Understanding Delegated Legislation
Understanding Delegated Legislation
DELEGATED
LEGISLATION
Module 2
• Traditional theory (Classical Liberalism)
Function of the Executive Administer the
law enacted by the legislature.
A movement • Social Welfare State Quantity over
towards Quality.
Delegated • Delegated legislation is so multitudinous that
a statute book would not only be incomplete
Legislation. but misleading unless it be read along with
delegated legislation which amplifies and
supplements the law of the land.
When the function of legislation is
entrusted to organs other than the
Delegated legislature by the legislature
itself, the legislation made by such
Legislation an organs is called delegated
legislations.
Two Senses of Delegated Legislation
Constitution
Legislature Statute
Section 6(1): “Subject to the provisions of this Act, the National Authority shall
have the responsibility for laying down the policies, plans and guidelines for
disaster management for ensuring timely and effective response to disaster.”
ensure social distancing.
Section 10 (2)(1) – Central Government lay down guideline for, or give directions
to, the concerned Ministries or Departments of the Government of India, the State
Governments and the State Authorities regarding measures to be taken by them in
response to any threatening disaster situation or disaster. Lockdown.
Epidemic Diseases Act, 1897
Section 2(A) - Powers of Central Government. “When the Central
Government is satisfied that India or any part thereof is visited by, or
threatened with, an outbreak of any dangerous epidemic disease and that
the ordinary provisions of the law for the time being in force are
insufficient to prevent the outbreak of such disease or the spread
thereof, the Central Government may take measures and prescribe
regulations for the inspection of any ship or vessel leaving or arriving
at any port in the territories to which this Act extends] and for such
detention thereof, or of any person intending to sail therein, or arriving
thereby, as may be necessary.]”
SUPREME LEGISLATION/PARENT
SUBORDINATE LEGISLATION ACT
Congress had "prescribed, in advance, the duties to be levied, collected, and paid"
and that the President's power related only to the enforcement of the act. The
President was thus "the mere agent of the law-making department," so the act was
constitutional.
Power is discretionary and not legislative in nature.
Principle Applied – Separation of Powers
That Congress cannot delegate legislative power to the President is a principle universally
recognized as vital to the integrity and maintenance of the system of government ordained by the
Constitution.
The act of October 1, 1890, in the particular under consideration, is not inconsistent with that
principle. It does not, in any real sense, invest the President with the power of legislation.
For the purpose of securing reciprocal trade with countries producing and exporting sugar, molasses,
coffee, tea and hides, Congress itself determined that the provisions of the act of October 1, 1890,
permitting the free introduction of such articles, should be suspended as to any country producing
and exporting them, that imposed exactions and duties on the agricultural and other products of the
United States, which the President deemed, that is, which he found to be, reciprocally unequal and
unreasonable.
Congress itself prescribed, in advance, the duties to be levied, collected and paid, on sugar, molasses,
coffee, tea or hides, produced by or exported from such designated country, while the suspension
lasted.
Contd..
The words, "he may deem," in the third section, of course, implied that the President
would examine the commercial regulations of other countries producing and
exporting sugar, molasses, coffee, tea and hides, and form a judgment as to whether
they were reciprocally equal and reasonable, or the contrary, in their effect upon
American products. But when he ascertained the fact that duties and exactions,
reciprocally unequal and unreasonable, were imposed upon the agricultural or other
products of the United States by a country producing and exporting sugar, molasses,
coffee, tea or hides, it became his duty to issue a proclamation declaring the
suspension, as to that country, which Congress had determined should occur.
Congress may lay down its policies and establish its standards and leave to selected
instrumentalities the making of subordinate rules, within prescribed limits, and the
determination of facts to which the policy, as declared by Congress, shall apply, but the constant
recognition of the necessity and validity of such provisions, and the wide range of administrative
authority which has been developed by means of them, cannot be allowed to obscure the limitations
of the authority to delegate, if our constitutional system is to be maintained. (P. 293 U. S. 421.)
National
Broadcasting • Independent Regulatory Commission (4th
Co., Inc. v Branch) Federal Communications
Commission (FCC).
