
The Constitution of India stands as the Grand Norm and the supreme law of the nation, forming the backbone of the entire legal system. It is the primary source from which all other laws derive their authority, validity, and structure.
The Constitution lays down the basic framework of governance, defining the powers and functions of the legislature, executive, and judiciary. It also safeguards Fundamental Rights, ensuring justice, liberty, equality, and dignity for all citizens.
Understanding its core principles, constitutional values, and institutional framework is essential for every legal aspirant, as it provides the foundation for interpreting laws and appreciating the functioning of India’s democratic system.
The Constitution of India is the supreme law, known as the Grand Norm. It was adopted on 26th November 1949 and enforced on 26th January 1950. The Constitution comprises 395 articles.
The Constitution provides the legal framework, defining permissible actions, prohibitions, and serving as the ultimate source of law.
The Preamble outlines core objectives, beginning with "We, the people of India." It resolves to constitute India into a Sovereign, Socialist, Secular, Democratic, Republic.
It secures for all citizens:
Justice: Independent judiciary ensuring fairness.
Liberty: Freedom of thought, expression, belief, and faith.
Equality: Of status and opportunity; equal before the law.
Fraternity: Promoting brotherhood and unity.
A citizen is generally someone born in India, with at least one parent born in India, or ordinarily residing in India for five years.
For Fundamental Rights enforcement, Article 12 defines "State". It broadly refers to the Government and its bodies, including:
Parliament of India (Central Government)
Legislature of each State (State Government)
Local Authorities (e.g., Municipalities)
Other Authorities within India or under Government of India control.
This doctrine expands "State" to include agencies functioning as instrumentalities. Established in Ajay Hasia vs. Khalid Mujib, an entity is considered an "instrumentality of the State" if:
Government holds its entire share capital.
State provides significant financial assistance.
It enjoys a monopoly status conferred by the State.
Government has deep and pervasive control.
Its functions are of public importance, related to governmental functions.
A government department has been transferred to it.
Examples: ONGC, IDBI, Electricity Boards, NAFED, Delhi Transport Corporation.
Article 13 declares any law inconsistent with or violating Fundamental Rights as void to the extent of inconsistency. This applies to both existing laws (pre-Constitution) and future laws (post-Constitution). "Law" includes Ordinances, orders, rules, regulations, and customs.
India's Constitution combines federal and unitary characteristics, described as quasi-federal or semi-federal, with a strong unitary bias.
|
Feature |
Federal Structure |
Unitary Structure |
India's Position |
|---|---|---|---|
|
Power |
Divided between central and state. |
Concentrated in a single central authority. |
Divided, but center has more. |
|
Citizenship |
Typically dual (national and state). |
Single citizenship. |
India has single citizenship. |
Fundamental Rights (FRs) are the cornerstone of the Indian Constitution, designed to protect the basic freedoms and dignity of individuals against arbitrary state action. Enshrined in Articles 12 to 35, these rights ensure equality, liberty, freedom of religion, cultural and educational protection, and constitutional remedies.
Article 14 guarantees equality to all persons.
|
Concept |
Meaning |
Nature |
|---|---|---|
|
Equality Before Law |
All are equal; no one is above the law. |
A negative concept (blanket equality). |
|
Equal Protection of Laws |
Persons in similar circumstances treated equally, allowing for treating unequals differently. |
A positive concept (permits reasonable classification). |
Key Principle: Discrimination is not allowed, but classification is allowed if reasonable and based on an intelligible differentia.
Article 15 prohibits the State from discriminating against citizens based only on religion, race, caste, sex, or place of birth. It ensures access to public places. Fundamental Rights are enforceable primarily against the State.
Exceptions: Special provisions for women, children, Socially and Educationally Backward Classes (SEBCs), Scheduled Castes (SCs), and Scheduled Tribes (STs).
Guarantees equality of opportunity in State employment. Exceptions: Reservations for backward classes, SCs, and STs.
Abolishes "untouchability" in any form, making its enforcement a punishable offense.
Prohibits the State from conferring titles and citizens from accepting foreign titles. Exception: Military and academic titles are permitted.
