PROJECT

What are Statutes and particulars of Statutes

A Project File Submitted to

Rayat College of Law
In partial fulfillment of the Requirement of Course
B.A.LL.B Hons. For Semester Sixth
Subject: Interpretation of Statutes

Under the Submitted by:

supervision of: Yashika Kataria
BA. LLB (Hons.)
Ms. Praveen Semester- 6th
Ast. Professor, Roll No.-19268
Rayat College of Law
Railmajra

Rayat college of Law, Railmajra

 Acknowledgement

I would like to express my gratitude to Dr. Sonu Saini as well as our principal Dr. Monik Sharma who
gave me the golden opportunity to do this project on the topic WHAT ARE STATUTES AND
PARTICULARS OF STATUTES, which also helped me in doing a lot of research and I came to know
about so many new things I am really thankful to them.

Secondly I would also like to thank my parents and friends who helped me a lot in finalising this
project within a limited time frame.

Yashika Kataria
19268
Table of Contents

What is a statute? ................................................................................................................................... 3

Statute to Law: ........................................................................................................................................ 3

Classification with reference to duration such a mode classifies a statute as: ...................................... 3

Classification with reference to method such mode classifies a statute as: .......................................... 3

Classification with reference to object: .................................................................................................. 4

Particulars of statutes ............................................................................................................................. 8

General Principles Of Interpretation .................................................................................................... 10

References ............................................................................................................................................ 13
What is a statute?
Statutes are formal, written rules established by legislative bodies based upon consensus among
governmental leaders. The purpose of a statute is to command or prohibit an action and/or declare
a policy.

Statute to Law:
Legal statutes start as a bill introduced in either of the houses of Congress by a senator or
representative who sponsors it. The bill then has to be voted on by both houses of Congress. If the
bill is passed in both houses of Congress, it becomes a law and is sent to the President of The United
States to be signed. At this point, the President may choose not to sign the bill, but if they do, then
the bill becomes a law.

Classification with reference to duration such a mode classifies a

statute as:
1. Temporary statute:
A temporary statute is one which where its period of operation and validity has been fixed
by the statute itself. Such an act continues in force unless repealed earlier, until the time so
fixed. After the expiry of the act if the legislature wishes to continue it, a new enactment is
required. The Finance Act is the temporary act and is required to be passed every year.

2. Permanent statute:
Whereas, a permanent statute is one where no such period has been mentioned but this
does not make the statute unchangeable but such statue may be amended or repealed by
another act.

Classification with reference to method such mode classifies a statute

as:
1. Mandatory, Imperative or Obligatory statute:
 A mandatory statute is one which compels performance of certain things or compels that
certain things must be done in a certain manner or form. A directory statute merely directs
or permits a thing to be done without compelling its performance. In some cases, the
conditions or forms prescribed by statute have been regarded as essential to the act or thing
regulated by it and their omission has been held fatal to its validity.

2. Directory or Permissive statute:

In others such prescriptions have been considered as merely directory, the neglect of them
involving nothing more than liability to a penalty if any were imposed, for breach of
enactment.

Classification with reference to object:

A statute may be classified with reference to its object as-

1. Codifying Statute:

A codifying statute is one which codifies the law, or in other words which purports to state
exhaustively the whole of law upon a specific subject. The code contains the pre- existing
provisions in different statute on the subject as well as the common law on it. For instance,
the Bill of Exchange Act 1882 in England is an act to codify the law relating to Bills of
Exchange, Cheques and Promissory notes.

The Hindu Succession Act, 1956 is a codifying statue with respect to intestate succession
among Hindus. The foremost purpose of the codifying statute is to present an orderly and
authoritative statement of the leading rules of the law on a given subject whether those
rules are to be found in a statute or common law.

2. Consolidating Statute:

A consolidating statute is one which consolidates the law on a particular subject at one
place; it collects all statutory enactments on a specific subject and gives them the shape of
 one statue with minor amendments if necessary. For example in England the Law of
Property act 1925which consolidates the acts of 1922 and 1924 is a consolidating act.

Similarly in Australia the New South Wales Justice act, 1902 is a consolidating act. In India
the Code of Criminal Procedure, 1973 is consolidating statute relating to criminal procedure.
A consolidating statute may not be a mere compilation of earlier statute. The purpose of
consolidating act is to present the whole body of statutory law in a subject in a complete
from repealing the earlier acts.

3. Declaratory statute:

It is a statute which removes doubts either in the common law or statutory law. Passing of a
declaratory statute becomes desirable when certain expressions in common law or statutes
are being misunderstood. This may happen, for instance where the courts have been
interpreting a particular expression as connoting a specific meaning which the legislature
feels is a wrong notion of the expression.