United States, • Established under the Communications Act,
319 U.S. 190 1934 7-person board.
(1943) • The sudden burst of broadcast radio.
Communications Act, 1934
Section 303 provides:
Except as otherwise provided in this Act, the Commission from time to time, as public convenience, interest, or
necessity requires, shall—
(a) Classify radio stations;
(b) Prescribe the nature of the service to be rendered by each class of licensed stations and each station within
any class
(c) Make such regulations not inconsistent with law as it may deem necessary to prevent interference
between stations and to carry out the provisions of this Act * * *;
(g) Study new uses for radio, provide for experimental uses of frequencies, and generally encourage the larger
and more effective use of radio in the public interest;
(i) Have authority to make special regulations applicable to radio stations engaged in chain broadcasting;
(r) Make such rules and regulations and prescribe such restrictions and conditions, not inconsistent with law,
as may be necessary to carry out the provisions of this Act * * *.'
• Suits were brought on October 30, 1941, to challenging the
enforcement of the Chain Broadcasting Regulations
promulgated by the Federal Communications Commission on
May 2, 1941.
• The Commission undertook a comprehensive investigation to
determine whether special regulations applicable to radio
stations engaged in chain broadcasting were required in the
'public interest, convenience, or necessity’.
• The FCC had promulgated several rules designed to regulate
Facts “chain broadcast,”
• the FCC could not directly regulate the radio networks, it
directed its rules at the licensing of stations that participated in
the activities that the FCC had determined to be contrary to the
public interest.
• National Broadcasting Co. (NBC) challenged the regulations
on several bases, on the grounds that the order is beyond the
Commission's statutory authority or, if within it, that the
statute is an unconstitutional delegation of the legislative
power of Congress in violation of Article I, of the Constitution
• The Act itself establishes that the Commission's
powers are not limited to the engineering and
technical aspects of regulation of radio
communication.
• The Commission as a kind of traffic officer, policing
the wave lengths to prevent stations from interfering
Court’s with each other. But the Act does not restrict the
Commission merely to supervision of the traffic. It
Opinion puts upon the Commission the burden of
determining the composition of that traffic. The
facilities of radio are not large enough to
accommodate all who wish to use them. Methods
must be devised for choosing from among the many
who apply. And since Congress itself could not do
this, it committed the task to the Commission.
• The Commission was, however, not left at large in
performing this duty. The touchstone provided by
Congress was the 'public interest, convenience, or
necessity', a criterion which 'is as concrete as the
complicated factors for judgment in such a field of
delegated authority permit’
• The 'public interest' to be served under the
Communications Act is thus the interest of the listening
Contd.. public in 'the larger and more effective use of radio’.
• The avowed aim of the Communications Act of 1934 was
to secure the maximum benefits of radio to all the people
of the United States. To that end Congress endowed the
Communications Commission with comprehensive powers
to promote and realize the vast potentialities of radio.
• This ruling cleared the way for the FCC to regulate
networks indirectly by banning licenses to individual
stations that contract with networks engaged in practices
considered detrimental to the public interest.
Change in the approach in the US
• Conservative Liberal Approach.
• Pragmatic considerations over theoretical objections.
• Field vs. Clark – did not acknowledge ‘Legislative’ power and termed it as
‘Discretionary’
• Panama Refinery – set the tone for the rule of delegated legislation.
• NBC vs. US – if a policy/criterion was in place, delegation can be allowed.
• Judicial Review adopted a flexible approach propounded the doctrine of excessive
delegation.
• Doctrine of Excessive Delegation - Primary legislative functions must be performed by
the legislature. Essential functions include determination of legislative policy and its
formulation as a rule of conduct.
Does this open the door to arbitrariness?
Delegated Legislation in India
Pre-Independence
Post –Independence
Post - Constitution
R vs. Burah
Act XXII of 1869 of the Council of the Governor General of India for making
laws and regulations was an Act to remove the Garo Hills from the jurisdiction
of the tribunals established under the General Regulations and Acts passed by
any legislature in British India and provided that "no Act hereafter passed by
Pre- the Council of the Governor-General for making laws and regulations shall be
Independence deemed to extend to any part of the said territory unless the same was
specifically named therein."
