Gujarat High Court

Absence of separate delay condonation application cannot preclude adjudication of industrial disputes on merits.

HIRABHAI SHIVABHAI SAGATHIYA vs AHMEDABAD MUNICIPAL CORPORATION

Gujarat High CourtJUDGMENT: July 03, 20262 MIN READSOURCE JUDGMENT
THE ORIGINAL LAWLENS SUMMARY
01

Facts

The petitioner, a Class IV employee of the respondent corporation, filed Reference IT No. 34 of 2024 seeking pension benefits upon reaching superannuation.

Source reference: para. 5

Due to severe illness and eye treatment, the petitioner failed to file a 'statement of claim' or attend proceedings, leading to the dismissal of the reference for non-prosecution in 2025.

Source reference: para. 5, 8

The petitioner filed Misc. Application No. 10 of 2025 for restoration under Section 26A of the Industrial Tribunal Act, 1947, which was dismissed by the Industrial Tribunal on December 9, 2025, primarily because a separate application for condonation of delay was not filed.

Source reference: para. 1, 5, 7

The petitioner subsequently challenged this dismissal under Article 226 of the Constitution.

Source reference: para. 1
02

Issues

Whether the Industrial Tribunal erred in dismissing the restoration application on the technical ground of absence of a separate delay condonation application, notwithstanding the substantive claim for pension benefits.

Source reference: para. 5, 8

Whether the interest of justice warrants remanding the matter for adjudication on merits despite earlier procedural lapses by the petitioner.

Source reference: para. 8, 9
03

Law Applied

Article 226 of the Constitution of India regarding the High Court’s discretionary power to ensure justice.

Source reference: para. 1

Section 26A of the Industrial Tribunal Act, 1947, which governs the restoration of proceedings.

Source reference: para. 5

The overriding legal principle that cases should ideally be decided on their merits rather than dismissed on technicalities or non-prosecution, provided the defaults can be cured.

Source reference: para. 8
04

Reasoning

The Court observed that the petitioner is a retired Class IV employee seeking fundamental post-retirement benefits (pension). While acknowledging the petitioner’s lack of vigilance in failing to file a statement of claim until 2025, the Court noted that the reference was never decided on its merits.

Source reference: para. 5, 8

It reasoned that procedural lapses—specifically the failure to file a separate delay condonation application—should not permanently bar a litigant from a hearing on substantive rights.

Source reference: para. 7-8

To balance the petitioner's rights with the respondent's interest in timely litigation, the Court determined that a "last chance" was necessary but must be bound by strict timelines.

Source reference: para. 8-9
05

Holding

The High Court allowed the petition and set aside the impugned order dated December 9, 2025.

The Court ordered that Reference IT No. 34 of 2024 be restored to its original file and directed the petitioner to file his 'statement of claim' within one month, the respondent to reply within 15 days, and the Tribunal to decide the matter within one year.

Source reference: para. 9, 10
Gujarat High Court

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HIRABHAI SHIVABHAI SAGATHIYAvsAHMEDABAD MUNICIPAL CORPORATION

Gujarat High Court · July 03, 2026

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