Source: https://www.legalbites.in/precedent/
Timestamp: 2019-04-24 22:00:02+00:00

Document:
Precedent means judgment or decision of a court of law cited as an authority for the legal principle embodied in it. The doctrine of precedent which is also known as stare decisis, i.e. stand by the decision, is based on the principle that like cases should be decided alike. Once a case is decided by judge by applying the principle, a case on similar facts which may arise in future must also be decided by applying the same principle. This is not always saves the time and labour of judges, but also secures certainty, predictability and uniformity in the applications of law.
The judicial decisions are of two types, namely those which create a new law, and those which apply known and settled principle of law to the particular facts of law. Both these types of decision are treated as precedent. It is because the legal principles embodied there in are authoritative guides to courts for the determination of future controversies. Decisions which create a new law are called original precedents, while those which apply known and settled principles of law to the particular facts of the case are called declaratory precedents. A declaratory precedents is not a source of new law where as an original principle is.
There are several declaratory precedents of law, for the law on most of the points is already settled, and judicial decision are mere declarations of pre-existing rules. On the other hand, original precedent, though fewer in numbers, are greater in importance, as they alone develops the law.
This distinction between original and declaratory precedents is based on two diametrically opposite theories of precedents. One theory supported by jurist like Austin and Friedmann concide they law making role of the judge. In their view some precedents may be original because they laid down original new principle of law. Jurist like Blackstone do not agree with this, and consider the precedents is the declaratory only , i.e., they merely reiterate recognise principles of law the common law contains a rule for every situation and the judge’s function is only to discover and apply it to the case at hand. This is known as declaratory theory of precedent.
Classification of precedents into authoritative and persuasive is a widely accepted classification. An authoritative precedent is one which the judge is bound to follow the irrespective of whether he approves it. In other words the judge has no choice. For instance, are decision of Supreme Court of India is binding on a judge of Kerala High Court. Similarly, a decision of Kerala High Court is binding on lower courts in Kerala. In a system of precedent, decisions of superiors are always consider as authoritative precedents.
Authoritative precedents are further classified in absolute and conditional. An absolutely authoritative precedent is absolutely binding and must be followed without any question, however, unreasonable or erroneous it may be appear to be. It has a legal claim to implicit and unquestioned by the court. Conditionally authoritative precedent is one which is normally binding on the judge may be disregarded by him in limited circumstances.
A persuasive precedent is one which the judge under no obligation to follow. Here, he has a choice in deciding whether to follow a precedent. If he is convinced of the crime of the merits of a decision, he may follow it; otherwise he may refuse. A decision of the Delhi High Court is only a persuasive precedent as far as the Madras High Court concerned, under it is under no obligation to follow it. Foreign judgements may also be considered as persuasive. Persuasive precedents though not binding, often exert a decisive influence on judicial decisions. The distinction between a persuasive precedent and a conditionally a authoritative precedent lies in the fact that the former requires reason to supported while the latter requires are reason to reject it. Authoritative precedents are considered to be legal source of law, while the persuasive precedent is only historical sources.
The Courts have to evolve new principles and lay down new norms which would adequately deal with the new problems which arise in a highly industrialized economy. Courts cannot allow its judicial thinking to be constricted by reference to the law as it prevails in England or for the matter of that in any other foreign country. Indian Courts no longer need the crutches of a foreign legal order. Indian courts have to build up their own jurisprudence. M.C. Mehta and another v. Union of India and others, AIR 1987 SC 1086: 1987(1) SCC 395:Forasol v. Oil and Natural Gas Commission, AIR 1984 SC 241; 1984 Supp. SCC 263.
This Blackstonian doctrine uncompromisingly asserts that the function of judge is jus decree et non jus dare, i.e., to discover in the existing rules of the law the particular principle that govern the facts of individual cases. Judges are, therefore, only ‘law finders’ rather than law makers.
This classical theory of Blackstone has been subjected to severe criticism by eminent jurists. The great law reformer Jeremy Benthan said that the statement that judges only declare the law is ‘ a wilful falsehood having for its subject the stealing of legislative power by and for hands which could not or durst not openly claim it’. His discipline john Austin also has assailed it as a ‘childish fiction employed by our judges that judiciary or common law is not made by them, but it is a miraculous something made by no body ,existing, I suppose from eternity and merely declared from time to time by the judges.’ Several other eminent jurists like Munro Smith and Holmes also consider that this orthodox theory cannot be taken seriously.
