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NARINDER S. CHADHA & ORS. versus MUNICIPAL CORPORATION OF GREATER MUMBAI & ORS.

Citation: [2014] 12 S.C.R. 817 · Decided: 08-12-2014 · Supreme Court of India · Bench: RANJAN GOGOI · Disposal: Appeal(s) allowed

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Judgment (excerpt)

[2014] 12 S.C.R. 817 
NARINDER S. CHADHA & ORS. 
v. 
MUNICIPAL CORPORATION OF GREATER MUMBAI & 
ORS. 
(Civil Appeal No. 10836 of 2014 Etc.) 
DECEMBER 08, 2014 
[RANJAN GOGOi AND R.F. NARIMAN, JJ.] 
A 
B 
Cigarettes and Other Tobacco Products (Prohibition of 
Advertisement and Regulation of Trade and Commerce, 
C 
Production, Supply and Distribution) Act, 2003: 
s. 6 rlw the Rules framed under the Act - Circular dated 
04.07.2011 - Issued by Municipal Corporation - Adding 
conditions in General Conditions of licence issued uls. 394 
0 
of Mumbai Municipal Corporation Act -
Validity of the 
conditions - Held: s.6 of the Act lays down the condition 
prohibiting sale of cigarettes - Any condition which prohibits 
sale of cigarettes/tobacco products in the premises licenced 
by Municipal Corporation would amount to adding another 
E 
exception, which is not permissible in law - The condition 
No.35(C) would be ultra vires the Act and the Rules framed 
thereunder - However, sub-clauses (DJ and (E) of condition 
No. 35 are valid - Prohibition of smoking in Public Places 
Rules, 2008 - rr.4(3) and 3(1)(c) -
Mumbai Municipal 
F 
Corporation Act, 1888 - s.394. 
s.3(m) - 'Sale' - Definition of- Interpretation - Held: The 
definition being exhaustive, would not include 'service' within 
its ambit. 
s. 6 rlw the Rules framed under the Act - Notice dated 5th 
July, 2011 -Issued under s.44 of Tamil Nadu Public Health 
Act, 1939 - Preventing hotel/restaurant owner from providing 
tobacco to persons (not minors) and prohibiting Hookah Bars 
G 
817 
H 
818 
SUPREME COURT REPORTS 
[2014] 12 S.C.R. 
,.....__ 
A within a radius of 300 ft. of an educational institution "- ValidityΒ· 
of - Held: The notice is ultra vires the Act and the Rules -
Prohibition of Smoking in Public Places Rules, 2008 - Tamil 
Nadu Public Health Act, 1939 - s.44. 
B 
s. 6 rlw. the Rules framed under the Act - Order dated 
14. 07.2011 - Issued u/s. 33 of Bombay Police Act rlw. s. 144 
Cr.P.C - Prohibiting hookah bars - Validity of - Held: The 
word 'regulate' under the Police Act would not include the 
. 
. 
power to prohibit - Power u/s. 144 Cr.P.C. is for passing 
c temporary orders which cannot last beyond 2 months - Hence 
the order is not valid - Bombay Police Act, 1951 - s.33 -
Code of Criminal Procedure, 1973 - s.144 - Prohibition of 
Smoking in Public Places Rules, 2008. 
Prohibition of Smoking in Public Places Rules, 2008 -
D rr. 3 and 4- Applicability of - Discussed. 
Equity - Applicability of - 'Equity follows the law' - If the 
law is clear, no notions of equity can substitute the same. 
E 
Words and Phrases - 'Sale' and 'Service' - Meaning of, 
in the context of Cigarettes and Other Tobacco Products 
(Prohibition of Advertisement and Regulation of Trade and 
Commerce, Production, Supply and Distribution) Act, 2003. 
Allowing the appeals, the Court 
F 
HELD: 1.1. Section 6 of the Cigarettes and Other 
Tobacco Products (Prohibition of Advertisement and 
Regulation of Trade and Commerce, Production, Supply. 
and Distribution) Act, 2003 permits the sale of cigarettes 
G and any other tobacco products, except to persons under 
18 years of age and in an area within a radius of 100 
yards of any educational institution. It is clear that any 
condition which prohibits the sale of cigarettes or any 
other tobacco products in premises licenced by the 
H 
NARINDER S. CHADHA v. MUNICIPAL CORPORATION 
819 
OF GREATER MUMBAI 
Municipal Corporation would amount to adding another A 
exception which would be impermissible in law. [Para 12] 
[836-C-D] 
1.2. It is not correct to say that the sale of tobacco or 
tobacco related products would amount to a service. It 
8 
is difficult conceptually to say that "sale" and "service" 
are interchangeable items. "Sale" is defined under the Act 
as meaning a transfer of property in goods for 
consideration. It is obvious that "sale" has to be 
understood in this sense, and properly so understood 
would not include "service" which would refer not to C 
transfer of property in goods but to "service" as is 
understood in its ordinary sense. [Paras 12 and 13] [836-
E-G] 
. 
Northern India Caterers (India) Ltd. v. Lt. Governor of D 
Delhi 1979 (1) SCR 557 - relied on. 
1.3. In the present case, the well established 
distinction between "sale" and "service" would continue 
to apply in view of the definition of "sale" contained in 
Section 3(m) of the Cigarettes Act. The definition is a 
"means" and "includes" one. Such definition is a

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