Supreme Court of India (Division Bench (DB)- Two Judge)

Appeal (Civil), 6015 of 2009, Judgment Date: Nov 26, 2015

 We make it clear that to maintain certainty in the judicial  decision,
we have to restrain from interfering with the decision  of  the  High  Court
which has stood for a  long  period  on  the  principle  of  stare  decisis.
However, the said principle will be applicable  where  the  meaning  of  the
Statute is ambiguous and capable of more interpretation than  one.   In  the
instant  case,  the  provision  of  the  Act/Statute  is  very  clear   and,
therefore, principle of stare decisis is of no help to the respondents.

                                                                  REPORTABLE

                        IN THE SUPREME COURT OF INDIA
                        CIVIL APPELLATE JURISDICTION


                        CIVIL APPEAL NO. 6015 OF 2009

State of Himachal Pradesh and others                            Appellant(s)

                                   versus

Ashwani Kumar and others                                       Respondent(s)




                               J U D G M E N T

                                                        
M.Y. Eqbal, J.:                                          


      This appeal by  special  leave  is  directed  against  judgment  dated
7.5.2007 passed by  the  Division  Bench  of  the  High  Court  of  Himachal
Pradesh, whereby the writ petition preferred by the respondents was  allowed
and the orders passed by the Revenue Authorities were quashed, holding  that
every landowner of the family of one Dev Raj was  entitled  for  a  separate
unit.

2.    The facts in nutshell are that  Dev  Raj,  predecessor-in-interest  of
the respondents herein, was holding land measuring 2400 kanals 9  marlas  in
village Kalroohi and Mubarikpur as owner.  He was issued notice in form  C-V
in which area measuring 1767 Kanals 9 Marlas was proposed to be declared  as
surplus under the Himachal Pradesh  Ceiling  on  Land  Holdings  Act,  1972.
Instead of filing objection, the landowner filed a writ  petition  in  which
High Court directed that the determination of surplus area be  made  by  the
Collector.  On 22.7.1976,  the  Collector,  Una  District  passed  an  order
holding that the land owned by wife of late Dev Raj namely, Smt. Kala  Devi,
and Yash Pal, Dharam Pal, Ram Pal sons of  Dev  Raj  be  excluded  from  the
holding of landowner Dev Raj and all the members of the family holding  land
continue  to  enjoy  rights  therein  to  the  extent  of   the   determined
permissible area.  Thereafter, while deciding  reference  in  revision,  the
Financial Commissioner, Himachal Pradesh remanded the case to the  Collector
for decision afresh in accordance with law after affording  due  opportunity
to the respondents.  After remand, the Collector Land  Ceiling,  Una  passed
order holding that Dev Raj and that of his family with Ram Paul being  adult
son on the appointed day i.e.24.1.1971, the landowner is  entitled  for  two
units of land as permissible area.

3.    In appeal against the aforesaid order,  the  Divisional  Commissioner,
Kangra Division, on 30.3.1986, held that the provisions of Section 4(6)  are
very explicit under which the total land held by the family members  has  to
be considered.  In revision, the  Financial  Commissioner  (Appeals)  upheld
the  order  of  the  Divisional  Commissioner.   Thereafter,   successor-in-
interest of Dev Raj filed writ petition before the High  Court  of  Himachal
Pradesh challenging the orders passed by the Revenue Authorities.