(i). The judges has no power to ignore or override the provision of a statute. he is duty bound to enforce the statutory provisions ,leaving to the legislature to deal with any unpleasant consequences not foreseen at the time of passing the act.
(ii). An authoritative precedent limits the law making power of the judge.
(iii). The judicial legislation is restricted to the facts of the case placed before the judges, which is the outcome of an accidental course of litigation.
(iv).Only the ratio decidendi, and not the obiter dicta, has a binding force and authority of law.
It is thus clear that within certain limit judges have the power of profoundly influencing the development of law. Even if they do not ‘make’ the law in the usual sense of promulgating at will the rules of human conduct, it must be acknowledged that they develop the law by contributing several original precedents.
For the operation of the doctrine of precedent, a settled hierarchy of courts is imperative, because the basic rule of precedent is that a court is bound by the decisions of all superior courts. In India, as we know, the Supreme Court is the highest court of law in civil, and constitutional matters. There are high courts at the state level and civil and criminal courts below the high court. Article 141 of the Constitution states that the law declared by the Supreme Court of India shall be binding on all courts in India. The question whether the Supreme Court is bound by its own decision under art 141 was raised in Bengal Immunity Co Ltd v State of Bihar. In that case it was held that although the words, ‘all courts in India’ appear to be wide enough to include the Supreme Court. As a result, the Supreme Court is not bound and is free to reconsider its previous decisions in appropriate cases. This position was reiterated in Sajjan Singh v State of Rajasthan wherein it was held that the Constitution does not place any restrictions on the powers of Supreme Court to review its earlier decisions or even to depart from them. The court made it clear that the doctrine of stare decisis should not permitted to perpetuate erroneous decisions to the detriment of the general welfare. The court recognised the need for exercising restraint in overruling previous decisions stating that the power must be exercised only when consideration of a substantial and compelling make it necessary to do it.
When there is conflict between the two decisions of the Supreme Court, the decision of the larger Bench prevails over that of the smaller Bench. This principle is true that in the case of high courts also.
If two judges Bench find a judgement of a three judges Bench to be so incorrect that it cannot be followed in any circumstances, keeping view of judicial discipline and propriety, the proper course is to refer the matter before it to another Bench of three judges. Pradip Chandra Parija v/s Pramod Chandra Patnaik AIR 2002 SC 296 ;(2002) 1 SCC 1 .
It is impermissible for a High Court to overrule the decision of the Apex Court on the ground that the Supreme Court laid down legal position without considering any other point. High Court cannot question the correctness of the decision of the Supreme Court even though the point sought before the High Court. Suganthi Suresh Kumar v/s Jagdeeshan (2002) 2 SCC 420.
Javed Ahmed Abdul Hamid Pawala v. State of Maharashtra, AIR 1985 SC 231; 1985(1) SCC 275. When there is a conflict of opinion that is when there is disagreement by one single judge with the decision of another single Judge it is appropriate that the appropriate course is to refer the matter to a larger bench for an authoritative decision.
Shridhar son of Ram Dular v. Nagar Palika, Jaunpur and others, AIR 1990 SC 307; 1990 Supp. SCC 157. One Full Bench decision cannot over rule another Full Bench Decision delivered by Judges of equal strength. Shyamaraju Hegde v. U. Venkatesha Bhat and others, AIR 1987 SC 2323: 1987 Supp. SCC 321.
Abrogated Decisions: A decision ceases to be binding if a statute or statutory rule is inconsistent with it is subsequently enacted or if it is reversed or overruled by a higher court.
Ignorance of Statute: A precedent is not binding if it was rendered in ignorance of a statute or rule having the force of statute i.e. delegated legislation. Such decisions are per incuriam and not binding. The mere fact that the earlier court misconstrued a statute or ignored a rule of construction is no ground for impugning the authority of precedent. It is clear law that a precedent loses its binding force if the court that decided it overlooked an inconsistent decision of a higher court. Such decisions are also per incuriam. A court is not bound by its own decision that is in conflict with one another. If the new decision is in conflict with the old, it is given per incuriam and is not binding on later courts. In this circumstance the rule is that where there are previous inconsistent decisions of its own, the court is free to follow either i.e. earlier or later.
