NATIONAL LAW SCHOOL OF INDIA UNIVERSITY, BANGALORE

Master of Business Laws (MBL) I year

Dec 2012 Annual Examination - Key Answer : Contract Law
PART - A
Answer all questions. Each question carries 20 marks [3 x 20=60 marks]
1. Mr. Chaitanya, a tourist agent, hired from Southern Travels, six omni buses in December
2011. Chaitanya needed six omni buses for 3 months starting from Jan 2012 to March 2012.
He paid advance money of Rs 10 lakh towards booking charges. The omni buses required
by Chaitanya was for the purposes of taking tourist for local sightseeing and many of the
tourists had made advance bookings. Both the parties to the agreement knew that licenses of
omni bus had to be renewed before 15th January 2012. Southern Travels had applied for
the licenses. Unfortunately, on 2nd Jan 2012 Southern Travels informes Chaitanya that the
Government had given licenses only to 4 omni buses and hence the agreement could not be
honored fully. Meanwhile Chaitanya had booked all the tourists and could not find any
other travel agency to supply him two buses for transport, due to which he suffers losses.
Chaitanya files a case of breach of contract against Southern Travels.
Decide (a) the liability of Southern travels; (b) What are the arguments and legal defenses
available to Southern Travels; (c) What is the quantum of damages Chaitanya can claim in
a suit for breach of contract; (d) Can the defense of non-foreseeability of damage be pleaded
by Southern travels?.
Key answer: Southern Travels is liable for the loss in business caused to the tourists. It is in
the natural course of things that the buses would be hired for transporting
people, if not for local sightseeing. (s. 73, Hadley v. Baxendale). It is also in the
natural course of things that heavy losses would result if the agreement was not
honoured. However, it is not in the natural course of things that no other buses
would be available, and to this extent, the defence of non-foreseeability can be
claimed. Southern is only liable to the extent of the additional cost of hiring
new buses.
2. Ratanlal, a wholesaler, made an offer to supply stationeries worth Rs 10 crore to Mr.
Krishnan, Managing Director [MD] of a Company ABZ Ltd. Mr. Krishnan, as the MD
accepted this offer without authority, from ABZ Ltd. Mr. Ratanlal, in good faith started
performance of the contract, thinking that a purchase order issued by the MD of a company
will always be a authorized one. Hence, stationeries worth nearly 5 crore were supplied to
ABZ Ltd and accepted by the Stores department of the company. The stationeries were used
for the Company purposes itself. In the next Board of Directors [BOD] meeting, Mr.
Krishnan, seeks the approval of the BOD for the contract between him and Ratanlal. The
BOD rejects the proposal and contract entered by Mr. Krishnan as they found that that
rates quoted were unreasonable and above market price. Despite a ratification request by
Mr. Krishnan, the BOD refuses to give validity to the action of its MD. Mr. Krishnan
informs about the decision of the BOD to Mr. Ratanlal. Advise Mr. Ratanlal about his
rights to recover Rs 5 crore from ABZ Ltd.
Key Answer: Sec.70 of the ICA will apply. A service was intended to be done non-
gratuitously. The benefits of it were enjoyed. ABZ Ltd. cannot renege on its
promise now. (State of West Bengal v. BK Mondal )

3. Mr. Said, a journalist had entered into a quarrel with Mr. Butt, a theater Owner in
Kolkatta. Due to this personal enmity, Mr. Butt gave a standing instruction to his theater
Staff never to allow and permit Mr. Said into his theater. Mr Butt did not want any legal
transaction and relationship with Mr. Said and basically wanted to avoid any further
confrontations. Mr. Said knew about these instructions, but eager to watch a show, one day
requested his friend to go and buy a ticket for him. Mr. Said uses the ticket to get entry into
the theater. On noticing him inside the hall, the theater staffs physically pull him out due to
which he was unable to watch the show. Mr. Said sues Mr. Butt for breach of contract.
Decide.

