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KHATKI AHMED MUSHABHAI versus LIMDI MUNICIPALITY

Citation: [1979] 2 S.C.R. 338 · Decided: 20-11-1978 · Supreme Court of India · Bench: V.R. KRISHNA IYER · Disposal: Dismissed

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Judgment (excerpt)

A 
B 
338 
KHA TKI AHMED MUSHABHAI 
v. 
LIMDI MUNICIPALITY 
November 20, 1978 
(V. R. KRISHNA IYER, P. N. SHINGHAL AND A. P. SEN, JJ.] 
Right to a licence-When the bye laws permit the lic~ncing authority to 
grant or to refuse licences, whether said to offend Art. 19'(1)(a) of th~ Constitu-
tion of India, 1950. 
Dismissing the special leave petition, the Court, 
C 
HELD : 1. No butcher, baker or circus manager can say that he has the· 
D 
E 
unqua.lified right to get a licence on mere application. It is open to the Ik:enc-
ing C-Ouncil-Indeed, is obligatory on its part-to take note of all relevant cir-
cumstances and then decide whether, in the particular spot chosen by the 
particular applicant, a licence should be granted or not. 
(339C-D] 
2. Various factors enter the verdict and the local authorities are the best 
judge of the factual factors, not the Courti especially, the Supreme Court at the 
third tier. 
The factual factors may be many, like the proximity to schools, 
public institutions and also residents of the locality plus the reaction or irnpact 
on those IDstitutions and residents, the unren.sonableness to grant licence to the 
same person or one for the father and another for the son, the need for an 
extra shop, other considerations which are germane from peace-keeping and 
welfare-oriented view-points etc. 
Certainly granting a lease 
solely 
because· 
some·Onc offers a_ large donation to the Municipality may not be ccrrect. [339D, 
F·G, 340B] 
3. No doubt Municipal discretion should be exercised rationally, not religi· 
ou~ly nor ritually and judicial discretion should go into anxiously, not impetu-
ously nor. in disregard of the pragmatic guideline that local authorities are the· 
best judges of local conditions. 
Of course, if irrelevant criteria or perverse 
application Vitiate the decision, courts will guardian the rule of Jaw againat 
F 
little tyran~ trampling over people's rights or local factions fouling 
the 
G 
council's verdict. 
[340C-DJ 
Tn the instant cooe, the ground on w·hich the Municipal body has refuseti: 
licence is not irrelevant and cannot be described 3.S un1easonablc within the 
meaning of Art. 19(6) of the Constitution. 
[339C] 
Mohd. Faruk v. M. P. State, [1970] 1 SCR 156; inapplicable. 
CIVIL APPELLATE JURISDICTION : Special Leave Petition (Civil) 
No. 2939 of 1978. 
Appeal from the Judgment and Order dated 4-10-1978 of the Gujarat 
High Caurt in Special Civil Application No. 1174 of 1977. 
II 
M. V. Goswami for the Petitioner. 
P. M. Raval, P. H. Parekh, C. B. Singh and M. Mudgal for tke 
R~pondent. 
..1. , 
.. 
• 1. 
KHATICT AHMED v. L!MDI MUNICIPALITY (Krishna Iyer,!.) 
339 
The Order of the Court was delivered by 
KitlSHNA IYER, J. The petitioner's counsel, in his fighting submis-
sion, argues that his client's fundamentaJ right to a licence for a meat 
shop has been flouted by the little Limdi Municipality, founding himself 
on a decision of this Court in Mohd. Faruk v. M. P. State( 1). That 
A 
decision hardly helps. 
There a byelaw was challenged as violative of 
B 
Art. 19 ( 1) (g) . 
Here there is no law whatever which bans the grant 
of meat licences. 
Indeed, thern are three other licensed meat stalls 
and the petitioner himself had a meat licence in a shop leased to him by 
the same Municipality earlier which by efllux of time had expired. The 
law vests a discretion to be reasonably exercised in the context of citi-
zen's fundamental right. 
The ground on which the Municipal body 
has refused licence here is not irrelevant and cannot be described as 
unreasonable within the meaning of Art. 19 ( 6) of the Constitution. The 
bye-laws permit the municipality, as the licensing authority, to grant or 
to refuse licences. 
No butcher, baker or circus manager can say that 
he has the. unqualified right to get a licence on mere application. 
It is 
open to the licensing council-indeed, is obligatory on its part-to take 
note. of aJl relevant circumi;tances and then decide whether, in the parti-
cular spot chosen by the particular applicallt,, a licence should be granted. 
Various factors enter the verdict and the locaJ authorities are the best 
judge of these factual factors, not the court, especially this Court sitting 
at the third tier. 
The, Limdi Municipality is stated to be a small one with a population 
of around 25000. It is admitted that there are three licensed meat 
vendors including one who iS the father of the petitioner. 
The claim of 
the petitioner is 

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