Guarantees six freedoms to all citizens:
Speech and expression.
Assemble peaceably and without arms.
Form associations or unions.
Move freely throughout India.
Reside and settle in any part of India.
Practice any profession, trade, or business.
These freedoms are not absolute and are subject to reasonable restrictions imposed by law (e.g., national sovereignty, public order).
No person shall be deprived of life or personal liberty except by procedure established by law. "Right to life" broadly includes living with human dignity. This right cannot be waived.
The State must provide free and compulsory education to children aged six to fourteen years.
Provides safeguards:
Right to be Informed of grounds.
Right to Counsel.
Production before Magistrate within 24 hours (excluding travel).
Exceptions: Not available to alien enemies or persons under preventive detention.
Article 23: Prohibits human trafficking and begar (forced labor).
Article 24: Prohibits employment of children below 14 years in hazardous activities.
Article 32 allows direct approach to the Supreme Court for Fundamental Rights enforcement. High Courts also have this power under Article 226.
Types of Writs:
Habeas Corpus: For illegal detention.
Mandamus: Command public authority to perform duty.
Prohibition: Higher court stops lower court from exceeding jurisdiction.
Certiorari: Higher court quashes illegal order of lower court.
Quo Warranto: Inquires into legality of claim to public office.
Directive Principles of State Policy and Fundamental Duties are vital constitutional provisions that complement Fundamental Rights and strengthen India’s democratic framework. Together, they ensure a balance between individual rights, state responsibility, and citizen accountability, making them an important area of study for competitive exams like CSEET.
In Part IV, DPSPs are non-enforceable guidelines for the State in policy-making.
|
Aspect |
Fundamental Rights (Part III) |
Directive Principles (Part IV) |
|---|---|---|
|
Enforceability |
Enforceable in court. |
Not enforceable in court. |
|
Nature |
Individual rights; Negative. |
State duties; Positive. |
|
Primacy |
Generally prevail. |
Subordinate. |
Courts aim to harmonize FRs and DPSPs.
Added by the 42nd Amendment, these are non-enforceable moral obligations on citizens (e.g., respecting Constitution, upholding sovereignty).
The Governance Structure of India defines the framework through which the country is administered and governed in accordance with the Constitution.
Parliament: Comprises the President, Rajya Sabha (Council of States), and Lok Sabha (House of the People).
Council of Ministers: Headed by the Prime Minister; total ministers cannot exceed 15% of Lok Sabha strength.
President: Holds executive, legislative, military, judicial powers. Ordinance-Making Power (Article 123) allows ordinances when Parliament is not in session.
India has a hierarchical judiciary: Supreme Court, High Courts, and District and Subordinate Courts.
Key Constitutional Amendments reflect the dynamic and evolving nature of the Indian Constitution, enabling it to respond to changing social, economic, and political needs.
42nd Amendment Act, 1976: "Mini-Constitution"; added "Socialist," "Secular," "Integrity" to Preamble; introduced Fundamental Duties.
52nd Amendment Act, 1985: Introduced Anti-Defection Law.
61st Amendment Act, 1988: Reduced voting age from 21 to 18 years.
69th Amendment Act, 1991: Designated Delhi as National Capital Territory of Delhi.
86th Amendment Act, 2002: Made elementary education a fundamental right under Article 21A.
The term ‘Tort’ means ‘wrong’ (from French and Latin ‘Tortum’). It is not codified in India, evolving through judicial decisions. A tort is a civil wrong, specifically "not exclusively a breach of contract or a breach of trust" (Section 2(m) of the Limitation Act, 1963). The remedy is for unliquidated damages.
|
Category |
Civil Wrong |
Criminal Wrong |
|---|---|---|
|
Impact |
Infringes private rights. |
Wrong against society; punishable by State. |
|
Tort Status |
A tort is a civil wrong. |
Liquidated Damages: Pre-determined compensation.
Unliquidated Damages: Amount decided by court based on harm suffered.
