THE SECY.TO THE GOVT. OF INDIA vs P.R. SRIRAMULU

The Supreme Court examined the validity of the ad-valorem court fee provisions under Article 1 of Schedule 1 of the Tamil Nadu Court Fees and Suits Valuation Act, 1955, and Sub-rule (1) of Rule (1) of the High Court Fees Rules, 1956. The Court held that the levy of court fees at a flat rate of 7.5% without an upper limit is arbitrary and unreasonable, constituting a tax rather than a fee, thus violating the principles of justice administration. Consequently, the Court upheld the High Court's decision to declare these provisions invalid.