When observation of the court on a question about validity of a statutory provision which was neither raised nor argued would not be a binding precedent.Rajpur Ruda Meha and others v. State of Gujarat, AIR 1980 SC 1707: 1980(1) SCC 677.
Distinguishing:A binding precedent is a decided case which a court must follow. But a previous case is only binding in a later case if the legal principles involved is the same and the facts are similar. Distinguishing a case on its facts, or on the point of law involved, is a device used by judges usually in order to avoid the consequences of an earlier inconvenient decision which is, in strict practice, binding on them.
Overruling: A higher court can overrule a decision made in an earlier case by a lower court eg. The Court of Appeal can overrule an earlier High Court decision. Overruling can occur if the previous court did not correctly apply the law, or because the later court considers that the rule of law contained in the previous ratio decidendi is no longer desirable.
The decision of Full Bench of High Court passed after considering the local conditions and history should not be easily disturbed.
Nityananda Kar and another, etc. etc. v. State of Orissa and others, AIR 1991 SC 1134; 1991 Supp (2) SCC 516.
Reversing:.Reversing is the overturning on appeal by a higher court, of the decision of the court below that hearing the appeal. The appeal court will then substitute its own decision.
Concession: Concession made by counsel on a question of law is not binding as precedent.
Consent: When a direction or order is made by consent of the parties, the Court does not adjudicate upon the rights of the parties nor lay down any principle.
Non Speaking Order: Non speaking order dismissing special leave petition would not constitute binding precedent as to the ratio of the High Court involved in the decision against which special leave petition to appeal was filed. Ajit Kumar Rath v/s State of Orissa (1999) 9 SCC 596.
11.Specific Exclusion:A judgment stating therein itself that the ratio laid down there in shall not be binding precedent or shall not be followed or relied upon , cannot be treated as binding precedent. Kendriya Vidyalaya Sangathan v/s Ram Ratan Yadav(2003) 3 SCC 437.
12 .On Facts: If a judgment is rendered merely having regard to the fact situations obtaining therein , the same could not be declaration of law within meaning of Article 141.UP State Brassware Corp. Ltd v/s Uday Narain Pandey AIR 2006 SC 586 ;(2006)1 SCC 479;.
Prospective overruling implies that an earlier decision of the same issue shall not be disturbed till the date of the later judgement. It is resorted to mould relief claimed to meet the justice of the case. It means that relief though the Petitioner may be entitled to in law because of interpretation of the law made by the Supreme Court, the same shall not be applicable to past transactions. Frequently such situations arise in service matters or tax matters where in the person already appointed for a long time based on interpretation of a law by the Apex Court in its earlier judgment, but the same is overruled in the later judgement, and therefore the person already in public employment need not be directed to vacate the post or the tax already imposed and collected is not directed to be refunded.
In normal course, a law declared by Supreme court is the law assumed to be from the date of inception and prospective overruling is only an exception when the Supreme Court itself make the applicability of the ration of the judgement prospectively to do complete justice to the parties or to avoid chaos.
It is therefore necessary that if a law is to be made applicable prospectively , the same is required to be so declared in the judgement when it is delivered .M.A.Murthy v/s State of Karnataka (2003) 7 SCC 517. If Supreme court does not exercise such discretion to hold that the law declared by it would operate only prospectively, High Court can not of its own do so. Sarwan Kumar v/s Madanlal Agarwal AIR 2003 SC 1475; (2003) 4 SCC 147.
Now it is desirable that some light should be thrown on the future precedents. As observed above, the courts are performing a very valuable creative function in modern times. This role of the court is assuming in favour importance and their field of any activity is rapidly widening. On the other hand, the trend of opinion is in favour of freedom from the binding effect of precedents, at the first place these two trends may appear divergent but they are not so and are perfectly consistent. It is the creative spirit that desires the removal of the shackles of the binding precedents. In England the doctrine of stare decisis has been modified. It may be hoped that some device would be invented to get rid of it. However the decisions of higher tribunals shall remain binding on subordinate courts. There is no possibility of departing from this rule in the near future nor are there very strong reasons for to undergo any considerable modification. The federation, as envisaged by the Indian Constitution, requires it, It will help in bringing about national integration and uniformity in law, and will cause a uniform development of law. But some technique or method will have to be envolved to save the lawyer and the judge from the labour and wastage of time in finding from the rapidly multiplying volumes of reports and the constant danger of overlooking authorities.

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