In such cases the legislature may pass a declaratory statute declaring the correct meaning of
that expression. In the case of The Central Bank of Indiav. Their Workman, it was held that a
declaratory statute contains a preamble and also the word declared as well as the word
enacted. Mere use of the expression 'it is hereby declared' does not necessarily make the
statute a declaratory statute. In India, the Income Tax (amendment) Act, 1985 which added
explanation 2 to section 40 of the Income Tax Act, 1961 and the Finance Act, 1987 amending
the definition of "Owner of house property" in section 27 are declaratory acts.

4. Remedial statute:

A remedial is one whereby a new favour or a new remedy is conferred. The main object of
passing such a statute is to make improvements in the enforcement of one's rights or for
redress of wrongs and remove defects or mistakes in the former law. Some illustrations of
remedial statutes are the Maternity Benefits Act, 1961 and the Workmen's compensation
 act 1923. In remedial acts the words "for remedy whereof" have been used immediately
before the language of the enactment.

Blackstone holds the view that remedial statutes could be enlarging as well as restraining.
The acts could be enlarging when narrow common law was widened or restraining when
existing common law right was cut down. In Central Railway Workshop, Jhansi v.
Vishwanath, it was held that all the legislations in a welfare state is enacted with the object
of promoting general welfare, but certain types of enactments are more responsive to some
urgent social demands and also have more immediate and visible impact on social vices by
operating more directly to achieve social reforms.

5. Enabling statute:

According to Craies, "many statutes have been passed to enable something to be done
which was previously forbidden by law, with or without prescribing the way it is to be done".
An enabling statute is one which enlarges the common law where it is narrow. It makes
doing of something lawful which would not be otherwise lawful.

In Bidi, Bidi Leaves and Tobacco Merchants Association v. State of Bombay, it was held that
by an enabling act the legislature enables something to be done. It empowers at the same
time by necessary implications to do the indispensable things for carrying out the object of
the legislature. The conditions which have been put by an enabling act for the public good
must be compiled with as they are indispensable. Section 49-A (1) and 49-A (2) of the
Advocates act 1961 as amended by act 21 of 1964 is an example of enabling act.

6. Disabling statute:

A disabling statute is one which restricts or cuts down a right conferred by the common law.
An act restraining a common law right is a disabling act.

7. Penal Statute:
 A penal statute is one which punishes certain acts or wrong. Such Statute may be in the form
of a comprehensive criminal code or large number of sections providing punishment for
different wrongs for example - Criminal Procedure Code, Indian Penal Code, Prevention of
Food Adulteration act, 9154, Arms act 1959.

The penalty for disobedience may be in the form of fine, forfeiture of property,
imprisonment, death sentence etc. Where the obedience to law is enforced not by an
individual action but by a command of the law in the form of punishment the statute is
penal. A penalty can be imposed only when the letter of the law says so unambiguously and
any doubt has to be resolved in favour of the alleged offender.

8. Taxing Statute:
According to Lord Halsbury and Lord Simonds stated:
"The subject is not to be taxed without clear words for that purpose; and also that every Act
of Parliament must be read according to the natural construction of its words."

A taxing statute is one which imposes taxes on income or certain other kinds of transaction.
It may be in the form of income tax, wealth tax, sales tax, gifts tax etc. It is a source of
revenue generation for the state. The money so collected is utilized for welfare of the
people. Tax can be levied only when a statute unequivocally so provides by using express
language to that effect and any doubts is resolved in favour of the assessee.

9. Explanatory Statute:

An explanatory statute is one which explains a law. In Keshavlal v. Mohanlal, it was held that
an explanatory statute is enacted with the view to supply an apparent omission or to clarify
ambiguity as to the meaning of an expression used in the previous statute. An act enacted
for the express purpose of explaining or clearing the doubts as to the meaning of a previous
Act is an act of explanation or an explanatory statute. For instance the Royal Mines Act, 1688
in Britain was passed to encourage mining certain base metals with Royal Mines act 1963
was enacted for better explanation of the earlier act. The latter is an example of explanatory
statute.
 10. Amending Statute:
An amending statute is one which makes an addition to or operates to change the original
law so as to effect an improvement therein or to more effectively carry out the purpose for
which the original law was passed.9 An amending statute cannot be called a repealing
statute. It is a part of law it amends. Direct Taxes Amendments act 1974; Direct Taxes
Amendments acts 1986, Land Acquisition (amendments) 1984 are examples of amending
statute.