Section 9 of the Act, authorized the Lt. Governor, to extend the provisions of
the Act, to Khasi and Jantia Hills, with incidental changes
It removed Garo hills from the civil and criminal jurisdiction of Bengal and
When the Privy placed its administration under an officer appointed by the Lt. Governor.
Council was the Burah was tried for murder by the Commissioner of Khasi and Jaintia Hills and
was subsequently sentenced. Burah, challenged the notification The Calcutta
highest court of High Court held that Section 9 was ultra vires the power of the Indian
appeal. Legislature Court that the Indian Legislature was a delegate or an agent of
the British Parliament. (Sub-delegation)
Dicey, “the Indian Legislatures are in short, within their own sphere, copies
of Imperial Parliament, they are within their own sphere sovereign bodies,
but their freedom of action is controlled by their subordination to the
Parliament of the United Kingdom.”
• That the power was to be exercised over areas which,
notwithstanding the Act, remained under the administrative
control of the Lieut.-Governor.
• That the authority given to the Lieut.-Governor was not to pass
new laws but only to extend Acts which were passed by the
Lieut. Governor. or the Governor-General in respect of the
Province both being competent legislatures for the area in
Opinion of question. He was not given any power to modify any law.
the Privy • That within the powers conferred on the Indian Legislature it
was supreme and its powers were as plenary and of the same
nature as the British Parliament.
Council • That by the legislation the Indian Parliament had not created a
legislative body with all the powers which it had.
• The objection on the ground of delegation was rejected because
what was done was not delegation at all, but it was conditional
legislation.
Jatindra Nath Gupta vs. Province of Bihar (Purpose-Based)
The validity of Section I(3) of the Bihar Maintenance of Public Order Act,
1948 was challenged.
Bihar Maintenance of Public Order Act, 1948 was to remain in force for one
year. However, power was conferred on the Provincial Government to extend the
Pre-Constitution operation of the Act for a further period of one year.
On the ground that it authorized the provincial government to extend the life of
the Act for one year with such modifications as it may deem fit.
Federal Court Power to extend the operations of the Act beyond the period of one year was a
legislative act and therefore cannot be delegated.
became the There could be no delegation of legislative powers beyond conditional
highest court od legislation – extreme restrictive.
The power of modification implies within it the power of amending those statutes. In the Justice’s opinion “the section conferred a kind of a vague, wide,
vagrant and uncanalised authority on the Governor- General.” The wide charter of delegated power given to the executive by section 7 of the Delhi Laws
Act, it could exercise essential legislative functions and in effect it became the legislature for Delhi.
Issue No. 2: Under sections 99 and 100 there was a distribution of legislative powers between Provinces and Centre, but the word “Province” did not
include a Chief Commissioner’s Province and therefore the Central Legislature was the only law-making authority for the Chief Commissioner’s
Provinces.
The Ajmer-Merwara Act was passed under the Government of India Act as adapted by the Indian Independence Act. Although by that Act the control of
British Parliament over the Government of India and the Central Legislature was removed, the powers of the Central Legislature were still as those found
in the Government of India Act, 1935. The Independence Act therefore made no difference on the question whether the power of delegation was contained
in the legislative power.
Issue No. 3: Article 246 deals with the distribution of legislative powers between the Centre and the States but Part C States are outside its operation. On
any subject affecting Part C States, Parliament is the sole and exclusive legislature until it passes an Act creating a legislature or a Council - power of
legislation does not carry with it the power of delegation.
Three Tests:
(1)It must be a delegation in respect of a subject or matter which is within the scope of the legislative power of the body making the delegation.
(2)Such power of delegation is not negatived by the instrument by which the legislative body is created or established; and - Constitution
(3) It does not create another legislative body having the same powers and to discharge the same functions which it has, if the creation of such a
body is prohibited by the instrument which establishes the legislative body itself.
Fazl Ali, J.
