News
NCLAT has no power to review its own judgment, but it can recall a judgment in exercise of its inherent jurisdiction
26 June 2023
A five-Member Bench of the National Company Law Appellate Tribunal (‘NCLAT’) has held that NCLAT is not vested with any power to review its own judgment, however, in exercise of its inherent jurisdiction it can entertain an application for recall of judgment on certain grounds. The Tribunal was of the view that it has an inherent jurisdiction to recall a judgement which was made with procedural lapses...
Competition law – CCI is not a grievance redressal forum against regulatory decisions of regulators
19 June 2023
The Delhi High Court has held that the Competition Act, 2002 does not contemplate the Competition Commission of India (CCI) to act as an appellate court or a grievance redressal forum against decisions taken by other regulators, in exercise of their statutory powers and which are not interfaced with trade or commerce.
Earth-moving equipment not covered as ‘automobiles’ – Repacking of parts of earth-moving equipment was not ‘deemed manufacture’ prior to 29 April 2010
12 June 2023
The 3-Member Bench of the Tribunal has held that packing or repacking of parts, component and assemblies of earth moving equipment would not amount to deemed manufacture under Section 2(f)(iii) of the Central Excise Act, 1944 read with the Third Schedule thereof, for the period prior to 29 April 2010.
Computer program resulting in technical effect/contribution eligible for patent protection
05 June 2023
The Delhi High Court has held that an invention should not be deemed a computer program per se merely because it involves algorithms and computer-executable instructions. According to the Court, rather, it should be assessed based on the technical advancements it offers and its practical application in solving real-world problems.
Angel Tax: A proposal for reforming valuation rules
26 May 2023
To deter generation and use of unaccounted money through subscription of shares of a closely held company, Finance Act, 2012 introduced Section 56(2)(viib) in the Income Tax Act, 1961. The Finance Act 2023 extended the ambit of Angel Tax to even non-resident investors. Considering the challenges posed by the aforesaid amendment, the CBDT has issued a press release on 19 May 2023 proposing certain legislative changes.
Credit note issued to dealer in consideration of replacement of defective part under warranty is exigible to sales tax
24 May 2023
A Larger Bench (3-Judge Bench) of the Supreme Court has held that a credit note issued by a manufacturer to a dealer of automobiles in consideration of the replacement of a defective part in the automobile sold pursuant to a warranty agreement, being collateral to the sale of the automobile, is exigible to sales tax.
Copyrights – Original drawings used to industrially produce an article will fall under ‘artistic work’ and be entitled to copyright protection
19 May 2023
In a dispute involving copyright in respect of the original drawings, the Delhi High Court has reiterated that even if the original drawings are used to industrially produce an article, they would continue to fall within the meaning of the artistic work defined under Section 2(c) of the Copyright Act, 1957 and would be entitled to the full period of copyright protection.
An online game of skill like ‘Rummy’ is not gambling or betting, even if played with stakes
15 May 2023
The Karnataka High Court in its recent decision has held that offline/online games such as Rummy which are mainly/preponderantly/substantially based on skill and not on chance, whether played with/without stakes, do not tantamount to ‘gambling or betting’ as contemplated in Entry 6 of Schedule III of the Goods and Services Act, 2017. According to the Court, the terms ‘betting’ and ‘gambling’ appearing in Entry 6 of Schedule III of the CGST Act do not and cannot include games of skill.
Arbitration – 2015 amendments not applicable where notice invoking arbitration is issued prior to amendment
12 May 2023
The Supreme Court has held that in a case where the notice invoking arbitration is issued prior to the Arbitration and Conciliation (Amendment) Act, 2015 and the application under Section 11 for appointment of an arbitrator is made post Amendment Act, 2015, the provisions of pre-Amendment Act, 2015 shall be applicable and not the Amendment Act, 2015.
Use of celebrity names, images for satire, parodies, news, etc. not falls foul to tort of infringement of right of publicity
10 May 2023
In an interesting case involving infringement of right of publicity, the Delhi High Court, after relying on number of foreign judgements, has held that use of celebrity names, images for the purposes of lampooning, satire, parodies, art, scholarship, music, academics, news and other similar uses would be permissible as facets of the right of freedom of speech and expression under Article 19(1)(a) of the Constitution of India, and would not fall foul to the tort of infringement of the right of publicity.