Lawstreet Journal

Necessity of Unambiguous and Particular Show Cause Notice in Case Where Consequence of Such Notice Might be as Severe as Blacklisting: Supreme Court [READ JUDGMENT]

Lawstreet Journal 20 Nov 2020 1:07am

Image courtesy: Lawstreet Journal Judiciary Necessity of Unambiguous and Particular Show Cause Notice in Case Where Consequence of Such Notice Might be as Severe as Blacklisting: Supreme Court [READ JUDGMENT]

The Supreme Court of India has overturned the decision of Madhya Pradesh High Court remarking that "This Court has consistently prescribed strict adherence to the principle of natural justice whenever an entity is thought to be blacklisted." The Supreme Court also observed that there is a necessity of unambiguous and particular show cause Notice in the case where a consequence of such notices might be a service blacklisting. 

In November 2016, the appellant agency was appointed by the Food Corporation of India for recruitment of watchman for the Corporation. When the agency was conducting exams for recruiting the above mention employee for the corporation the police arrested multiple individuals including some people from the appellant agency for leaking the question paper. The Food Corporation of India issued a show-cause notice to the appellant agency asking them for an explanation and also mentioning multiple clauses under which the conduct of the agency breached the contract by their value to conduct the free and fair examination. The appellant has given justification but they cannot give the justification which can satisfy the Corporation, so Corporation again issued a final show cause notice. after the appellant issued the final report explaining the corporation established the agency negligence beyond reasonable doubt and blacklist the appellant for 5 years from entering any contract with the corporation for the for fitting the security deposit of the appellant. 

The counsel for the appellant submitted that they wear only challenging the blacklisting and not the breach of the contract. The council also argues… Continue Reading...


Tagged: Supreme Court of India  
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