The Act in question does not enact a “new law” but merely “transplants” to the territory
concerned, laws operative in other parts. He further suggested that some safeguards
should be implemented, such as a one year time period during which the effectiveness
of the delegated function can be judged. He was however of the opinion that mere
absence of the safeguard will not invalidate the said provision and it is thus intra
vires.
The legislature must normally discharge its primary legislative functions itself and not
through others.
Delegation is ancillary to and necessary for the full and effective exercise of its power
of legislation.
It cannot abdicate its legislative functions and does not become a parallel legislature.
"It cannot be said that an unlimited right of delegation is inherent
in the legislative power itself. This is not warranted by the
provisions of the Constitution and the legitimacy of delegation
depends entirely upon its being used as an ancillary measure
which the legislature considers to be necessary for the purpose of
exercising its legislative powers effectively and completely. The
legislature must retain in its own hands the essential
legislative functions which consist in declaring the legislative
J. Mukherjee policy and laying down the standard which is to be enacted
into a rule of law, and what can be delegated is the task of
subordinate legislation which by its very nature is ancillary to
the statute which delegates the power to make it. Provided the
legislative policy is enunciated with sufficient clearness or a
standard laid down the courts cannot and should not interfere
with the discretion that undoubtedly rests with the legislature
itself in determining the extent of delegation necessary in a
particular case."
• Separation of Powers is not part of the Indian
Constitution.
• Indian Parliament was never considered as an
agent of anybody. Doctrine of the delegate
cannot further delegate does not apply.
Views were • Parliament cannot completely abdicate itself by
creating a parallel authority.
based on • Only ancillary functions can be delegated.
• There is a limitation on delegation of power.
Legislature cannot delegate its essential
functions. Essential functions involving laying
down the policy of the law and enacting that
policy into binding rule of conduct.
• Keeping the exigencies of modern
government in view, Parliament and state
legislatures have to delegate the power in
order to deal with multiple problems
prevailing in India as it is impossible to
expect them to come with complete and.
Take-aways Comprehensive legislations on all subjects
sought to be legislated on.
• Since the legislature derives its power from
the Constitution, excessive freedom like in
the case of the British Constitution cannot be
granted and limitations are required.
Conclusion
I. Power to Legislate include the Power to Delegate
C.J. Kania – the Constitution has never per se warranted delegation powers at any stage and agreed on the view
that the legislature can however, conditionally legislate.
J. Fazl Ali – That the power of delegation is constituent element of legislative power and the power resides in
the legislature.
II. Limits of Delegation –
C.J. Kania – legislature cannot delegate to lay down policy underlying a rule of conduct.
J. Fazl Ali – only function ancillary to the legislature can be delegated. Not the primary/essential functions.
III. Delegation of power to make modifications and alterations –
C.J. Kania – Only legislature has authority to modify and alter the law in any substantive sense.
J. Fazl Ali – Power to change things is incidental to apply the law.
IV. Power to Repeal –
Is essentially a legislative power and hence delegating that to the executive is ultra vires.
Gwalior Rayon
Silk
Manufacturing Whether the provisions of s. 8(2) (b) of the
(Weaving) vs. Central Sales Tax Act, 1956 (Act 54 of 1956)
Asst. (hereinafter referred to as the Act). suffer from
Commissioner of the vice of excessive delegation?
Sales Tax and
Others – AIR
1974 SC 1660
Section 8(2) (b)
Rates of tax on sales in the course of inter-State trade or commerce:
(b) in the case of goods other than declared goods, shall be calculated at the rate of ten per
cent or at the rate applicable to the sale or purchase of such goods inside the appropriate
State, whichever is higher; and for the purpose of making any such calculation any such
dealer shall be deemed to be a dealer liable to pay tax under the sales tax law of the
appropriate State, notwithstanding that he, in fact, may not be so liable under that law.
• Parliament did not fix the rate of Central
Sales Tax but adopted the rate applicable to
the sale or purchase of goods within the
appropriate State in case such a rate exceeds
Facts 10 percent.
• Section was challenged on the grounds that
the Parliament is not fixing the rate itself
has not laid down any legislative policy and
has abdicated its legislative function.
Section was upheld by all five judges sufficient
guidelines were in place in the Act.