Key Answer: Mr. Butt may argue that this is a case of mistaken identity, and that he had
never intended to contract with Mr. Said. He may refer to Phillips v Brooks for
instance. Here, the contract was not of a general nature, where he wished to
contract with any third person, but wished specifically to exclude Mr. Said.
Therefore, there is no contract.
Part B
Write short notes. Answer any four 4 x 10 = 40 marks

1. a) Explain the doctrine of undisclosed Principal
An agent acting on behalf of an undisclosed principal is personally liable for his/her
own actions, as the other party could not have intended to contract with them.
b) Sub agent
If an agent is not permitted to delegate authority, the acts of a sub-agent will not bind
the principal. However, where the principal has authorised the same, the acts of the
sub-agent will be treated as those of the agent him/herself.
2. a) Click wrap and shrink wrap agreements
These are SF contracts which are automatic in some sense they are deemed to have
been accepted by clicking a box/signing an agreement. It is presumed that the licensor
reads them. However, this may be problematic as there may not be consent from the
licensor/purchaser. Discuss (a) unfair terms (b) importance of SF contracts (c)
importance of bringing terms to the notice of the purchaser and (d) validity of contracts
in this regard.
b) Issues and Challenges in E-Contracts
E-Contracts
i. Place of formation of contract where the contract is formed
ii. Communication of acceptance
iii. The use of standard form contracts and unfair terms
3. a) Liability of a minor in contract law.
Minors cannot be parties to a contract (s. 11; Mohoribibee v. Dharmodas Ghosh).
However, they are liable for reasonable expenses incurred in providing necessaries (s.
68) and for money received under mistake (s. 72).


b. Necessaries under Sec. 68 of Indian Contract Act
Necessaries must be those suited to the status of the minor and not bare necessities of
living. However, they must be necessaries and not luxuries (Cambridge tailors case)
4. a) Quasi Contracts
Quasi-contracts are covered from ss. 68 to 72 of the Contract Act. This relates to
certain relations resembling contracts. In England, this has been replaced by the unjust
enrichment principle.
i. S. 68 supply of necessaries to a minor
ii. S. 69 money paid by person interested in its payment on behalf of
another
iii. S. 70 Services provided non-gratuitously
iv. S. 71 finder of lost goods
v. S. 72 money paid under mistake
b). Wagering agreements
Wagering contracts are those whose outcome is dependent on an uncertain event,
entirely on chance. They are unenforceable under s. 30. An exception is made for
horse-racing
5. a) Essential of a Government Contract
For a government contract, it is essential that the procedure under Art. 299 be
complied with. It must be made in the name of the President or Governor and subject
to the laws of the land.
b) Implied terms in Government Contracts
Implied terms include compliance with Part III, non-arbitrariness, fairness in tender
and auction process etc.



