UNION OF INDIA versus M/S. RANBAXY LABORATORIES LTD. AND OTHERS

UNION OF INDIA versus M/S. RANBAXY LABORATORIES LTD. AND OTHERS

Exemption notification dated 29th August, 1995 exempts drugs manufactured up to 31st October, 1999 from price control, and the nexus between manufacture, marketing and sale requires the notification to be construed in a way that allows sale after exemption period if manufacture occurred during the exemption.

Parties
Appellant: Union of India; Respondent: M/s. Ranbaxy Laboratories Ltd.
Jurisdiction
India
Judgment Date
12 May 2008
Procedural Posture
Civil Appeal / Final Judgment on Appeal From Delhi High Court Letters Patent Appeal No. 675 of 2004
Outcome
Appeal dismissed with costs.
Legal Topics
Interpretation of Exemption Notifications, Drugs (price Control) Order, 1995, Purposive Construction, Essential Commodities Act, 1955

Case Brief

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Parties

Union of India

Appellant

M/s. Ranbaxy Laboratories Ltd.

Respondent

Procedural Posture

Civil Appeal / Final Judgment on Appeal From Delhi High Court Letters Patent Appeal No. 675 of 2004

  1. 1 Whether the exemption Notification dated 29.8.1995 applies to drugs manufactured up to 31st October, 1999 or both manufactured and sold by that date
  2. 2 Proper interpretation of exemption notifications under Drugs (Price Control) Order, 1995

Ratio Decidendi

Exemption notification dated 29th August, 1995 exempts drugs manufactured up to 31st October, 1999 from price control, and the nexus between manufacture, marketing and sale requires the notification to be construed in a way that allows sale after exemption period if manufacture occurred during the exemption.

Court Disposition

Appeal dismissed with costs.

Orders

  • Appeal dismissed; counsel's fee assessed at Rs.50,000/-