Diverging opinions regarding the concept of
delegated legislation:
J. Khanna – Legislature must lay down a
principle or standard for the guidance of the
Court’s delegate.
Opinion J. Matthew – Delegation involves the granting of
discretionary powers to another, but ultimate
power always remains with the legislature. The
legislature cannot be said to abdicate its
legislative functions if it could at any time repeal
the legislation and withdraw its authority and
discretion it has vested on the delegate.
After the administration in Pondicherry was entirely handed over
to the Indian Government. The Indian Parliament in 1963 passed
a law setting up a legislature for Pondicherry. This legislature
passed General Sales Tax Act, 1965
B. Shama
Rao v. U.T Meanwhile, the Madras Act was amended by the Legislative
Assembly of Madras. In March 1966, the central executive came
of out with a notification that from April, 1966 provisions of
Madras General Sales Tax Act shall be applicable in Pondicherry.
Pondicherry By the reading of Section 1(2) and Section 2(1) it was the
amended version of Madras General Sales Tax Act which was to
(1967) be applied.
Facts • On December 4, 1958, the Drugs Controller, Delhi State, stopped the sale of
forty of their products set out in the petition. Subsequently, objection was
taken by the Drugs Controller to the advertisements in regard to other
drugs. Similarly, objections were taken by the Drugs Controllers of other
States to various advertisements in regard to medicines and drugs prepared
by the petitioners.
• Advertisements based on Unani system.
• That claimed certain drugs had magical or other remedies, arising out of a
concern that a number of people were using these fake drugs for the
purposes of self-medication, and worsening their own health. Petition under
Art. 32 was filed.
• Raised the question of the Constitutionality of the Drugs and Magic
Remedies (Objectionable Advertisements) Act.
• Advertisements is a vehicle by means of
which freedom of speech guaranteed under
Art. 19(1) (a) is exercised and restrictions
imposed are not covered by Art. 19(2).
• The Act and the rules made thereunder
Validity was impose arbitrary and excessive restrictions
on the petitioners rights under Art. 19(1) (f)
challenged and (g).
• The power of delegated legislation under s. 3
is unguided and uncanalised.
• Power of confiscation under section 8
violates the rights under Art. 21 and 31.
S.3
" Subject to the provisions of this Act, no person shall take any part in the
publication of any advertisement referring to any drug in terms which suggest
or are calculated to lead to the use of that drug for
(d) the diagnosis, cure, mitigation, treatment or prevention of any venereal
disease or any other disease or condition which may be specified in rules
made under this Act.”
Sec. 3 read S. 16
with s. 16.
(1) "The Central Government may by notification in the official gazette make
rules for carrying out the
purposes of this Act.
(2) In particular and without prejudice to the generality of the foregoing
power, such rules may
(a) specify any disease or condition to which the provisions of s. 3 shall apply;
(b) prescribe the manner in which advertisement of articles or things referred
to in cl. (c) of sub-s. (1) of s. 14
may be sent confidentially."
History behind this legislation
• In 1927 a resolution was adopted by then Council of State recommending to the Central and Provincial
Governments to take immediate measures to control the indiscriminate use of medical drugs and for
standardisation of the preparation and for the sale of such drugs.
• Committee made a report pointing out the necessity of exercising control over import, manufacture and
sale of patent and proprietary medicines in the interest of the safety of the public and public health –
Drug Act, 1940
• In 1948 The Pharmacy Act was passed to regulate the provisions of pharmacy. As a result of these two
enactments the State Governments were given the responsibility of controlling the manufacture of
drugs and pharmaceuticals and their sales through qualified personnel and the Central Government was
given the control on quality of drugs and pharmaceuticals imported into the country.
• Evidence was led before the Chopra Committee deprecating the increasing sale of proprietary
medicines particularly those with secret formulae as such drugs were positively harmful and were a
serious and increasing menace.
• DMRA was enacted - against objectionable advertisements.
• Section 3 prohibits advertisement of drugs for treatment of diseases and disorders.
• A part of s. 3 was declared unconstitutional on the ground
of excessive delegation of legislative power.
