M/S. SWADESHI COTTON MILLS CO.,LTD., KANPUR vs RAJESHWAR PRASHAD AND ORS.

The Supreme Court held that a compromise agreement to settle an industrial dispute pending in court does not violate Section 23 of the Payment of Wages Act, 1936, which protects rights not likely to be altered in judicial proceedings. The Court clarified that the procedure under Section 6-C of the U.P. Industrial Disputes Act, 1947, does not limit the parties' ability to amicably resolve disputes before the Court. The Court upheld the validity of the compromise reached between the parties, allowing the appeal in terms of the compromise agreement.