4.    Before the High Court, respondents pleaded that the  writ  petitioners
in their own right are individual landowners before the appointed day  under
the Act.  Their individual land holdings  cannot  be  clubbed  together  for
determining  permissible  area  under  Section  4  of  the  Act   and   such
petitioners are entitled to  one  unit  individually  under  the  Act.   The
individual holding of all petitioners except writ  petitioner  no.1  is  far
below permissible area.   Therefore,  while  determining  their  permissible
area, the surplus area out of the land holding of writ petitioner no.1  only
is to be excluded, the  others  do  not  have  any  surplus  area  as  their
individual holding is within the permissible limits  of  the  Act.   It  was
argued before the High Court that the order dated 22.7.1976  passed  by  the
District Collector but other orders passed subsequent to that order are  not
in accordance with the Act.  It has been urged that in  sub-section  (4)  of
Section 4 adult son of a landowner is entitled to a separate unit up to  the
extent permissible to a ‘family’ under sub-section  (1)  and  (2)  but  once
adult son himself is a landowner in his own right, then he  is  entitled  to
hold permissible area under the  Act  in  his  individual  capacity  and  he
cannot be confined to have separate unit up to the extent permissible  to  a
family.

5.    Per contra, State of Himachal Pradesh heavily relied upon  sub-section
(6) of Section 4 of the Act and contended that writ petitioners nos.2  to  5
are members of the family of writ  petitioner  no.1,  and  therefore,  their
holding individually together with the land held by all  of  them  shall  be
taken into account for the purposes of calculating the permissible area.

6.    The Division Bench of the High Court allowed  the  writ  petition  and
quashed  the  orders  passed  by  the  Revenue  Authorities  directing   the
Collector Land Ceiling, Una to determine the permissible  area  of  original
writ petitioners nos.1 to 5 individually in the light  of  the  observations
made in the impugned judgment.  The High Court observed thus:
“23.  In Annexure P-11 it has come that petitioner No.1  Dev  Raj  has  four
sons who are all major and reside separately from their father.  As  against
this evidence, the respondents have not proved that the petitioners No.2  to
5 have acquired any land through petitioner No.1 before the  appointed  date
24.1.1971.  The simple case of the respondents  is  that  since  petitioners
No.2  to  5  are  family  members  of  petitioner  No.1,  therefore,   their
individual holding is to be counted for determination  of  permissible  area
of all family members as a unit and, therefore,  all  of  them  collectively
are entitled to only two units.  This argument of  the  respondents  has  no
force; firstly, petitioner No.2 is the wife and petitioners No.2  to  5  are
adult sons of petitioner No.1. Family has been defined as husband, wife  and
their minor children or anyone or more of them.  The petitioner  No.2  being
the wife of petitioner No.1 is entitled  to  be  treated  as  an  individual
person for the purposes of determining the  permissible  area  available  to
her as held in Raj Kumar Rajinder Singh’s  case  (supra).   The  petitioners
nos.3 to 5 are not family members of petitioner no.1 as  per  definition  of
family and otherwise also their individual land holding  cannot  be  counted
under sub-section (6) of Section 4 for  determination  of  permissible  area
along with  petitioner  no.1.   Even  if  petitioners  nos.3  to  5  on  the
appointed date  were  minors  still  their  individual  holdings  cannot  be
counted for determining the permissible area of  petitioner  no.1  Dev  Raj.
The permissible area of all petitioners is to be determined under Section  4
separately under the Act.  The  authorities  have  erred  in  reviewing  the
order dated 22.7.1976 Annexure P-11 by applying Mehar Ali’s case decided  by
respondent no.2.”

7.    Challenging the decision of the High  Court,  the  State  of  Himachal
Pradesh and  its  revenue  authorities  have  preferred  instant  appeal  by
special leave raising question of law whether in view of the  provisions  of
the Himachal Pradesh Ceiling  on  Land  Holdings  Act,  1972,  a  family  of
husband, wife, one adult son and three minor children, though everybody  was
holding the land on 24th day of January, 1971,  could  hold  more  than  two
units of permissible area?