11. Repealing Statute:

A repealing statute is one which repeals an earlier statute. This revocation or termination
may be express or explicit language of the statute or it may be necessary implications also.
For example The Hyderabad District Municipalities Act, 1956 was a repealing act which
repealed the Hyderabad Municipal and Town Committees Act 1951.

12. Curative or validating Statute:

A curative or validating statute is one which is passed to cure defects in prior law, or to
validate legal proceedings, instruments or acts of public and private administrative
authorities which in the absence of such an act would be void for want of conformity with
existing legal requirements but which would have been valid if the statute had so provided
at the time of enacting. A validating legislation normally contains the expression
notwithstanding any judgment, decree or order of any court. The purpose is just to validate
some actions which would be otherwise be unlawful or which may have been declared
invalid by a court.

Particulars of statutes
The primary function of the court to find out the intention of the legislature in the language used in
the statute. In order to interpret the statute, the court has to follow certain rules. And these
principles are called rules of interpretation. Interpretation of statutes is the correct understanding of
the law which is used to determine the exact intention of the legislature.

The word Interpretation and Construction are synonymously same but jurisprudentially they are
different. Interpretation means the art of explaining something or giving its natural or ordinary
meaning whereas construction means drawing conclusions even though the same does not appear if
words used in the statute are given their natural meaning.

A statute has the following particulars:

1. SHORT TITLE- It is the byname of the statute for the identification only such as the Indian
Evidence Act, 1872, Indian Contract Act, 1872, code of criminal procedure, 1973, etc

2. LONG TITLE- It is mentioned at the head of the statute and explains the brief introduction
about the statute. For example in crpc : An act to consolidate and amend the law relating to
criminal procedure, etc.

3. MARGINAL NOTE- marginal notes are those notes which are stated before the section. For
example; section 94 of the Indian penal code states; act to which a person is compelled by
threats, etc.

4. HEADINGS- It represents the group of sections. It is generally heading of the group of

sections. In another word we can say the chapter name or sub-chapter name.

5. DEFINITION OF INTERPRETATION CLAUSE- These exist generally at the starting of the statute
for example; section 2 of the Indian Contract Act, 1872, which states certain definitions such
as proposal, promise, promisee and promisor, consideration, agreement, reciprocal
promises, void agreement, contract, voidable contract and void contract.

6. PROVISOS- it means where a general law has been stated in the statute or natural
presumption had the proviso. It do not inserted in the enacting part of the statute but at the
end of the general rule or law.
 7. ILLUSTRATIONS- they are present at the end of the section. We may say that they are the
examples or illustrating the provision of law described therein.

8. EXPLANATIONS- They are inserted by the legislature itself to remove the doubts which can
be arise while reading the provision of the law. For example; under section 108 of the IPC
the word abettor has been defined as an explanation just to remove the doubt that who can
be the abettor.

General Principles Of Interpretation

There are certain principles of interpretation which are used by the court while interpreting the
statute from time to time.

1. The Literal Or Grammatical Interpretation:

The first rule of interpretation is the literal or general rule of interpretation. The words of
the statute are first understood in their natural and ordinary meaning. According to Lord
Brougham is to take the exact meaning of the words which the legislature have given them,
and to take the meaning which the words given naturally imply, unless where the
construction of those words is either by the preamble or by the context of the words in
question, controlled or altered.
If the meaning of such statute is clear and unambigious then the effect should be given to
the provision whatever may be the consequences. It is the duty of the court to find out the
intension of the legislature while interpreting the law. The words of the statutes are plain
and unambigious then the effect should be given to the provision unless there arise any
ambiguity. The objective of the rules used by the court is to interpret the law while keeping
in mind the intension of the legislature.
In the case Saraswati Sugar Mills v/s Haryana State Board [i], the supreme court held that
the word vegetable in entry 15 of schedule I of Water (Prevention and control of pollution)
cess Act, 1977 is to be understood as in common parlance. Botanical meaning cannot be
given to the word. Therefore, sugarcane is not a vegetable. As such industries manufacturing
sugar from sugarcane do not fall within the abovementioned entry and are, therefore, not
liable to pay cess. The industry manufacturing alcohol from molasses could not be
considered an induatry within the above entry.