Liability in tort arises from:
General Liability
Strict and Absolute Liability
Vicarious Liability
Vicarious Liability of the State
Requires a Wrongful Act, resulting in Legal Damage (infringement of a legal right), for which there is a Legal Remedy. This is Ubi jus ibi remedium (where there is a right, there is a remedy).
Damnum Sine Injuria: Damage without legal injury. Not actionable. (e.g., Gloucester Grammar School).
Injuria Sine Damno: Legal injury without actual damage. Is actionable. (e.g., Ashby v. White).
“Actus non facit reum nisi mens sit rea” (an act does not make a person guilty unless there is a guilty mind).
In Crime: Mens rea is essential.
In Tort: Mens rea is not always essential.
Liability for harm even without negligence. Established in Rylands v. Fletcher. Conditions: non-natural use of land, and dangerous thing escapes causing damage.
Exceptions to Strict Liability: Natural Use, Consent, Third Party, Statutory Authority, Act of God, Plaintiff’s Own Default.
Stricter than strict liability, with no exceptions. Applies to enterprises engaged in hazardous or inherently dangerous activity. Established in M.C. Mehta v. Union of India.
One person is liable for another's torts due to their relationship.
Principal and Agent: Principal liable (Qui facit per alium facit per se).
Partners in a Firm: All partners liable.
Master and Servant (Employer and Employee): Employer liable for employee's torts during course of employment.
Comparison: Employee vs. Independent Contractor
Employee: Employer has control over method; employer is vicariously liable.
Independent Contractor: Employer has no control over method; employer is generally not liable, unless for strict liability or authorized torts.
State liability for employee torts depends on function.
|
Function Type |
Description |
State Liability |
|---|---|---|
|
Sovereign Functions |
Only government performs (defense, law & order). |
State is NOT liable. |
|
Non-Sovereign Functions |
Both government and private can perform (transport). |
State IS liable. |
Battery: Direct, intentional force without consent.
Assault: Act causing apprehension of imminent battery. (Memory Tip: Raising your hand to slap someone is assault; the actual slap is battery.)
False Imprisonment: Unlawful restraint of liberty.
Malicious Prosecution: Baseless legal proceeding with malice.
Defamation: False statement harming reputation.
Libel: Permanent form (writing).
Slander: Transient form (spoken words).
Damages: Monetary compensation.
Injunction: Court order prohibiting or compelling an act.
Specific Restitution of Property: Return of specific property.
Self-Defence: Reasonable force.
Prevention of Trespass: Reasonable force to prevent/eject.
Abatement of Nuisance: Peaceful removal after notice.
A Company Secretary (CS) is a Key Managerial Personnel (KMP).
Definition of a CS: A person who is a member of the Institute of Company Secretaries of India (ICSI) (Section 2(1)(c) of the Company Secretaries Act, 1980).
Under Section 203 of the Companies Act, 2013, read with Rule 8, a CS is a recognized KMP.
Companies required to appoint a whole-time Company Secretary:
Every listed company.
Every public company with paid-up share capital of ₹10 crore or more.
Every private company with paid-up share capital of ₹10 crore or more.
Key functions include reporting to the Board on legal compliance, ensuring adherence to Secretarial Standards, advising directors, facilitating meetings, and assisting in company affairs.
As per Section 2(25) of the Companies Act, 2013, a "Company Secretary in practice" is a CS deemed to be in practice under Section 2(2) of the CS Act, 1980, by offering professional services for remuneration.
A CS's duty is to ensure legal compliance. Secretarial Audit (Section 204 of Companies Act, 2013) is mandatory for certain companies.
|
Feature |
Financial Audit |
Secretarial Audit |
|---|---|---|
|
Purpose |
Audits financial statements. |
Audits compliance with laws/regulations. |
|
Conducted By |
Chartered Accountant |
Company Secretary in Practice |
|
Governing Section |
Statutory Audit provisions |
Section 204 of Companies Act, 2013 |
|
Report Form |
As per auditing standards |
Form MR-3 |
Applicability of Secretarial Audit: Mandatory for:
Every listed company.
Every public company with paid-up share capital of ₹50 crore or more.
