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february 1996

Supreme Court of India · 1996-02-23

KRISHI UTPADAN MANDI SAMITI,HALDWANI vs M/S INDIAN WOOD PRODUCTS LTD

Citation / case number
SC 1994/13131
Court
Supreme Court of India
Petitioner
KRISHI UTPADAN MANDI SAMITI,HALDWANI
Respondent
M/S INDIAN WOOD PRODUCTS LTD
Author
B.P. JEEVAN REDDY
Bench
B.P. JEEVAN REDDY

Judgment text excerpt

The Supreme Court interpreted Section 17(iii)(b) of the relevant agricultural produce legislation, clarifying that the liability to pay the market fee primarily rests with the purchaser, even in transactions between traders. The Court held that while a selling trader may collect the fee from the purchaser, the ultimate responsibility for payment lies with the purchaser, thus rejecting the argument that the selling trader is liable regardless of collection. The judgment reinforces the legislative intent that the producer should not bear the fee burden.

KRISHI UTPADAN MANDI SAMITI,HALDWANI vs M/S INDIAN WOOD PRODUCTS LTD · Niyam