Equity in India
ᅳ Equity - beyond legal remedies or when legal remedies are
insufficient. Equity is principle of treating fairly and just.
ᅳ Before british - india hindu and muslim law - followed principles of
justice, fairness and good conscience - similar to equity in England.
Equity in Hindu law
ᅳ Justice is connected to dharma which means righteousness, fairness
and duty.
ᅳ If two laws conflicted, then courts had to follows justice based on
custom and equity
ᅳ Kings decisions are final but they must adhere to fairness and equity
ᅳ Hindu texts asks not to follow legal texts blindly
Equity under muslim law
ᅳ Muslim law there's a principle - istihsan - juristic equity - introduced
by abu hanifa. This meant that if application of law led to injustice,
then it's better to apply a fair solution. This is equity.
Equity under British rule
ᅳ Introduced the common law and equity system
ᅳ Unlike england, India never had separate courts for equitable and
law matters. The SC handled both.
ᅳ Indian statutes such as - Specific relief act, indian trust act, indian
succession act, GWA, Indian contract act, TOPA, divorce act etc. have
equity principles
ᅳ in India equity is never separate from law. Law has the essence of
equity principles.
ᅳ Every court has power to apply equity to ensure justice
ᅳ Applied two ways - 1. when there is no specific law for a matter -
equity is applied. 2. Where law exists - applied to ensure justice and
fairness eg..sec 151 of CPC - allows court to do real and substantial
justice when there is no specific rule.
ᅳ England separated legal and equitable interests in terms of
property. India didn't follow this.
Incorporation of equity in Indian law after british
1. Trust act 1882 - trustee manages property for someone else
benefit. India adopted this principle in trust act. Even if a person is
not officially a trustee, they must act with fairness
2. Specific Relief Act 1877 - offers equitable remedies than just
money. Such as specific performance, injunction, rectification.
Minerva mills case
ᅳ Justice bhagwati - laws must be stable, not rigid. If old judgement is
unfair, then flexible enough to change it.