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NATIONAL LAW SCHOOL OF INDIA UNIVERSITY, BANGALORE
Master of Business Laws (MBL) I year
Dec 2012Annual Examination - Key Answer :Banking Law 30.12.2012
1. Explain why credit control is extremely critical in any economy vis--vis
the role of RBI in controlling credit in India.
a. The need for credit control is to (i) maintain the stability of the economy;
(ii) the value of money in a economy; (iii) overall economic development
b. RBI involves in to (i) Quantative credit control method; and (ii)
qualitative or selective credit control methods;
c. Quantative methods
i. Open market operations Section 18 of RBI Act
ii. Reserve ratio requirements
1. Section 17 to maintain 20% of the total profits as reserve
fund
2. Section 42 of RBI Act for schedule banks
3. Section 18 of the BR Act for non-scheduled banks to
maintain reserves
d. Selective credit control methods
i. Margin requirements Section 21 of the BR Act
ii. The regulation of customer credit again Section 21 of BR Act
iii. Moral suasion Section 35 of the BR Act
iv. Credit rationing
v. Direct action.
2. What is banking? Briefly explain the activatesin which a banking company
(in India) can involve.
a. Banking means the accepting, for the purpose of lending or investment,
of deposits of money from the public, repayable on demand or otherwise,
and withdrawal by cheque, draft, order or otherwise Section 2(b) of BR
Act, 1949
b. Essential function are
i. Acceptanceof public deposits;
ii. Lendingor investment of such deposits; and
iii. Thedeposits repayable on demand or lapse of time
c. Lord Denning in United Dominions Trust Ltd., some reference may be
made to English situation
d. Section 49 of BR Act prohibits any other person (other than authorized
bank) from accepting deposits withdrawable by cheques, except
i. Savings bank scheme run by government; and
ii. Primary credit society; and
iii. Any other firm notified by the government.
e. Permissible business for banks as specified in Section 6(1) of BR Act,
1949; and
f. Section 8 of the BR Act prohibits (specifically) a banking company in
trading activities and undertakingtrading risks.
3. Who are paying and collecting bankers? Explain the protection in law
extended to them under various provisions of Negotiable Instruments Act.
a. Collecting banker is one who collects money on behalf of the holder this
is essential as a crossed cheque can be paid only by bankers and to
another banker (s. 131) banker who has in good faith and without
negligence received payment for a customer of a cheque crossed generally
or specially to himself shall not, in case the title to the cheque proves
defective, incur any liability to the true owner of the cheque by reason
only of having received such payment the issue of Know Your
Customer norms (KYC norms) and the parameters of the collecting
banker
b. Paying banker is protection under Sec. 10, 85 and 89 of the NI Act i.e.,
when the banker makes payment in due course (as specified under sec. 10
of the NI Act) the payment is deemed to be in due course if the same (i)
is in accordance with the apparent tenor of the instrument payment
made in good faith payment made without negligence payment made
to the person in possession of the instrument no belief that the person
in possession of the instrument is not entitled to receive payment of the
amount in the instrument.
4. Explain the terms (i) Holder; and (ii) Holder in due course; by referring to
relevant decision law
a. Holder section 8 of the NI Act is one who is (i) entitled in his own
name to the possession of the instrument; and (ii) have the right to or
receive or recover the amount due thereon from the parties thereto. In
other words he can be (i) the payee; or 9ii) the bearer; or (iii) the
endorsee of an instrument.
b. Holder in due course is a person who takes an instrument in good faith
and for value
c. And he becomes the true owner of the instrument and is known
technically as holder in due course
d. Ingredients of Section 9 are to be explained
i. Holder must have taken the instrument for consideration;
ii. Must have obtained the instrument before its maturity
iii. Instrument must be complete and regular on its face; and
iv. Must have taken the instrument in good faith and without notice of
any defect either in the instrument of the tittle of the person
negotiating it to him.
e. Brooks v Mitchell
f. Asirvatham v G Palaniraju Mudaliar
g. Millar v race etc.,
5. What is Passbook? Explainthe legal status of entries made in the passbook.
i. Pass book is issued to banks customer, who generally keeps
savings account
ii. In case of current accounts it is issued only upon demand by the
customer
iii. Pass book is replica of the ledger at the bank branch
iv. In case of current accounts statement of their accounts are given to
them periodically (daily, weekly, fortnightly etc.)
v. Two prominent thoughts
1. Once the passbook entry is made and passed on the
customer he shall verify and raise objection if any
afterwards the entries made in the passbook shall be
treated as final
2. Passbook entries are for general convenience hence, the
entries can be questioned any time by the parties
vi. If there is 100% correctness in the entries made no legal hassles
vii. Although bankers take adequate care mistakes do creep in
viii. There are two situations
ix. Entries favoringthe customer; and
x. Entries favoringthe banker
xi. Thepassbook belongs the customer and the entries made in it
by the bank are statements on which the customer is entitled to
act In Atlantic Mines Ltd., v Economic Bank [(1904) 2 KB 471]
xii. If the position of the customer has not been adversely affected, by
relying upon the passbook, the banker may rectify it (within
reasonable time)
xiii. What is affecting adversely? is question of fact to be determined
depending upon the circumstances of each case
xiv. In determining this question of fact, a great deal depends upon
whether the customer was led through the erroneous entry to act
in a manner in which he would otherwise not have done and
whether such action has been to his detriment
xv. A fictitious entry made by a bank employee cannot be relied upon
by a customer
xvi. Example State Bank of India v Shyma Devi, AIR 1978 SC 1263
6. What is bank guarantee? Explain the leading judicial pronouncements
regarding bank-guarantee in India.
a. Explain the concept of bank guarantee;
b. How they are issued by the banker;
c. The judicial approach of non-interference with suitable instances is to be
explained.
7. Write short notes on the following
a. Hypothecation
i. Explanation as to what is hypothecation; and
ii. The generic legal principles;
iii. The banking practice
iv. Conclusions.
b. Non-Performing Assets
i. Ideally answer can be developed in three parts the first part
explain (i) what is a NPA (as defined by RBI vide its master circular
in 2010);
ii. In the second part explain why it should be a matter of concern for
the entire economy or society to reduce NPA or how it would
affect the working of bank
iii. In the third part explain the effort made India to reduce NPAs the
first level is defining NPA; second level is to have BIFR and DRT
established; and finally in the third level passing of securitization
law to reduce NPAs.
iv. Conclusion.