2. The Mischief rule:

The Mischief rule of interpretation has originated in the Heydon's case. This rule is also
known as purposive construction or mischief rule. The word mischief means the playful
misbehaviour or harm caused by someone or something. This rule enables four matters of
consideration in construing a statute such as:
What was the law before making of the act
 What was the reason behind making of the law or what was the mischief or defect which the
law did not provide
What is the remedy which the act has provided
What is the reason of the remedy.
The rule then detects the defects and enhance the law for providing the remedy. If there is
any defect in any statute then the court must adopt the purposive construction which shall
supress the mischief or defect and advance the remedy.
In the case Carew and Company v. Union of India [ii], the appellant, a public limited
company, sought to float a new company. It was proposed that the new company will take
over the sugar unit of the appellant company which will work as an undertaking of the new
company. The application of the appellant was, however, rejected under section 23(4) of the
Monopolies and Restrictive Trade Practices Act, 1969.The supreme court allowed the appeal
and while interpreting the word undertaking observed that when more than more than one
construction are possible, that which supresses the mischief and advances he remedy has to
be preferred. If the language used in a statute can be construed widely so as to salvage the
remedial intendment, the court must adopt it. The word 'undertaking', therefore has to be
liberally interpreted.

3. The Golden Rule:

It is the modification of the literal or grammatical rule of interpretation. Ordinarily the court
must follow the true meaning of the word or law given in the statute but when such words
used in a statute by their natural or ordinarily meaning leads to injustice or evasion, etc then
the court must modify the meaning of that word to that extent that it must not cause
injustice to anybody. When there is a possibility that the court has faced with more than one
interpretation then the court has to take that meaning into consideration which arrive more
closely to the true intension of the legislature.
In the case lee v. knapp[iii], interpretation of the word 'stop' was involved. Under section 77
(1) of the Road Traffic Act, 1960 a driver causing accident shall stop after the accident. In this
case the driver stopped for a moment after causing an accident and then moved away.
Applying the golden rule the court held that requirement of the section had not been
followed by the driver as he had not stopped for a reasonable period requiring interested
persons to make necessary inquiries from him about the accident.

4. Harmonious construction:
The basis of the harmonious construction is that the legislature must have not intended to
contradict itself. Where there are two provisions of the same statute which are conflicting in
nature or in other words which are overlapping to each other then the court will try to
construe the provisions in such a manner that if possible it would give effect to both the
provision by harmonising them with each other.
Moreover one provision is the exception to the general provision of the law. One provision
of the act cannot make the other provision of the same act repugnant. It can be said when
the legislature gives something by one hand then it cannot be take away by the other
 hand.In the case Ishwari khetan Sugar Mills v. State of Uttar Pradesh[iv], the state
government proposed to acquire sugar industries in the state under the Uttar Pradesh Sugar
Undertakings (Acquisitions) Act, 1971. This was challenged on the ground that sugar industry
had been declared a controlled industry by the union under the Industries (Development
and legislation) Act, 1951 and consequently the state did not have the power of acquisition
or requisition of property with respect to declared and controlled industries.
The Supreme Court, by majority, held that the field of acquisition is not accepted by the
Industries (Development and Regulation) Act, 1951 and the state's power to acquire
declared industries was an independent power under entry 42 of list III.In the case Jagdish
Singh v. Lt. Governor, Delhi[v], it was held by the Supreme Court that in case of conflict
between various provisions of the rule, harmonious construction should be made and
statute or rule made thereunder should be read as a whole. One provision should be
construed with reference to another so as to make the rule consistent. One rule cannot be
used to defeat another rule in the same rules.

5. The Statute should be read as whole:

It is one of the most important rule of interpretation. The statute must be read as whole
means a provision cannot be read or understood partially. We cannot understand the
intension of the legislature behind making of that law if we do not read the statute as whole.
A provision cannot be interpreted in isolation. Sometimes the meaning of the words used in
the section may be understood with the help of the other words used in the same section.
Sometimes a single word can be used many times in the same statute but it does not mean
that they have the different meaning unless the contrary intension appears from the
context. The whole context should be determine. There are some words which are the
indications of application of this principle such as; if not inconsistent with the context or
subject-matter, 'unless the context otherwise requires' and unless a contrary intension
appears.
In the case Bhavnagar University v. Palitana Sugar Mill Private Limited[vi], the Supreme court
observed that it is the basic principle of the construction of statute that the same should be
read as whole, then chapter by chapter, section by section and word by word. Recourse to
construction or interpretation of statute is necessary when there is ambiguity, obscurity or
inconsistency therein and not otherwise. An effort must be made to give effect to all parts of
the statute and unless absolute necessary no par thereof shall be rendered surplus or
redundant.
References

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 https://www.legalserviceindia.com/legal/article-8699-classification-of-statutes.html