CHAPTER - 14 INTERPRETATION OF STATUE

1. MEANING OF STATUTE: Construction: Drawing conclusion.

 Laws & Regulation.
 Written will of legislature. When
When rules of When the
 An act denoted enacted by legislative authority. interpretation
When it court
court
 The constitution does not use term ‘statute’ comes applies
are taken goes
though one finds the term ‘Law’ used in many from some only the
from beyond
places. other ordinary
legislator the
2. DOCUMENT: [SECTION 3 INDIAN EVIDENCE sources rules of
himself words
ACT] speech
 Any matter expressed /describe upon any
substance by means of: letter, figures, marks, 5. PRIMARY RULE:
or by more than one of those means. 1) Rule of Harmonious Construction:
 For the purpose of recording that matter.  If there are two or more provisional in the same
 Element: Matter/substance/Record/Mean to level which cannot be reconciled with each other,
communicate. they should be interpreted, wherever possible, to
 Section2(14) Indian Stamp Act: Instruments give effect to all of them.
include, every document/by which/any right or  When there is doubt about meaning of the words
liability is or purports to be: of statute, they should be understood in such
Created/Transferred/Extended/Extinguished sense that they harmonize with the subject of
or recorded.
enactment and purpose of the law.
3. INSTRUMENT:
 Object/Purpose of the enactment should always
 Formal legal document.
be upheld must be noted in mind that the act pass
as a whole nit in section, therefore interpretation
Formal should be such which upholds the purpose of the
Confirms a
Record a fact writting in
rights law.
Technical form
 It is meant to guide court in addition to the
4. INTERPRETATION: purpose of law, not to override it.
 To ascertain true meaning.  However, if it is impossible to avoid inconsistency
 Where more than one meaning derived. the provision which was enacted at the point of
 Real meaning of Act & Intent of legislature is time must prevail.
enacting it is ascertained.  If one section is made subject to the other, then
 Process by which court seeks to ascertain the there is no conflict.
meaning of legislature in which it is expressed.  “Generalia Specialibus non derogant”- specific
rule will override a general rule.
 In the following cases statute may give clear
indication as to which provision is
General
Classification of subservient:
Interpretation 1. Subject to
When is the subject matter is covered by that
provision and by another provision or enactment
Legal Doctrinal subject to which it operates and there is a conflict
between them then the later will prevail over the
former.
2. Notwithstanding
Authentic Usual Grammatical Logical Notwithstanding anything contained - Non
obstante clause It is the effect of making the
provisions prevail over others When this term is

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 used, then the clause will prevail over the other  When the words of a statute are ambiguous, they
provisions mentioned therein. shall be constructed to lead to a sensible
 Notwithstanding clause can operate at 4 meaning.
levels:  This rule is applicable when language of the
1. Notwithstanding anything contained in statute is unclear and literal construction leads to
another section or sub section of that statute: absurd meaning.
This clause will override such other sections/  If the courts find that giving a plain meaning to
sub sections the words shall not be fair, it’s the duty of the
2. Notwithstanding anything contained in a court to depart from the dictionary meaning and
statute: This clause will override the entire adopt a construction which leads to meaningful
enactment construction, advances the remedy and suppress
3. Notwithstanding anything contained in a the mischief.
specific sections and subsections or all the  Reasonable Construction will be adopted in
provisions contained in another statute: This accordance with intent of law.
clause will prevail over the other enactments 4) Rule of beneficial owner:
4. Notwithstanding anything contained in any  Heydon's case {lord Simon 1584}
other law for the time being in force: This clause  Mischief Rule
will override all other laws  Purposive construction.
3. Without prejudice: When certain particular
provisions follow general provisions and when it
Law before Mischief / Loop
is stated that the particular provisions are making this act hole
without prejudice to those general provisions the
particular provisions would not restrict or
circumscribe the operation and generality of the
proceeding general provisions. Remedy Reason for
provided Remedy
2) Literal Construction:
 Cardinal rule, Dictionary, Technical
manner/Grammatical construction.  When the language is unclear, court should follow
the construction which advances the remedy and
 Language is plain& intent is clear.
suppress the mischief.
 Absoluta sententia expositor non-indiget
 Lord Simon explains this aspect that Heydon’s
{a simple preposition needs no expositor.}
case is available at two stages:
 4 Heading:
 Natural & Grammatical meaning used. Before Secondly at a stage where
 Exact meaning prefers over loose meaning. Ascertaining the court reaches the
 Explanation should be done in popular plain meaning of conclusion that there can
meaning. statute be no plain meaning
 Technical words should be used in Technical
Terms. 5) Rule of Exceptional Construction:
 Grammatical construction Statutes are to be  Common Sense Rule
first understood in their natural, ordinary, or  Generally plain meaning should be followed,
popular sense and must be construed but if no sensible meaning can arrive, plain
according to their plain, literal and meaning lead to defeat the objective of the
grammatical meaning. Ex: Mohori bibbee v/s enactment, Common sense rule apply.
Dharmodas Ghose. e.g.: Conjunction & Disjunction
3) Rule of Reasonable Construction: ↓ ↓
 When words are ambiguous, so construct as And or
to a sensible meaning.  However, read vice-versa, to give intend of
 Utres Magis Valet Quan Pareat law.