NATIONAL LAW SCHOOL OF INDIA UNIVERSITY
BANGALORE



MBL I SUPPLEMENTARY EXAMINATION (DECEMBER) 2012


KEY ANSWER CORPORATE LAW


PART A

1. a)
A public Company with 12 Members. After the accident, membership of the
Company reduced to 6. Still the company continued to carry on business with
membership less than the statutory minimum of 7 &
See Section 45
In respect of the debts incurred by the company
45 is attracted.
6 Months after the date on which
the membership is reduced below the statutory minimum (April) all the members
who are aware of the fact will be personally liable
Examination of whether the two transactions viz
to the creditors
(1) Loan from canara Bank and
(2) Amount due to the construction Contractor fall within the ambit of S. 45.

1. b)
Here also the issue is whether the doctrine of lifting the veil applies to fasten
liability
(1) On the holding Co.
(2) Ramakrishna as the shadow director of the Company and the person actually
carrying on the business as the subsidiary Co. and the holding Co. are mere his
instrumentality and that it was he who really carried on the business.
X & Y Ltd. On the ground that both the Companies are
one and the same economic entity and also on the principles laid down in
Smithstone & Knight v. Bermingham Corporation
(3) Other Directors

for the loss caused to the plaintiffs on account of their failure
to discharge their duties of due care and skill and exercise of unfettered
discretion.
2. a)

Allotment
Allotment- Original Transfer
One of the two devices which a person becomes a shareholder.
Company creating new shares and issuing the same to those persons either
Apply for them or accept the offer made by the company.
See the scope of sections 69 and 70.
Effect of irregular allotment- The allotment voidable at the option of the allottee
Allotment- Original title
Transfer and transmission- derivative title.
Sections 69 & 70 apply to a public company only.

2. b)

Section 299 to be read with S. 300
Extension of the principle of fiduciary duties of the directors.
- Envisages that the directors should disclose their personal interest in any
transaction- Contract or other arrangement to the Board
- Not to participate in the discussion of the matter by the Board: not to Vote
etc.
- Exception: see section 300 (2)
- The concerned directors presence will not be considered for quorum
requirement.
- Failure to comply with the requirement (see S. 299(4) & (5)
-
See S. 299 (4) & 299(6)
Companies to which S. 299 applies

3. a)

Floating Charge- Distinction from fixed charge- Impact of S. 534.
(1) Licence theory and
Two theories:
(2) Mortgage of future assets theory
Distinction between the two
Meaning
Negative Covenant
- Priority list earlier floating charge and subsequent legal mortgage.
- What is the effect of Subsequent mortgagees Knowledge of earlier floating
charge.
- Whether Constructive notice will operate to impute Knowledge. ( S. 125).

3. b)

Chairman responsible for the orderly conduct of company meeting. He has duties
derived from common law, Statute (Companies Act) and AOA.
He is responsible for the orderly conduct of the meeting. He must be impartial. His
duties are of a quasi fiduciary nature. He has suo moto powers in regard to the orderly
conduct of the business of the meeting including adjournment.