8.    Mr. Satyanaryan Singh, learned Sr. AAG  appearing  for  the  State  of
U.P., assailed the impugned judgment passed by the High Court mainly on  the
ground that the provisions of the Himachal Pradesh Ceiling on Land  Holdings
Act, 1972 (for short, “the Act”) has been interpreted in such a way that  it
has swayed away the very object  of  the  ceiling  law.   According  to  the
learned counsel, the original writ petitioner Dev  Raj  and  his  wife  were
having 4 sons; one major and 3 minors on the appointed day when the  Ceiling
Act came into force i.e. 24.01.1971.  According to the learned counsel,  the
High Court has not correctly interpreted  Section  4  of  the  Act  and  the
definition of terms, “landowner”, “permissible  area”,  “person”,  “separate
unit” and “surplus area”.  Learned counsel further submitted that  the  High
Court has erred in law in holding that the earlier  judgment  in  Raj  Kumar
Rajinder Singh’s case, the Court has recorded a finding in paragraph  19  of
the judgment when as a matter of fact that was the submission  made  by  the
counsels in that case.  Mr. Satyanarayan further submitted  that  it  is  an
admitted case of both the parties that on 24th January  1971  the  landowner
Dev Raj was having a family comprising of his wife,  one  adult  son  and  3
minor sons.  By correctly interpreting the provisions of the Act, it  cannot
be held that all the members of the family shall hold  land  separately  and
their holdings cannot be counted for determining the permissible area.

9.    Per contra, Mr. Anil Sachthey, learned  counsel  for  the  respondent,
fully relied on the decision of the Full Bench of the Himachal Pradesh  High
Court in Raj Kumar Rajinder’s case (AIR 1976  HP  82(FB).   Learned  counsel
submitted that the Full Bench considered the provisions of the Act and  held
that additional area is added on the fiction that so much more land  out  of
the land holding is required as a provision in the hands of the land  holder
in respect of an adult son.

10.   Mr. Sachthey, then submitted  that  in  any  event  it  is  a  settled
proposition of law that where a decision is allowed  to  stand  or  followed
for a considerable length of time then the Court is reluctant  to  interfere
on the principle of stare decisis.   In  this  connection,  learned  counsel
relied upon the decisions of this Court in the case  of  Gajnan  and  Others
vs. Seth Brindaban; (1970) 2 SCC 360 and Raj Narain Pandey  and  Others  vs.
Sant Prasad Tewari and Others; (1973) 2 SCC 35.
11.   At this  stage,  we  think  it  proper  to  go  through  the  relevant
provisions of the Act.  Section 3 defines the word “family” and “person”  as
under:-
“3(e) “family” means husband, wife and their minor children or  any  one  or
more of them;
                             xxxx
3(n) “person” means the landowner, tenant  and  mortgagee  with  possession,
and  includes  a  company,  a  family,  an  association  or  other  body  of
individuals, whether incorporated or not, and  any  institution  capable  of
holding property;”

