Doctrine Of Ultra Vires In Administrative Law In India

If the administrative authority fails to follow required procedure prescribed by parent act or by the general rule it is known as procedural ultra vires. Thereafter factors which make delegated legislation subject to judicial review would be. The doctrine envisages that an authority can exercise only so much power as is conferred on it by law.

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Doctrine Of Ultravires

Doctrine Of Ultra Vires Company Law Youtube

Doctrine Of Ultravires

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State laws in almost every jurisdiction have also sharply reduced the importance of the ultra vires doctrine.

Doctrine of ultra vires in administrative law in india. Section 20 1 provides no action prosecuted as an act of shall be invalid by reason only the fact that the company does not have the ability or authority to act. The doctrine of ultra vires is a fundamental rule of company law. Ultra vires doctrine in the companies act 1965. To apply the doctrine of ultra vires the first question for the courts to decide is whether the provision in the act prescribing the procedure is mandatory or directory.

Section associated with the doctrine of ultra vires of the companies act is section 20 1 20 2 a b c and 20 3. The doctrine is still applicable in india and by virtue of section 10 of the companies act 2013 a company or its controllers cannot go beyond the capacity of the company as enumerated in the objects clause of the moa. On the other hand in india the doctrine of ultra vires is codified in the companies act 2013 under section 245 1 a b. The doctrine of ultra vires is produced by the constitutional principles of the rule of law the sovereignty of parliament and the independence of the judiciary.

Its opposite an act done under proper authority is intra vires within the powers. The doctrine of ultra vires is the basic doctrine in administrative law. The project would firstly elaborate upon the need for judicial control over delegated legislation after which it would discuss the doctrine of ultra vires. This doctrine can be considered as the central principle in the whole of administrative law.

For example section 3 04 a of the revised model business corporation act drafted in 1984 states that the validity of corporate action may not be challenged on the ground that the corporation lacks or lacked power to act. The effect of the section was to abolish the doctrine of ultra vires completely and leave the legal consequence of violation of objects clause in the hands of common law. Beyond the powers is a latin phrase used in law to describe an act which requires legal authority but is done without it. An action of the authority is intra vires when it falls within the limits of the power conferred on it but ultra vires if it goes outside this limit.

It states that the objects of a company as specified in its memorandum of association can be departed from only to the extent permitted by the act. The doctrine in india puts emphasizes on its need to control and prevent malpractices of business in the companies undertaken by the directors or other members of the company. Acts that are intra vires may equivalently be termed valid and those that are ultra vires termed invalid.