PART B
Write critical notes on the following:


a) Shelf Prospectus

Concept introduced by the Companies (Amendment) Act, 2000.It is a prospectus
issued by any financial institution or bank for one or more issues of the securities
or class of securities specified in that prospectus. Look through the provisions of
Section 60 A of the CA, Act, 1956.

b) Declaration of Solvency

See S. 488
Consequences of not filing the declaration of solvency- The voluntary winding
up can be only creditors Voluntary winding up.
Declaration of solvency to be accompanied by a copy of auditors report.
Declaration of solvency shall not be earlier than 5 weeks before the special
Resolution to wind up the company voluntarily.

c) Preference shares

Where any of the principal rights attached to a share different from those of
another legally they belong to two different classes- The Principal rights are:-
(1) Voting rights
(2) Right to dividend
(3) Return of Capital either on reduction of capital (S. 100 etc) or in the
winding up.
(4) Right to the surplus assets in winding up as regards public Companies
and subsidiary private Companies .Sections 85 to 90

apply.
d) `Squeezing out the minority
The right of an offeror Company to compulsorily acquire the shares of the
minority shareholders satisfying the requirements of S. 395. The dissenting
minority have also been given certain legal rights and remedies by the section.


e) EGM on requisition
(1) Within 21 days of a valid requisition being made by these members who
satisfy the requirements of s. 169(4) the Board shall take steps for the calling
of the EGM which is to be held within 45 days of the receipt of the notice.
Failure to do so is an offence by virtue of s. 629 A. The Board has no
discretion in this matter.
- Sec 169
(2) If the Board fails to call the EGM within the time specified in S.169 (6) , the
requisitionists themselves , or such of them who satisfy s. 169 (6) (b) or (c)
may call the EGM. Such meeting shall be held within 90 days of the date of
requisition being received by the company.




1

NATIONALLAWSCHOOLOFINDIAUNIVERSITY,BANGALORE
MasterofBusinessLaws(MBL)Iyear
Dec2012AnnualExaminationKeyAnswer:INDUSTRIALRELATIONSLAW
AnswerANYSIXoutoftheeightquestions:(6x15=90)
1. Explain the procedure for recognition of Trade Unions. Also explain the procedure for
identifyingthemajorityUnion.
Key Answer: Recognition of the Trade Unions is done by the employer for the purpose of
facilitatingeffective,collectivebargaining.Thereisnolawrequiringcompulsory
recognitionofTradeUnions.Generally,themanagementandtheTradeUnions
enterintoanagreementwithrespectofrecognitionofTradeUnions.Theyalso
agree on the procedures for recognition of Trade Unions. There are three
methodsofidentifyingstrengthofTradeUnions.Theyareasfollows:
1.VerificationMethod
2.CheckoffMethod
3.SecretBallotmethod
Studentisrequiredtobrieflyexplaintheabovethreemethods.
2. Explain the procedure for Registration of Trade Union. What is the difference between Un
registeredtradeunionandregisteredtradeunion?
Key Answer: Registration of the Trade Unions is done at the initiative of Trade Unions.
RegistrarofTradeUnionsregisterstheTradeUnionsandissuescertificationof
recognition. Procedures prescribed in Section 4,5, and 6 of the Trade Unions
andhavetobecomplied(detailsofSection4,5,and6istobecontainedinthe
answer)Registrationismainlyforthepurposeofgettingimmunitiesunderthe
ActandotherfacilitiesprovidedbytheAct.

ARegisteredTradeUnionwillhaveimmunitiesunderSec.17&18oftheTrade
Union Act. The Registered Trade Union is required to submit the audited
statement of accounts every year to the Registrar of TradeUnions as per the
Act.

An unregistered Trade Union will not have immunities provided under the
Trade Union Act of Sec.17 & 18. It also has no obligation of submitting the
audited statement of accounts to the Registrar of Trade Unions. When it
comes to recognition of Trade Unions only a Registered Trade Union can be
recognised and not an Unrecognised Trade Union after 1984 amendment to
theIndustrialDisputeAct.

3.Explain`layoff.Howisitdifferentfrom`lockout?
KeyAnswer:Layoffisinrespecttothecircumstancesbeyondthecontroloftheemployer,
under circumstances mentioned in the definition of layoff. Laid of employees
2

areentitledforlayoffcompensation.LayoffundertheIndustrialDisputesAct
iscontemplatedintheIndustrialEstablishmentsasdefinedtherein.

Lockoutinaweakenofcollectivebargaining,availabletotheemployer.Itcan
be total or partial. It is regulated under the Industrial Disputes Indian Act,
Sections 22, 23, 24. Lock outs and be legal or illegal. Legal lockouts can be
classifiedasjustifiedandunjustified.