12.   Perusal of the aforesaid definitions makes it  clear  that  the  words
“family” and “person” mean the landowner etc. in the Act.  Section 4 of  the
Act reads as under:-
“Section 4: Permissible area
(1) The permissible area of a landowner or a  tenant  or  a  mortgagee  with
possession or partly in one capacity or partly in another  of  person  or  a
family consisting of husband, wife and upto three minor  children  shall  be
in respect of-
(a) land under assured irrigation capable of growing two crops  in  a  year-
10 acres.
(b) land under assured irrigation capable of growing one crop in a year-  15
acres.
(c) land of classes other than  described  in  clauses  (a)  and  (b)  above
including land under orchards-30 acres.
(2) The permissible area for the purposes of clause (c) of  sub-section  (1)
for the districts of Kinnaur and Lahaul and Spiti,  Tehsil  Pangi  and  Sub-
Tehsil Bharmaur of Chamba district, area of Chhota Bhangal and Bara  Bhangal
of Baijnath Kanungo Circle of Tehsil Palampur of Kangra district,  and  area
of Dodra Kowar Patwar Circle  of  Rohru  Tehsil  and  Pandrabis  Pargana  of
Rampur Tehsil of Shimla district shall be 70 acres.
(3) The permissible  area  of  a  family  under  sub-section  (1)  shall  be
increased by one-fifth of the permissible area under  sub-sections  (1)  and
(2) for each additional minor member of a family subject  to  the  condition
that the aggregate permissible area shall not exceed twice  the  permissible
area of family under sub-sections(1) and (2).
(4) Every adult son of a person shall be treated as a separate unit  and  he
shall be entitled to the land upto the extent permissible to a family  under
sub-sections (1) and (2) subject to the condition that  the  aggregate  land
of the family and that of the separate units put together shall  not  exceed
twice the area permissible under the said sub-sections:
Provided that where the separate unit owns  any  land,  the  same  shall  be
taken into account for calculating the permissible area for that unit.
(5) If a person holds land of two or more categories  described  in  clauses
(a), (b) and (c) of sub-section (1) and  sub-section  (2)  of  this  section
then the permissible area shall be determined on the following basis:-
(i) in the areas mentioned in sub-section (2) of this section, one  acre  of
land mentioned in clause (a) of sub-section (1) shall count  as  one  and  a
half acres of land mentioned in clause (b)  of  sub-section  (1)  and  seven
acres of land mentioned in clause (c) of sub-section (1);
(ii) in the areas other than the areas mentioned in sub-section (2) of  this
section, one acre of land mentioned in clause (a) of sub-section  (1)  shall
count as one and a half acres of  land  mentioned  in  clause  (b)  of  sub-
section (1), and three acres of land mentioned in clause (c) of  sub-section
(1):
Provided that on the basis of ratio prescribed in clauses (i) and (ii),  the
permissible area shall be converted into the category of land  mentioned  in
sub-section (2) and in clause (c) of sub-section (1) as  the  case  may  be,
and the total area so converted shall not exceed 70 acres in case of  clause
(i) and 30 acres in case of clause (ii).
(6) Where a person is a member of the family, the land held by  such  person
together with the land held by all the members of the family shall be  taken
into account for the purpose of calculating the permissible area.”


13.   By reading the plain language of  Section  4,  it  provides  that  the
landowner may be a  family,  capable  of  holding  property,  consisting  of
husband, wife and three minor children.  As per sub-section (1)  of  Section
4, the permissible area which a family consisting of husband,  wife  and  up
to three minor children shall be to the extent  provided  therein.   It  is,
therefore, manifest that under Section  4(1)  of  the  Act,  the  family  is
limited in terms of number of  minor  children,  though  in  the  definition
clause, i.e. under Section 3(e), “family” is not limited in terms  of  minor
children.  The family, therefore, will be taken as an  individual  unit  for
the purpose of determining the permissible area under the Act.   Sub-section
(4) of Section 4, however, makes it clear that  every  adult  son  shall  be
treated as a separate unit and he shall be entitled to the land  up  to  the
extent permissible to a family under sub-sections (1)  and  (2)  subject  to
the condition that the  aggregate  land  of  the  family  and  that  of  the
separate units put together shall not  exceed  twice  the  area  permissible
under the said sub-section.  Sub-section (6)  of Section 4 further makes  it
clear that where a person is a member of the family, the land held  by  such
person together with the land held by all the members of  the  family  shall
be taken into account for the purpose of calculating the permissible area.

14.   In other words,  by  reading  the  entire  provisions  of  Section  4,
particularly sub-section (6) of Section 4, it is made  clear  that  even  if
the  respondents  were  holding  property  in  their  respective  individual
capacity as a person, land held by them will be taken into account  for  the
purpose of calculating the permissible area.  The  provision  in  its  clear
term provides one kind of an exception in case of an adult son of a  person.
 In that case such adult son will be treated as a separate unit  and  he  is
entitled to have separate unit of permissible area up to the extent  of  the
permissible area of a family subject to the  condition  that  the  aggregate
land of the family and that of  a  separate  unit  put  together  shall  not
exceed twice the area permissible.  If we read sub-section (4) minutely,  it
comes out that in the first part the legislature used  the  word   “separate
unit” but in the later part the legislatures have used  the  word  “separate
units” as plural.  The opening  words  of  sub-section  (4)  of  Section  4,
starts with “every adult son of a person” meaning thereby even if  a  person
has more  than  one  adult  son,  all  will  be  treated  as  separate  unit
individually but subject to the condition that aggregate land of the  family
and that of the separate units put together shall not exceed twice the  area
permissible under the said sub-section.