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  The word must & shall denote a mandatory
provision. However, if literal construction
does not promote the intention of Law the
court should look into Substance rather than
form.
 GENERAL CLASSIFICATION OF
INTERPRETATION:
 Legal:
 Authentic: When rule of interpretation
is derived from the legislator himself.
 Usual: When rule of interpretation is
derived from some other sources such
as custom or case law.
 Doctrinal:
 Grammatical: When court applies only
the ordinary rules of speech.
 Logical: When the courts goes beyond
the words and tries to discover the
intention of the statute in some other
way.
6) Ejusdem Generis:
 Tenterden's Rule
 When specific word used in statute and after
those specific word some general words are
used, the general word would take their color
from specific word used earlier.
 Eg: Pet animals may be dog, cat, etc.
 This rule is applied only when all words are of
same category.
 Extra points:
6. SECONDARY RULE:
1. Noscitur a Sociis:
 Means two or more associate word can be in
their common sense.
 When two or more words that are susceptible
of analogous meaning they are coupled
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together they are to be used in their cognate
sense.
2. Contemporanea Expositio:
 Statue or document interpreted by referring to
the description received from contemporary
authority.
 Law Making Process:
7. INTERNAL AIDS TO INTERPRETATION:
1) TITLE:
 Short title: Identifies the enactment. eg:
Companies Act 2013
 Long title: Describes the enactment.
The companies Act 2013 act of parliament of
India, Indian company law which regulates
incorporation of company, responsibilities
of company, director, dissolution of
company.
 Title cannot override the clear meaning of
the enactment.
2) PREAMBLE:
 Express scope, purpose of Act.
 Reason for assertions
 Evils; law want to suppress
 Helps to remove ambiguity
 Not ≠ law
 Cannot override law
3) HEADING & TITLE:
 Can be treated as preamble to the following.
 The key to the interpretation of clause ranged
under it.
 Heading can only be taken when the enacting
words are ambiguous.
  Heading/Titles prefixed to sections/groups of
section.
4) MARGINAL NOTES:
 Marginal notes are Summaries & side notes
Found at the side of a section or group of
sections in an Act Purporting to sum up the
effect of that section or sections
 Marginal notes appended to section cannot be
used for constructing the section.
 Appended to articles of Association.
 Have been held to be a part of constitution.
5) DEFINITION CLAUSE:
A. Restriction & Extensive:
 "Means" is restrictive and exhaustive we
must try to restrict the meaning of word.
 "Include" is extension, here the word define
is not restrictive to meaning.
 Means and includes, definition would be
exhaustive.
B. Ambiguous:
 The definition section may itself be
ambiguous, so it interpreted in the light of
other provisional of Act. Such type of
definition is not to be read in isolation.
 Eg: In GST vehicle definition used as
provided in Indian Vehicle Act
C. Definition subject to contrary context:
 When a word is supposed to have number of
inclusive meanings ascertain the meaning to
be used in particular provision.
6) ILLUSTRATION:
 Illustration are example appended to section.
 Illustration is insert to clarity scope and
objective of section.
 If there are conflict between
section/illustration, section will prevail.
7) PROVISO:
 To exclude or to qualify.
 Proviso to particular provision only embraces
the field in that main provision and no other.
8) EXPLAINATION:
 Explain the meaning and intendment of law.
 May include/ exclude something
 Cannot be widen the ambit of section.
 Cannot take away a statutory right.
 Clarifies any ambiguity, vagueness if present
in enactment.
9) SCHEDULES:
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 Form part of an Act.
 Read together with Act for all purpose.
 Cannot control/ prevail over the expression
of the act.
 If they appear to be any inconsistency
between schedule & enactments shall always
prevail.
10) READ THE STATUE AS WHOLE:
 Construction of statue is too made of all its
part taken together and not of one part.
 Act must be read as a whole to ascertain true
meaning of several clause.
 Words of each clause, must be read in way that
they are in harmony with other.
8. EXTERNAL AIDS TO INTERPRETATION:
1) Historical Setting:
 History of external circumstances which led to
the enactment in question
 Significant in Constructing any enactments.
 For this purpose, Take help from all those
external and historical Facts.
 Necessary in understanding the Subject
matter scope object of enactment.
 Consider Whether statute in question, was to
alter the Law or amend it.
2) Consolidating Statues & Previous Lam:
 An act to consolidate the previous Law, in such
a case the court may stick to the presumption
that is not intended to alter the law.
3) Usage:
 Act done under a statue, quite often, provided
the key to statute itself.
 Usage how the language has been interpreted
& acted upon over a long period, may
determine true meaning.
4) Earlier & Later Act & Analogous Act:
 Interpretation of old act shall continue to
apply to new act.
 If two acts to be read together act to be
construed, as if contained in one composite
act.
 If discrepancy later would modify the earlier.
 Reference to Repealed Act a part of history of
the new Act
5. Dictionary Definition:
  Meanings of words must take their colour
from context in which they appear.
 Technical terms from technical dictionaries.
 Judicial decisions laying down the meanings
of words in construing statutes in “PARI
MATERIA” Shall have greater weight than
dictionary definitions.
 Others general dictionary if not defined in
Act.

6. Use of Foreign Decision:

 If foreign countries using same system of

Juriss prudence as ours, then it can be used.
 Prime importance to be given to language of
Indian Statute

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