Union Of India & Ors vs M/S. Cipla Ltd. & Anr

The Supreme Court examined the validity of notifications issued under the Drugs (Prices Control) Order, 1995, specifically addressing whether they were issued mechanically without proper application of mind, as per Paragraph 7 of the DPCO 1995. The Court held that the notifications re-notifying norms for conversion costs and retail prices were invalid due to lack of re-determination as required by law, thus invalidating approximately 40 notifications fixing retail prices. The Court emphasized the necessity of adhering to procedural requirements under the Essential Commodities Act, 1955, affirming the need for proper determination of costs before fixing prices.