R.M. Dhariwal 100% EOU v. Union of India & Ors.
Background
R.M. Dhariwal, a 100% export-oriented unit exporting pan masala, gutkha and tobacco packed in multilayered plastic sachets, filed a writ petition seeking exemption from Rules 5(d) and 5(g) of the Plastic Wastes (Management & Handling) Rules, 2011, arguing these provisions were arbitrary and violated its constitutional rights to trade. It relied on an earlier, materially identical case (Baba Global Ltd. vs Union of India) where a similarly situated export unit had been granted exemption from the 2011 Rules on furnishing an undertaking that none of its production would be sold domestically in India. The Union of India resisted, contending the earlier exemption statement by the Additional Solicitor General in Baba Global Ltd. was unauthorized and that a review of that order had been filed.
Decision Breakdown
The Supreme Court had earlier (13.10.2015) granted the petitioner interim exemption from the 2011 Rules pending final disposal, on the same terms as a comparable case (Harsh International), subject to the petitioner strictly abiding by its undertaking not to sell product domestically. The Union's review petition against the Baba Global Ltd. order was subsequently dismissed on 14.01.2016, removing the Union's principal objection. With pleadings complete and no fresh ground shown to depart from the parity already extended, the Court confirmed its earlier interim order and finally allowed the writ petition in terms of the relief granted in Baba Global Ltd., i.e., permanent exemption from the 2011 Rules conditional on the petitioner honoring its undertaking.
Lesson Learnt
Courts apply the principle of parity of treatment among similarly situated litigants, once a precedent case grants relief on specific undertakings, materially identical petitioners can expect the same relief, and a government's unsuccessful review of the precedent order removes any basis to deny parity.