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INTERPRETATION OF STATUTES

By
Dr. Ishtiaq Ahmad Khan
Commissioner Inland Revenue
LTU, Lahore
 Interpretation
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 It is the process by which the Courts determine the

meaning of a statutory provision for the purposes of
applying it to the situation before them
 Purpose & utility of Interpretation
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 To ascertain the intention of the lawmaker, and to

make it effective.
 If the statue is plain, certain and free from
ambiguity a bare reading suffices, the interpretation
is unnecesssary.
 If the statute is ambiguous, or its meaning uncertain
interpretation is required in order to ascertain what
legislators meant.
(Crawford on construction of statutes Pg.244-245)
 Statute
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 A statute is an Act of the legislature as an

organized body; it is the written ‘will’ of the
legislature, expressed according to the form
necessary to constitute it a law of the State, and
rendered authentic by certain prescribed form and
solemnities.
(American Jurisprudence vol. 50 p. 15)
 Statute
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 In Pakistan by statute is meant an Act passed by the

competent legislature may it be a parliament (or in
money matters national assembly) or a provincial
assembly and assented to by the President or the
Governor as the case may be.
(Constitution of Islamic Republic of Pakistan, 1973
Art. 260 (1)
 Types of interpreter
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 The legislator needs to understand the law he or she

is changing and the legal effect of the change
 The court both interprets and legislates
 The jurist provides guidance
 The subject, most closely concerned of all
 Meaning of Words
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a) Dictionary meaning
b) Legal meaning
c) Popular sense
d) Technical sense
 Ordinary Meaning
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 It is a rudimentary principle of interpretation of

statutes that the words occurring in a statute are to
be attributed their ordinary meaning (AIR 2007
Gau 33 at p.40)
 Technical or Scientific Meaning
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 “If it is a word which is of a technical or scientific

character, then it must be constructed according to
that which is its primary meaning, namely, its
technical or scientific meaning.”( Holt and company
v. Colleyer)
 Meaning of Words
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 The same expression may be used in different

places in a statute. Generally they bear the same
meaning but they can bear different meaning
depending on the context. A particular expression
has to be interpreted in the light of the section itself
and the Act as a whole.(AIR 1989 Cal 40 at p.57)
 Meaning of Words
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 When once certain words in an Act of Parliament

have received a judicial construction and the
Legislature has repeated them, the Legislature must
be taken to have used them according to the
meaning which a Court of competent jurisdiction has
given to them.(AIR 1964 SC 855)
 Meaning from the Act itself
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 Construe the provision of the Income-Tax Act as

forming a code complete in itself and exhaustive of
the matters dealt with therein, and ascertain what
their true scope is.
(AIR 1956 SC 604 AT p.610)
 The definition of an expression in one Act must not
be imported into another.
 Same expression in same Statute
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 “It is, at all events, reasonable to presume that the

same meaning is implied by the use of the same
expression in every part of an Act.”
 “But the presumption is not of much weight. The
same word may be used in different senses in the
same statute, and even in the same section.”(AIR
1957 SC 23 at pp.26-27)
 Different expressions
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 It must be assumed that the Legislature or the

Constituent Assembly did not use two different
expressions without intending to convey two
different meanings. But instances are not unknown
where two different expressions have been used to
convey the same meaning.”( AIR 1982 SC 149 at
pp.611-612)
 Statute to be read as a whole
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 If a statute is looked at, in the context of its enactment

with the glasses of the statute maker, provided by such
context, its scheme, the sections, clauses, phrases and
words may take color and appear different than when
the statute is looked at without the glasses provided by
the context.
 No part of a statute and no word of a statute can be
construed in isolation. Statutes have to be construed so
that every word has a place and everything is in its
place.(AIR 1987 SC 117)
 Statute to be read as a whole
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 We cannot read a legislation by taking bits from

here and bits from there. It has to be read as a
whole in order to discover the true spirit behind
it.(AIR 1995 HP 15 at p.36)
 A section has to be read in its entirety as one
composite unit without bifurcating it or ignoring any
part of it.(AIR 1991 SC 1581 at p.1586)
 Words in their context.
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 A word is not crystal, transparent and unchanged; it