Every public company with turnover of ₹250 crore or more.
Every company with outstanding loans/borrowings of ₹100 crore or more.
Penalty: ₹2 lakh for contravention.
Definition: A "company" is incorporated under this Act or any previous company law (Section 2(20)).
Characteristics:
Corporate Personality (Separate Legal Entity): Distinct from members (e.g., Salomon v. Salomon & Co. Ltd.).
Limited Liability.
Perpetual Succession: Continuous existence. (Members may come and go, but the company goes on forever.)
Separate Property.
Transferability of Shares: Freely transferable in public; restricted in private.
Capacity to Sue and Be Sued.
Separate Management.
When the corporate form is used improperly, courts disregard the company's separate personality to hold individuals liable (e.g., to evade taxes, for fraud).
A company cannot be a citizen. It has a nationality (by incorporation), a residential status (for tax, by effective management), and a domicile (place of incorporation).
The Act applies to companies incorporated under it or previous laws. It does not apply to unincorporated companies.
Illegal Association (Section 464): An association of more than 50 persons for gain, not registered as a company.
|
Feature |
Private Company (Sec 2(68)) |
Public Company (Sec 2(71)) |
|---|---|---|
|
Name Suffix |
"Private Limited" |
"Limited" |
|
Minimum Members |
2 |
7 |
|
Maximum Members |
200 (excluding past/present employees) |
Unlimited |
|
Share Transfer |
Restricted by Articles |
Freely transferable |
|
Public Offer |
Prohibited |
Can raise capital from public |
Key Company Types:
One Person Company (OPC): One member.
Section 8 Company: Charitable objects, prohibited from distributing dividends.
Government Company (Sec 2(45)): At least 51% paid-up share capital by Central/State Gov.
Foreign Company (Sec 2(42)): Incorporated outside India, has place of business in India.
Associate Company: Significant influence (20% of total voting power).
Holding and Subsidiary Company: Holding controls Board or more than half voting power. (Subsidiary of public is deemed public).
Small Company: Private, paid-up capital ≤ ₹4 crore AND turnover ≤ ₹40 crore. Excludes holding/subsidiary, Section 8, Special Act companies.
Dormant Company (Sec 455): Inactive for future project or no significant transaction for two years.
Nidhi Company: Cultivates thrift, deals with members only.
Non-Banking Financial Company (NBFC): Loans/advances, security acquisition.
Composition:
Minimum Directors: Public Co. (3), Private Co. (2), OPC (1).
Maximum Directors: 15 (increase by Special Resolution (SR)).
Resident Director: At least one director resides in India for not less than 182 days in the financial year.
Appointment and Removal:
Appointment: Requires Director Identification Number (DIN); consent (DIR-12) filed within 30 days.
Retirement by Rotation (Public Companies): 2/3 of total directors liable; 1/3 retire at each AGM, eligible for reappointment.
Removal: By Ordinary Resolution (OR). Exceptions: NCLT-appointed directors, independent directors (second term requires SR).
Two types: Board Meetings (directors) and General Meetings (members).
Board Meetings:
First: Within 30 days of incorporation.
Frequency: At least 4 Board Meetings annually.
Gap: Max 120 days between meetings.
Quorum: 1/3 of total strength or 2 directors, whichever is higher.
General Meetings (AGM & EGM):
Annual General Meeting (AGM):
First AGM: Within 9 months from first financial year closing.
Subsequent AGMs: Within 6 months from financial year closing.
Gap: Max 15 months between two AGMs.
Extension: Up to 3 months by ROC for subsequent AGMs.
Business: Ordinary Business (ADDA - A**ccounts, **D**ividend, **D**irectors, **A**uditors); others are **Special Business.
Applicability: Companies with, in preceding financial year:
Net worth of ₹500 crore or more, OR
Turnover of ₹1000 crore or more, OR
Net profit of ₹5 crore or more.
Requirements: Constitute a CSR Committee; spend at least 2% of average net profits of the three immediately preceding financial years on CSR activities (per Schedule VII).