• 'or any other disease or condition which may be specified in
the rules made under this Act' in cl.(d) of s. 3 of the Act are
delegated legislation and do not lay down any certain criteria
or proper standards and surrender unguided and uncanalised
power to the executive to add to diseases in the schedule.
• The section banned publication of any advertisement calculated
Excessive to the use of drug for diagnosis, cure, etc. of and venereal
disease or ‘any other disease or condition which may be
specified in rules made under this Act.’
Delegation • Conditional vs. Delegated Legislation.
• Conditional Legislation – delegate’s power is that of
determining when a legislation declared rule of conduct shall
become effective.’
• Delegated Legislation – delegation of rule making power
which constitutionally may be exercised by the administrative
agent. The Legislature having laid down the broad principles
of its policy in the legislation can then leave the details to be
supplied by the administrative authority.
• Court characterized s. 3 as vague.
• Parliament had established no criterion,
standard and had not prescribed any
principles on which particular disease or
condition is to be specified nor did it specify
what facts or circumstances are to be taken
Excessive into consideration to include a particular
Delegation condition or disease.
• Goes beyond the permissible boundaries of
valid delegation.
01 02
increasing the accountability empowering the users of
of the social media platforms social media by establishing a
(such as Facebook, Instagram, three-tier redressal mechanism
Twitter etc.) to prevent their for efficient grievance
misuse and abuse; resolution.
The Intermediary Guidelines have been framed
Legislative in exercise of powers under section 87(2) of
Sanction the IT Act - Power of Central Government to
make rules.
Is it ultra vires the IT Act?
• Section 79(1) of the IT Act states that the intermediary will not be held
liable for any third-party information if the intermediary complies with the
conditions laid out in Section 79(2) the 2021 guidelines have imposed
additional requirements and widened the ambit of requirements to be
fulfilled by the intermediary widening the powers under Section 87?
• The IT Act does not prescribe for any classification of intermediaries.
Intermediaries are treated and regarded as a single monolithic entity with
the same responsibilities and obligations 2021 Guidelines have now
established and defined new categories of intermediaries; namely (i)
Social Media Intermediary; and (ii) Significant Social Media Intermediary
additional set of obligations.
Part C States (Laws) Act, 1950.
Narain V.
by a Notification the Bengal Finance (Sales Tax) Act, 1941, to the
then State of Delhi with certain modifications in s. 6.
Court Held • Lieutenant Governor of NCT of Delhi is bound by the aid and
advice of the elected Government of Delhi.
• In a democracy, real power must vest in the elected
representatives and Lt. Governor cannot interfere in every
decision of the Delhi Government.
• There is no need for the Delhi Government to seek the
permission of Lt. Governor in all matters.
• Improper and indirect application of the Henry VIII
Clause can hurt democracy and the separation of powers in
India.
• Delhi (Amendment) Act, 2021 was notified.
• The Act provides a framework for the functioning of the Legislative
Assembly and the government of the National Capital Territory (NCT)
of Delhi.
• Provides that the term “government” referred to in any law made by
the Legislative Assembly will imply Lieutenant Governor (LG).
• The Act specifies that all executive action by the government, whether
taken on the advice of the Ministers or otherwise, must be taken in the
Post the name of the LG.
• Greatly reduce the efficiency and timeliness of the Delhi
Judgment government by making it imperative for it to hold consultations with
the LG even when a situation demands urgent action.
• L-G is not obliged to give his opinion to the State government
within a time frame.
• Federalism in question? – Govt justification - This will increase
administrative efficiency of Delhi and will ensure better
relationship between the executive and the legislator.
Norms of Delegated Legislation
• The power of delegation is a constituent element of legislative power.
• Delegation of some part of legislative powers has become a compulsive necessity due to
the complexity of a modern state.
• Essential legislative functions cannot be delegated by the legislature.
• Essential legislative functions means laying the policy of the Act and enacting that policy
into a binding rule of conduct.
• After the legislature has exercised its essential functions, it can delegate non-essential.
• In order to determine the constitutionality of the delegation of legislative powers, every
case must be decided in its special setting.
• Power to repeal and amend cannot be delegated.