is the skin of living thought and may vary greatly in
color and context according to the circumstances
and the time in which it is used.
(Holmes, J. in Towne . Eigner)
 Short Title
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 “This act may be called the….Act.” But that is only to

facilitate citation. The short title merely gives a
‘brief label’ for reference.
 Section 28 of the General Clauses Act 1897, lays
down that an Act or Regulation may be cited by
reference to the title (if any ) conferred there on.
 Long Title
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 An Act to …..”. Its main object is to set out in brief

the main purposes of the Act.
 The title can be used as an aid to interpret the
statute but it cannot affect or restrain the plain
meaning of the statute. In other words, if there is
doubt or ambiguity, the title can be used to clear it.
(1952 2 ALL ER 842). But it cannot control “the
express operative provisions of the Act”.(AIR 1961
SC 418)
 Preamble to an Act
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 “Whereas”, the word indicates that the object is to

communicate the background against which the Act
has been passed and the circumstances that
necessitated or justify its enactment. Preamble to an
Act, as an introduction to and, in a sense, prefatory
or explanatory note, in regard to the sections which
are to follow.(1967 1 AC 115)
 Preamble to an Act
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 Denoting the reason or spirit of the Act, it is a

legitimate guide for construction.
(1994 2 AC 199)
 Where the statute itself is ambiguous but the
Preamble is clear and positive, it can be used to
interpret the Act.
(80 LT 538)
 Preamble to an Act
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 Section not rendered invalid because of

inconsistency with the Preamble or supposed object
of the Act
 Neither the Preamble nor the supposed object of an
Act can control the express language of the statute
 Headings
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 “A heading is to be regarded as giving the key to

the interpretation of the clauses arranged under it,
unless the wording is inconsistent with such
interpretation”.(1961 3 All ER 389)
 The headings might be treated “as preambles to the
provisions following them”.(1961 3 All ER 389)
 “chapter headings, unlike marginal notes are
admissible on the construction of ambiguous
statutory provisions.”(Bulmer v. I R C)
 Heading to section
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 “The heading prefixed to sections or sets of sections

in some modern statutes are regarded as preamble
to those sections. They cannot control the plain words
of the statute, but they may explain ambiguous
words”.(Maxwell on Interpretation of statutes)
 If there is any doubt in the interpretation of the
words in the section, the headings certainly help the
court to resolve that doubt.(1981 SCC 87)
 Proviso
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 A proviso differs from an exception. An exception

exempts, absolutely, from the operation of an
engagement or an enactment; a proviso defeats
their operations, conditionally. An exception takes
out of an engagement or enactment, something
which would otherwise be part of the subject matter
of it; a proviso avoids them by way of defeasance
or excuse. (AIR 1985 SC 582)
 Proviso
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 The territory of a proviso, therefor, is to carve out an

exception to the main enactment and exclude something
which would otherwise have been within the section.
 “It is a cardinal rule of interpretation that a proviso to a
particular provision of a statute only embraces the field
which is covered by the main provision. It carves out an
exception to the main provision to which it has been
enacted as a proviso and to no other.”(1992 1 SCC
Supp 594
 Definitions in statutes
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 It limits the frontiers of that word.

 Statutory definitions are regarded as mandatory in
character. When a word or phrase is defined in an
enactment assigning it a particular meaning, that
meaning must be given to it in interpreting a section
of the Act, unless there be anything repugnant to the
context. In other words, a definition given in an Act
must be substituted for the word defined, wherever
that word occurs in the Act.(AIR 1950 Bom 144)
 Expression “means and includes”
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 ‘means’ indicates the definition is restrictive and not

more than what is put down in the definition.”(1990 3
SCC 682)
 ‘includes’ when used, enlarges the meaning of the
expression defined so as to comprehend not only such
things as they signify according to their natural import
but also those things which the clause declares that
they shall include.
 ‘means and includes’ would, therefore, suggest that the
definition is intended to be exhaustive and not
extensive.(AIR 1995 SC 1395 at p.1400)
 Table of Contents
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 The table of contents provides rapid means of

finding a provision in an act of parliament . It must
be borne in mind , however, that table of content is
not general index. The fact that some particular
provision cannot be found in table of contents does
not mean that the act fails to contain the provision.
(How to Understand an Act of Parliament by
Kenneth H. Gifford 3rd ed. P. 37)
 Table of Contents
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 It cannot affect the meaning of the Act itself. If some