15.  Section 6 of the Act reads as under:-

“6. Ceiling of land: - Notwithstanding anything to  the  contrary  contained
in any law, custom, usage or agreement, no person shall be entitled to  hold
whether as a landowner or a tenant or a mortgagee with possession or  partly
in one capacity and  partly  in  another,  the  land  within  the  State  of
Himachal Pradesh exceeding the permissible area on or  after  the  appointed
day.”


16.   Another important provision is Section 17, which deals with  the  case
of future acquisition of land by  inheritance  or  otherwise  in  excess  of
permissible area or increase in such area as a result of operation  of  this
Act.  Section 17 reads as under:-
“Section 17: Future acquisition of land by inheritance or otherwise in
excess of permissible area or increase in such area as a result of
operation of this Act:
Subject to the provisions of section 15, if after the commencement  of  this
Act, any person, whether as landowner or tenant, acquires by inheritance  or
by bequest or gift from a person to whom he is an heir of any land,  or  any
person has acquired by transfer, exchange, lease,  agreement  or  settlement
any land, or if, after such commencement, any person acquires in  any  other
manner any land, which, with or without the lands already owned or  held  by
him, exceeds in the aggregate the permissible area or any person whose  land
exceeds the permissible area as a result of the operation of  any  provision
of this Act, then he shall, within the period  prescribed,  furnish  to  the
Collector,  a  return  in  the  prescribed  form  and  manner   giving   the
particulars of all lands  and  selecting  the  land  not  exceeding  in  the
aggregate the permissible area which he desires to retain, and if  the  land
of such person is situate in more than one  patwar  circle,  he  shall  also
furnish a declaration required by section 9.
If he fails to furnish the return and select his land within the  prescribed
period, then the Collector may in respect  of  him  obtain  the  information
required to be shown in the return through such agency as he  may  deem  fit
and select the land for him in the manner specified in  sub-section  (1)  of
section 8.
If such person fails to furnish the declaration, the provisions of  (Section
9) shall apply.
The excess land of such person  shall  be  at  the  disposal  of  the  State
Government for utilization as surplus area under  section  15  or  for  such
other purpose as the State Government may by notification direct.

Explanation:- In the case of family, the return  may  be  furnished  by  any
adult member of the family and  in  the  case  of  the  sole  minor  by  his
guardian:
      Provided that the Collector  shall,  before  determining  the  surplus
area, give to all the members of the family an opportunity of being heard.”


17.    The   aforesaid   provision   makes   it   clear   that    when   any
person/landowner  acquires  or  succeeds  land  which  is   in   excess   of
permissible area after the commencement of the Act, such land holder has  to
file separate return to the  Collector  as  per  Rule  16  of  the  Himachal
Pradesh Ceiling on Land Holdings Rules, 1972.

18.   The High Court passed the impugned order based on the decision of  the
Full Bench of the High Court in Rajkumar Rajindra Singh vs. Union of  India,
ILR 1976 HP 453. The Division Bench of the High Court  quoted  some  of  the
paragraphs of Full Bench decision.  In  order  to  appreciate  the  impugned
order, we shall quote  paragraphs  nos.  17,  18  and  19  of  the  impugned
judgment as under:-

“17.  In Rajkumar Rajinder Singh’s case (supra), Full Bench  of  this  Court
in Paragraph-8 has held as under:-

“………….It is the permissible area in the case of a person or  a  family.  And
it is the permissible area in respect of the landholding of such  person  or
family. It is the landholding of such person or  family  alone  which  forms
the subject-matter of Section 4, and the several sub-sections lay  down  the
principles for the mathematical  computation  of  the  permissible  area  in
respect  of  such land-holding.  Section  4  is  not  concerned   with   the
landholding of any other person or family  nor  with  the  transfer  of  the
rights of one landholder in favour of another.

