SCINDIA STEAM NAVIGATION CO. LTD. vs UNION OF INDIA

The Supreme Court held that the contract for transporting logs of teak-wood fell within Article 8(1)(a) of the Indian Independence (Rights, Property and Liabilities) Order, 1947, as it was exclusively for the purposes of Pakistan. The Court affirmed the lower court's ruling that the claim against the Union of India was not valid under the Press Communique issued on May 22, 1948. The decision was based on the tests established in Union of India v. Chaman Lal Loona regarding the nature of the contract at the time of partition, confirming that ownership considerations under Article 6 are relevant in this context.