K.J. Somaiya Medical College and Research Centre & Anr. vs Maharashtra University of Health Sciences & Ors. (Civil Appeal Nos. 3180-82 of 2016, with Civil Appeal Nos. 3183-85 of 2016)

Civil Appeal · 2023 INSC 563Decided 19 May 2023
Civil Appeal Nos. 3180-3182 of 2016
Abhay S. Oka · Rajesh Bindal

Background

Three lecturers at a Mumbai medical college, appointed between 1991 and 1993 when they met the qualification norms then in force, had their jobs terminated in 2004 after new 1998 Medical Council regulations came into effect, on the ground that they were no longer qualified. A university grievance committee recommended their reinstatement with retrospective approval, and the Bombay High Court upheld this in 2007, but the college did not comply and instead kept appealing, including all the way to the Supreme Court, where the case lingered for about 16 years without any interim stay of the High Court's order.

Decision Breakdown

The Supreme Court agreed with the High Court that the college itself had conceded the lecturers were qualified under the rules in force at the time of their appointment, so their termination as "void ab initio" could not be justified retrospectively by later regulations. However, since nearly two decades had passed, the lecturers had aged out of or moved on from teaching careers, and the Medical Council maintained they were unqualified for recognition purposes, the Court held that actual reinstatement was no longer practical. Instead, using its special constitutional power under Article 142, the Court "moulded" the relief by directing the college to pay each lecturer a lump-sum monetary compensation (ranging from about Rs. 7 lakh to Rs. 11 lakh, calculated based on lost salary) in lieu of reinstatement, plus costs, with interest if not paid within two months.

Lesson Learnt

Even when a worker is legally entitled to reinstatement, if an employer delays and appeals for so long that reinstatement becomes impractical years later, courts can step in and award fair monetary compensation instead: delay by a wrongdoer does not let it escape a remedy altogether.

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The Supreme Court agreed with the High Court that Direct recruits, having come through the regular competitive process, rank above Special appointees, who entered through temporary appointments later regularised. However, it held the High Court was wrong to rank Compassionate appointees above Direct recruits merely because of an executive Government Order fixing their seniority by appointment date: such an executive order cannot override the basic service-law principle that employees selected through a regular process must rank senior to those who entered through exceptions like compassionate appointment. The Court further held that, as between Special appointees and Compassionate appointees, seniority should be fixed by date of regularisation rather than any other formula. The Transferred Cases were dismissed, and the Civil Appeals were disposed of/allowed to the extent needed to reflect this ranking (Direct recruits > Compassionate appointees > Special appointees, broadly, subject to date-of-regularisation for the latter two inter se).

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Decided 6 Oct 2026Read case