18.   In Paragraph 24, the Full Bench has  held  that  no  doubt  that  sub-
section (6) of Section 4 contemplates where a person is a member of  family,
the land held by such family together with the land held by all the  members
of the family shall be taken into account for the  purposes  of  calculating
the permissible area, that question can arise only in relation to a  family,
the provision is concerned only with the  mathematical  computation  of  the
permissible area.

19.   In paragraph- 19, the Full Bench has held:-
The petitioners say that while a husband and the children have the right  to
hold land a wife has been deprived  of  such  right.  There  is  nothing  in
the Act which can lead to that conclusion. A family, consisting of  husband,
wife and children has been recognised as a unit  for  the  determination  of
the permissible area, and the land holding of the family as such is  treated
for that purpose. If a wife holds land separately in her own right,  she  is
entitled to  be  treated  as  an  individual  person  for  the  purposes  of
determining the permissible area available to her.”

19.   From perusal of  the  aforementioned  paragraphs  of  the  Full  Bench
judgment, it appears that the High Court has completely  departed  from  the
plain language used in Section 4 of  the  said  Act.   The  High  Court  has
committed serious error of  law  in  holding  that  if  a  wife  holds  land
separately in her own right, she is entitled to be treated as an  individual
person for the purpose of determining  the  permissible  area  available  to
her.  We are of the definite opinion that the Full  Bench  has  not  rightly
interpreted the provisions of the Act.

20.   The submission made by learned counsel appearing for  the  respondents
that the impugned judgment needs no interference on the principle  of  stare
decisis cannot be accepted.   The decision relied upon  by  the  respondents
in the case of Gajnan (supra), this Court held that  to  maintain  certainty
in the judicial decision the court  should  refrain  from  interfering  with
such decision which stood for  a  long  period.   However,  this  Court  has
clearly laid down that this principle will be applicable “where the  meaning
of a statute is ambiguous and capable of more interpretations than one”.

21.   This Court in Indra Sawhney and others vs. Union of India and  others,
etc. AIR (1993) SC 477, in paragraph 26-A of the  Judgment,  considered  the
principle  of  stare  decisis  and  observed  that  in  the  law  certainty,
consistency and continuity are highly desirable features.  Where a  decision
has stood the test of time and has never been doubted, we have respected  it
unless, of course, there are compelling and strong reasons  to  depart  from
it.

22.   We make it clear that to maintain certainty in the judicial  decision,
we have to restrain from interfering with the decision  of  the  High  Court
which has stood for a  long  period  on  the  principle  of  stare  decisis.
However, the said principle will be applicable  where  the  meaning  of  the
Statute is ambiguous and capable of more interpretation than  one.   In  the
instant  case,  the  provision  of  the  Act/Statute  is  very  clear   and,
therefore, principle of stare decisis is of no help to the respondents.

23.   Apart from that it appears that the instant case arose out of  certain
proceedings initiated as far back as in  1974,  and  travelled  up  to  this
Court.  The Full Bench judgment came only in the year 1976  and,  therefore,
in our considered opinion, the doctrine of stare decisis  should  not  apply
in the facts of the present case.

24.   Considering the entire facts of the case and the  relevant  provisions
of the Act, we are of  the  definite  opinion  that  the  impugned  judgment
passed by the High Court is contrary  to  law,  facts  on  record,  and  the
findings recorded therein cannot be sustained.

25.   We, therefore, allow this appeal and set aside the judgment passed  by
the High Court.


                                                              …………………………….J.
                                                                (M.Y. Eqbal)



                                                              …………………………….J.
                                                               (C. Nagappan)
New Delhi
November 26, 2015