facilities for mobile courts. As per a 2020 reply to an unstarred question from Rajya Sabha, 395 Gram Nyayalayas have been notified by 12 states in the country. However, challenges such as financial constraints, infrastructure inadequacies, and overlapping jurisdictions with other courts need to be addressed through amendments to the Act and enhanced capacity-building measures. Strategies for strengthening Gram Nyayalayas include redefining jurisdiction, creating a separate cadre for Nyay Adhikaris, enhancing infrastructure and security, and increasing stakeholder awareness and capacity-building. Done By: Seethala B , BBA., LL.B (Hons.), Junior Legal Consultant For Origin Law Labs
Maritime Lien
Maritime lien is a kind of charge that is applied to a ship, in order to secure specific kinds of claims. It grants rights against a ship that survives the ship’s sale and has priority over registered mortgages. Even in cases when a charterer or a vessel manager creates the lien, it may still grant rights against the vessel. The idea that a ship is a legal entity in itself, independent of its ownership, is the foundation for the creation of a maritime lien. A lien is an obligation owed by the ship itself that may be violated rather than a security interest resulting from the owner or operator of the ship’s own obligation under a contract. Notwithstanding any changes in ownership, registration, or flag, the maritime lien will remain on the vessel and will be terminated after a year, unless the vessel has been arrested or seized and the High Court has ordered a forced sale as a result of the arrest or seizure. It is stipulated that a claim for unpaid wages and other amounts owed to the master, officers, and other crew members must be made within two years of the date the wage, amount, cost of repatriation, or social insurance payment becomes due or payable. Done By: Nithyaparvathy R.G, B.Com LL.B (Hons.), Junior Legal ConsultantFor Origin Law Labs
What is Unpublished Price Sensitive Information (UPSI)?
Unpublished Price Sensitive Information is a part of the idea of insider trading. Insiders are individuals who are part of the company whose shares they trade. They can be vital managerial executives, directors, or employees. Insider trading refers to malpractice where an insider—someone with access to information that the public doesn’t have—uses that information to their advantage when making investment decisions. It creates a biased benefit due to the imbalance in knowledge between different investors and the company. Price-sensitive information generally includes details about financial performance, mergers, acquisitions, regulatory approvals, etc. Any information that can significantly impact a company’s share price in the market can be considered unpublished price-sensitive information. The SEBI (Prohibition of Insider Trading) Regulations, 2015 categorises the following as Unpublished Sensitive Information: Information generally available to the public on a discriminatory basis would not be considered price-sensitive. Information published on a stock exchange’s website would be generally available. Done By: Sri Sai Kamalini M.S , B.A LL.B (Hons.), LLM ( Corporate law and Financial policy), Junior Legal ConsultantFor Origin Law Labs
Prenuptial Agreement – Marital Pact
A prenuptial agreement (prenup) is a type of contract created by two people before entering into marriage, detailing property ownership, debts, and outlining property rights during the marriage and in case of divorce. It addresses matrimonial disputes, separation, and divorce, providing a framework for a peaceful settlement of property, assets, maintenance, income, retirement benefits, savings, and alimony rights. In India, prenuptial agreements are not legal and not valid under marriage laws because Hindu marriages are not considered as a contract. Any agreement which is contrary or against public policy is not an acceptable agreement in India. Even prenuptial agreements came into force in India, since it is believed that marriages are considered to be a religious bond between husband and wife, the agreement would not be socially accepted. In the case Bhagwati Charan Singh v. Parmeshwari Nandar Singh, L. R. (1942) ALL. 618 the supreme court held that Hindu marriage is not only a sacrament but also a civil contract. The court has also emphasised that the object of a contract cannot be a marriage. The major provisions of the agreement – 1. Separate property 2. Alimony and Maintenance 3. Estate planning 4. Disclosure of assets and liabilities. The Indian Court considers a Prenuptial Agreement valid if both the parties mutually agree to it and sign it voluntarily without any undue Influence or threat. These agreements come under the Indian Contracts Act, 1872. However, according to Section 10 of the Act, Agreements will be treated as Contracts when formed with the voluntary consent of the Parties. Goa is the sole state where prenuptial agreements are legally enforceable, following the Portuguese Civil Code, 1862. Thus, prenups can provide clarity, protection and peace of mind when it comes to financial matters and division of assets in the event of separation. They allow both the parties to establish fair and agreed-upon terms, protecting their individual rights and interests. Done By: Reshma A, 5th year B.Com., LL.B(Hons. SRM University, Kattangulathur For Origin Law Labs
Free Consent – Did Both Parties Agree?
Free consent, as defined in Section 13 of the Indian Contract Act 1872, signifies the voluntary agreement of all parties involved without undue influence or fraud. This legal principle is known as consensus-ad-idem. Think of free consent in the legal world like a high-five. When two people give each other a high-five, it’s because they both want to agree to it. It’s a voluntary action that shows mutual agreement. Similarly, in the legal context, free consent means that both parties willingly agree to something without any force, fraud, or trickery involved.This concept of free consent is picked up from the passage in the judgement of Raffles v. Wichelhaus ((1864) 2 Hurl & C 906) which states that “It is essential to the creation of contract that both parties should agree to the same thing in the same sense. Thus if two individuals enter into an apparent contract regarding a particular person or ship and it happens to be that each of them, misled by a similarity of name, no contract would exist between them.In the case of Raffles v. Wichelhaus, ((1864) 2 Hurl & C 906) A and B, entered into a contract for the sale of 125 cotton bales by a ship named “peerless” from Bombay. The case illustrated the importance of consensus-ad-idem, as a contract was deemed invalid when parties, thinking of different ships with the same name, lacked a meeting of minds.According to section 14, the consent of the parties in a contract is considered free when the following elements are fulfilled. In conclusion, free consent is a vital concept in the realm of law, particularly in contract law. It ensures that individuals enter into agreements willingly and without any external pressure or deceptive tactics. By upholding this principle, the legal system aims to protect the rights and interests of all the parties involved in a contract. Done By: Reshma A, 5th year B.Com., LL.B(Hons. SRM University, Kattangulathur For Origin Law Labs