Union Minister of State for Law and Justice, Arjun Ram Meghwal, has approved the long-pending National Litigation Policy, aiming to significantly reduce the volume of pending litigation involving the government. This was the Minister’s first major move after taking charge and aligns with the BJP’s 2024 Lok Sabha election manifesto.
Key Highlights
- The National Litigation Policy will now be sent to the Cabinet for final approval.
- Originally launched in 2010, the policy had stalled in implementation.
- The NDA government revived discussions on the policy in 2015.
- In 2021, the Law Ministry confirmed the policy was under active consideration.
Understanding Government Litigation
- Litigation refers to the process of taking legal action. A litigant is any individual or entity involved in a lawsuit.
- Government litigation constitutes nearly 50% of all court cases in India.
- A large proportion of these cases involve inter-departmental disputes or unnecessary appeals that fail to stand up in court.
Litigation Burden: A Systemic Challenge
- In 2022, then-CJI N.V. Ramana called state and central governments the biggest litigants, contributing to nearly half of all pending litigation.
- In 2023, a report submitted to the Parliamentary Standing Committee revealed that Union ministries had over 2.85 lakh pending cases, with the Ministry of Finance leading.
- India currently has around 4.5 crore pending cases, many of which stem from avoidable government litigation.
National Litigation Policy: Objectives and Features
- Recognizes that the government is the largest litigant in India.
- Proposes regular review of pending cases with the government as a party.
- Aims to implement a monitoring mechanism to avoid delays and neglected litigation.
- Establishes clear conditions for filing litigation by government departments.
Examples of Litigation Control Measures
- The Finance Ministry already restricts appeals in tax cases below ₹2 crore to the Supreme Court.
- The policy will encourage other ministries to follow cost-efficient and justified litigation practices.
Goals of the National Litigation Policy
- Reduce average pendency from 15 years to 3 years under the National Legal Mission.
- Minimize legal costs and maximize judicial efficiency.
- Ensure the government acts as an efficient and responsible litigant.
Efficient Litigant Principles
- Focus on the core legal issues.
- Avoid prolonging weak cases.
- Deploy qualified legal personnel who understand that the government must litigate responsibly.
Responsible Litigant Principles
- Litigation should be a last resort, not a routine response.
- Avoid false claims, technicalities, or misleading the court.
- Ensure transparency and full disclosure of facts and documents.
Successful Departmental Strategies to Reduce Litigation
CBDT (Central Board of Direct Taxes) Initiatives
- Issued circulars to withdraw tax appeals below a monetary threshold.
- Appeals are now evaluated on merit, not just the amount in dispute.
CBIC (Central Board of Indirect Taxes and Customs) Measures
- Directed withdrawal of appeals in cases already settled by the Supreme Court.
- Appeals discouraged if lost in two consecutive stages.
- SLPs (Special Leave Petitions) filed only in matters involving significant legal questions.
Both departments have raised monetary limits for appeals, leading to streamlined litigation and reduced pressure on courts.
Conclusion
The newly approved National Litigation Policy marks a major step toward transforming the government into a responsible and efficient litigant. With clear guidelines and accountability mechanisms, the policy aims to reduce government litigation, unclog court dockets, and improve the delivery of justice in India. As litigation reform becomes a legal priority, this policy could redefine how the Indian state engages with its citizens through the justice system.
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