SC Reserves Verdict On Plea To Reconsider Automatic Expiry Of Stay Orders In Civil And Criminal Cases

A five-judge constitution bench headed by Chief Justice D Y Chandrachud heard Senior Advocate Rakesh Dwivedi, appearing for the High Court Bar Association of Allahabad, Solicitor General Tushar Mehta, and other lawyers on the issue before reserving the judgement.

Besides the CJI, Justice A S Oka, Justice JB Pardiwala, Justice Pankaj Mithal and Justice Manoj Misra are part of the bench.

Senior Advocate Dwivedi said the mechanism of automatic vacation of stay could interfere with the power of the high courts under Article 226 of the Constitution and may be seen as judicial legislation. He said the autonomy of high courts needed to be upheld.

Article 226 of the Constitution gives wide powers to high courts under which they can issue writs and orders to any person or government for enforcement of fundamental rights and for other purposes.

The Solicitor General concurred with Dwivedi and said the judicial discretion of high courts cannot be curtailed by a "judicial mandamus or a continuing mandamus".

The Apex Court had on December 1 this year referred to a five-judge bench the reference for reconsideration of its 2018 judgement.

The judgement said the stay granted by a lower court or high court in civil and criminal cases will automatically expire after six months unless extended specifically.

The constitution bench sought assistance of either the Attorney General or Solicitor General to deal with the legal issue arising out of the previous judgement.

A three-judge bench had in its 2018 verdict in the case of Asian Resurfacing of Road Agency P Ltd Director Vs CBI held that the interim order of stay granted by courts, including high courts, will stand vacated automatically unless they are specifically extended. Consequently, no trial or proceedings can remain stayed after six months.

However, the Apex Court had later clarified that the judgement will not be applicable if the stay order has been passed by it.

The CJI-led bench prima facie agreed with the submissions of Dwivedi and said his petition will be referred to a five-judge bench as the impugned judgement was delivered by a three-judge bench of the Apex Court.

Referring to the findings of the 2018 judgement, the bench said the directions indicated that in all matters, whether civil or criminal, orders of stay, once granted, should not continue beyond six months unless specifically extended.

"We have reservations in regard to the correctness of the broad formulation of the principles in the above terms. We are of the view that the principle which has been laid down in the above decision to the effect that a stay shall automatically stand vacated is liable to result in a miscarriage of justice," the bench said.

With PTI Inputs