The Indian Contract Act, 1872, came into force on September 1, 1872. A contract forms sequentially:
Offer + Accepted = Promise.
Promise + Consideration = Agreement.
Agreement + Enforceable by Law = Contract.
A contract is an agreement that is enforceable by law. It requires an Agreement and a legal Obligation.
Section 2(e) defines an agreement as: "Every promise and every set of promises, forming the consideration for each other."
Social or domestic agreements are generally not intended to create legal relations and are thus non-enforceable.
A contract is valid if it has all these elements:
Offer and Acceptance.
Intention to Create Legal Relations.
Lawful Consideration.
Capacity of Parties (not minors, insolvent, or of unsound mind).
Free Consent (without coercion, undue influence, fraud, or misrepresentation).
Certainty of terms.
Capable of Performance.
Lawful Object.
An offer, defined under Section 2(a), must be clear, definite, communicated, and revocable before acceptance.
1. Based on Mode: Express (words) or Implied (conduct).
2. Based on Offeree: General (to public) or Specific (to particular person/group).
Acceptance is the offeree's final, unqualified agreement. It can be Express or Implied, must be communicated, and silence cannot be considered acceptance. It must be within a reasonable time.
A counter offer modifies the initial offer, acting as a rejection of the original offer, which then terminates.
Section 2(d) defines consideration as the price for a promise.
Must move at the desire of the promisor.
Need not be adequate.
May be Past, Present, or Future.
Privity of Contract: A third party cannot sue on a contract.
Privity to Consideration: In India, consideration may move from the promisee or any other person (Chinnaya vs. Ramayya).
An agreement without consideration is generally void, but exceptions include:
Agreement from Natural Love and Affection (in writing, registered).
Promise to Compensate for Past Voluntary Services.
Promise to Pay a Time-Barred Debt (in writing).
Completed Gifts.
Agency.
Void Agreements (Void ab initio): Non-existent from the start.
Illegal Agreements: Forbidden by law.
Key Distinction: All illegal agreements are void, but not all void agreements are illegal.
Caused by:
Incapacity to Contract: Minors, lunatics (agreements void), or those disqualified by law.
Lack of Free Consent: Makes a contract voidable.
Coercion: Threatening unlawful acts.
Undue Influence: One party dominates another's will.
Fraud: Intentional false representation to deceive. Mere silence is generally not fraud.
Misrepresentation: Innocent false statement.
Void agreements include those in restraint of parental rights, marriage, personal freedom, trade, and marriage brokerage.
Wagering Agreements: Betting/gambling, generally void.
Contingent Contract (Section 31): Performance depends on a future uncertain collateral event.
Quasi-Contract: Obligation imposed by law to prevent unjust enrichment.
A contract can be discharged by:
Performance.
Mutual Consent or Agreement.
Lapse of Time.
Operation of Law.
Impossibility of Performance.
Breach of Contract.
Anticipatory Breach: Repudiation before due date.
Actual Breach: Failure to perform on due date.
Remedies:
Rescission: Cancellation.
Suit for Damages: Monetary compensation.
Suit for Specific Performance: Court orders performance.
Suit for Injunction: Court order restraining an act.
Suit upon Quantum Meruit: Payment for work performed.
Contracts of Indemnity and Guarantee are special types of contracts governed by the Indian Contract Act, 1872, and play a crucial role in commercial and financial transactions. Understanding the differences between these two contracts is important for interpreting legal obligations, risk allocation, and liability, making this topic highly relevant for CSEET and other law-based competitive examinations.
|
Feature |
Contract of Indemnity |
Contract of Guarantee |
|---|---|---|
|
Parties |
Two: Indemnifier, Indemnity-holder. |
Three: Principal Debtor, Creditor, Surety. |
|
Liability |
Indemnifier's liability is primary and absolute. |
Surety's liability is secondary, arises on default. |
|
Purpose |
To save from loss caused by indemnifier or third party. |
To assure creditor debt will be paid. |
|
Post-Payment Rights |
Indemnifier sues third party in own name. |
Surety steps into creditor's shoes, recovers from principal. |