provision which is in the Act is not set out in the table of
contents, that provision is not robbed of its effect; it still
has its effect notwithstanding the silence of table of
contents. If, on the other hand, the analysis refers to
some section which does not in fact appear in the Act
itself, the reference in the table of contents could not
have any effect and the Act would be read as if there
were no reference that provision in the table of
contents.
 Sections, Sub-sections, Paragraphs
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Every section must be considered as a whole and self

contained. It is an elementary rule that construction of a
section is made of all parts together and that it is not
permissible to omit any part of it. Subsection in a section
must, therefore, be read as part of an integral whole
and being interdependent, each portion throwing light if
need be, on the rest and harmonious constructions should
be placed on them for the purpose of giving effect to the
legislative intent and object. (AIR 1959 SC 1012)
 Parts and division
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 The Courts will ordinarily assume that dividing of the

Act in that way is intended to indicate that group of
sections in that part or in the division related to
particular subject. They will not read a section in
that part or division as relating to a subject matter
that is dealt with in another part or division of the
Act unless it is clear from the wording of the section
that it must be read in that way and that section has
therefore been placed in the wrong part of the
division.
 Schedule
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 A schedule in an Act of Parliament is a mere question

of drafting- a mere question of words. The schedule is
as much a part of the statute, and is as much an
enactment as any other part.
 If the schedule contradicts an Act, the former being
latter in sequence must prevail over the section of the
statute.(1993 SCMR 338)
 However, in case of a taxing statute and in case of a
irreconcilable inconsistency between the charging
section and schedules, the schedule is to yield to the
Act.(PLD 1983 Kar. 214)
35

Interpretation of Words and

Phrases
 Or and ‘and’
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 The word ‘or ’ is normally disjunctive and word ‘ and

’ is normally conjunctive. The popular use of ‘or ’
and ‘and’ is so loose, and so frequently inaccurate
that it has infected statutory enactments. For this
reason , their strict meaning is more readily
departed from than that of other words. (2000 (1)
SCC 426)
 May, Must, and Shall
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 The words ‘shall’ and ‘must’ are mandatory, and the

word ‘may’ is directory, although they are often
used interchangeably in legislation.
 Where a statute directs the doing of a thing for the
sake of justice or the public good of to effectuate a
legal right, word ‘may’ is the same as the word
‘shall’. (PLD 2007 SC 277)
 As he deems fit
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 If such power is conferred on Appellate or

Revisional tribunal, it cannot pass any and every
order but can only pass such orders which the
subordinate authority could have passed in that
particular case.
(AIR 1960 SC 1191)
 Discretion
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 Whether to construe a statute or otherwise,

discretion does not mean whim. In general, for
officials, discretion means that, faced by a problem
within an official’s discretion, the official may choose
a solution; which the law gives him power to make;
resting on the grounds that the law permits; and
reached by procedures that the law permits.
 Law for the time being
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 It means the whole body of law.

 Non-Obstante Clause
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 Starting with word ‘Notwithstanding’, creates an

exception, where there is a conflict between two
provisions, or it may be clarificatory of original
position and introduced only by way of abundant
caution and may raise a presumption that such
provision would prevail over other provisions.
(PLD 1997 SC 700)
 Subject to
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 Introduces conditions or proviso

(AIR 1963 SC 703)
 Satisfaction
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 It means higher than mere opinion and means

sufficient proof of information as to set free from
doubt or uncertainty such as being convinced
beyond a reasonable doubt. It necessarily involves
the exercise of judgment in relation to number of
relevant factors.
(PLD 1967 Ac 373)
 Shall be deemed
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 When a person is ‘ deemed to be ’ something the

only meaning possible is that whereas he is not in
reality that something the Act requires him to be
treated as if he were.
( AIR 1930 PC 54)
 Shall be deemed
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 When the statute says that you must imagine the

state of affairs, it does not say that having done so
you must cause or permit your imagination to
boggle when it comes to the inevitable corollaries
of that state of affairs . In such circumstanced the
court is entitled and bound to ascertain for what
purposes and between what persons the statutory
fiction is to be resorted to. (PLD 1975 SC 397)
46