4.ExaminetheimmunitiesavailabletoaregisteredTradeUnionwiththehelpofcaselaw.
Key Answer The immunities are available only to registered Trade Unions. Section 17 of
the Trade Union confers immunity from criminal conspiracy to registered
TradeUnion.Section18confersimmunityfromcivilliabilityinrespectofacts
done in furtherance of a trade dispute. The immunities are confined to the
objects of the Trade Union mentioned in Section 15 of the Trade Union Act.
Under Section 17 the very act of the workers going on strike is a breach of
contract of employment. According to the Section 43 of the Indian Penal
Codeanythingwhichfurnishesagroundforacivilactionisillegal.Soworkers
goingonstrikei.e.breachofcontractofemploymentgivesrisetocivilaction
fordamagesisillegalasperSection43.

Two or more workers committing such an illegal act is criminal conspiracy.

The Trade Union Act provides immunity for such conspiracy as long as no
offenceiscommitted.Section18istobeexplained:bythecandidate.

Case Law: 1) Federation of Western Indian Cine Employees Vs. Filmaya Pvt.
Ltd

2.ChrandranaBrosvs.K.VenkataRao

5. Analyse the definition of `Industry in the Industrial Disputes Act, 1947 with the help of case
laws.
KeyAnswer:Section2(j)ofIDAct,1947AnalysisSupremeCourtcasesexplainingthe
definition.
ImportantcasesD.R.BaneerjeavisP.R.Mukherjea.
- CorporationofCityofNagpurCase.
- HospitalMazdoorSabhaCase.
- SafdarjungHospitalCase.
- SolicitorsCase.
- UniversityofDelhiv/sRamnath.
- HarinagarCaneSugarFarmv/sStateofBihar.
- MadrasGymkhanaClubCase.
- BangaloreWaterSupplyandSewageBoardv/sA.Rajappa.
- Coirboardv/sIndiradevi.
- JaibirSinghCase.
3

ReferencetoAmendeddefinitionof1982.

6.CriticallyexplainthelimitationsontheManagerialprerogatives.
KeyAnswerAuditofprovisionsrelatingtoregulationofmanagerialprerogativeslike
a.NoticeofchangeunderSection9A.
b.Provisionsregulatingemployer'srighttolayoff,retrenchmentandcloserof
Industry.
c.Section11AandWorkmenoffineStoneRubberco.,Case
d.Sec.33,33A&withPunjabBreveragesCaseandJaipurZillaSahakariBank
Case.

7.ExplaininbriefdifferentmethodsofresolutionofIndustrialdisputesasprovidedunder
theIndustrialDisputesAct,1947.
Key Answer: Trace the method adopted to resolve the Industrial disputes show the
movement from voluntary settlement to compulsory adjudication of
Industrialdisputes.MakereferencetoauthoritiesprovidedundertheIDAct,
1947. viz, Conciliation (Conciliation Officer and Board of Conciliation)
Arbitration and Compulsory Adjudication (Labour Court, Industrial Tribunal
and National Tribunal). Critical assessment and analysis of working of the
systemofCollectiveBargaining,Conciliation,ArbitrationandAdjudication.

8. Explain the definition of `Award under the Industrial Disputes Act. Also explain the procedure
forpublicationandenforcementofAwards.
KeyAnswer:AAwardisdefinedunderSec.2boftheIndustrialdisputesActisasfollows:
AwardmeansaninterimorafinaldeterminationofanyIndustrialDisputeorofany
question relating thereto by any Labour Court, Industrial Tribunal or National
IndustrialTribunalandincludesanarbitrationawardmadeundersection10A;]
The publication as per Sec.17 of Industrial Dispute Act is mandatory going by the
SupremeCourtinRemingtonRandVs.WorkmenandSirsilkVs.GovernmentofAndhra
Pradesh, one month after the publication, the award comes into operation. In 2010
the Industrial Dispute Act has been amended. As per the amendment the Industrial
TribunalorthelabourcourtasthecasemaybewillhavetosendtheawardtotheCivil
Court having the Jurisdiction. The Civil court will execute the award as per the
executionproceedingscontainedinthecivilprocedurecourt.
II.Writeshortnotesonthefollowing:(4x2=10marks)
a) Collectivebargaining
Key Answer: It is resolving Industrial Dispute by negotiation between the workmen and the
employer.Thoughthismethodisquitecommon,itgotitslegalrecognitiononly
in 1956. Section 18 (1) recognizes bilateral settlements binding on the parties
to settlement. Tata Chemical Vs.Workmen case may be referred. In Collective
4

