Shubham Bahuuddeshiya Sanstha, Waddhamana & Anr. v. Dnyaneshwar Govindrao Daigavhane & Ors.
Background
A school's Managing Committee held a disciplinary inquiry against an Assistant Teacher on 17 charges and terminated him; the School Tribunal upheld the termination. While the teacher's writ petition against that Tribunal order was pending in the Bombay High Court, the school's Management Committee itself split into two rival factions: one supporting the termination (the appellant here) and the other wanting to settle and reinstate the teacher. The High Court accepted the reinstating faction's statement, quashed the Tribunal's order, and let the teacher withdraw his own writ petition, without ever deciding the actual legal question of whether the termination was valid.
Decision Breakdown
The Supreme Court held that the High Court was wrong to let an internal management dispute between two factions substitute for a decision on the merits of whether the Tribunal's order upholding the termination was legally correct. It set aside the High Court's order and restored/revived the writ petition for the High Court to decide strictly on merits, uninfluenced by the internal factional dispute, while directing that the teacher remain out of service in the meantime unless the termination is actually set aside by a competent court.
Lesson Learnt
A court must decide a dispute on its actual legal merits; it cannot let one faction's private compromise with the opposite side dictate the outcome when there is a genuine, unresolved internal disagreement among the decision-makers on that side.