Bargainingweaponslikestrikesandlockoutmaybeusedtomaketheopposite
party behave reasonably. For effective Collective Bargaining there is no law
requiringcompulsoryrecognitionofTradeUnions.

b) WorkmanundertheIndustrialDisputesAct
Key Answer: The 'workman' definition consisting of meaning part, inclusive part and
exclusivepartwillhavetobeexplained.
Thedefinitiondoesnotdifferentiatebetweenpermanent,temporaryetc.
Case Laws" H.R. Adyanthaya vs. Sandoz (India Ltd). Constitutional Bench
decisions is to be explained. Also Sundarambal vs. Government of Goa case
also is to be explained. There may be other decisions in addition to these
two.
Distinctionbetweenworkmanandcontractoralsotobeexplained.
c) OutsidersasofficebearersofaregisteredTradeUnion
Key Answer: Section 22 of the Industrial Disputes of the oce bearers in organised
sector; 50% of the officer bearers in the unorganised sector; the purpose
behindhavingoutsiders;Historicalreasons;Howtherulesofthetradeunion
mustprovideforthis.
d)Picketing
KeyAnswer:Explaintheelementsofpicketingwiththehelpofcaselaws
NATIONALLAWSCHOOLOFINDIAUNIVERSITY,BANGALORE
MasterofBusinessLaws(MBL)Iyear
Supplementary2012ExaminationKeyAnswer:ENVIRONMENTALLAW02.01.2013
PARTA
AnswerANYFOURofthefollowing: (4x12=48)
1. Examine the powers of the authorities in granting consent; setting standards and prosecution for
offencesunderWater&AirPollutionControlLaws.
Discuss the provisions on grant and refusal of consent, standard setting process and their
applicationandprosecutionforoffencesofboththecorporateentitiesandindividualplayers
2. Discuss,(a)PublicTrustDoctrineand(b)PolluterPaysprinciple.
Principleneedhavetobefirstexplained,thecaseswheretheyarecitesandlegislationsin
whichtheyareincorporated.
3. Outline the principal features of the Notification concerning the Management of the Coastal
Environment.
Give salient features highlighting the classifications, restrictions and limitations for
developmentalactivitiesandtherequirementofthepreparationofCZMP
4. Right to clean Air and water are part of the Fundamental Right to Life under the constitution
Explainthestatementandanalysethejudicialpronouncementsinthisregard.
Discussanumberofjudicialpronouncementsthathavehighlightedthisright.
5. The existing law on the Management of Wastes are inadequate and hence the Ministry of
Environment and Forests, has come up with detailed laws on Municipal wastes, Hazardous wastes
andBiomedicalwastes.DiscusstheLawsonthesubject,withinquotes.
Discuss the law and institutional arrangement and a comparison of the earlier law with the present
one.
6. BrieflydiscussthevariouskindsofForestsandWildlifeareasunderIndianForestAct,1927and
WildlifeProtectionAct,1972(includingamendmentsin2002).
ListoutvariouskindsofForestsandwildlifeAreasundertheLawandexplaintherationaleforsucha
classification.
PARTB
7.Evaluate: (2x10=20)
a) StockholmConference,1972onHumanEnvironment:Background;parties;Resolutionsand
DeclarationsandtheirimpactontheevolutionofInternationalEnvironmentalLaw.
b) Agenda21:Discusstheobjectsandhighlightitsmainfeatures.
8.Writeshortnotesonthefollowing: (4x8=32)
a) CitizenssuitunderEnvironmentProtectionAct;DiscussSec.19(b)ofEPA
b) Environmentalliabilityofcorporatemanagers:AnalyseSec.16&17ofEPA
c) CriticalWildlifeHabitats;DiscussandanalyseSec.4ofForestRightsAct
d) BiodiversityAct,2002:Givethesalientfeatureshighlightingconservationconcerns,Benefit
sharingmechanisms,Biosafetyissuesandinstitutionalarrangementsforenforcement.