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Issues: Whether a civil court has jurisdiction to entertain a suit by a workman concerning dismissal or removal from service when no prior steps were taken to seek a reference under the Industrial Disputes Act, 1947.
Analysis: The answer turned on the distinction between disputes arising from rights created by the Industrial Disputes Act, 1947 and disputes founded on rights or liabilities under the general or common law. Where the claim springs from the Act itself, the statutory machinery is exclusive and civil court jurisdiction is impliedly barred. Where, however, the dispute concerns a right existing dehors the Act, the workman has an election between the ordinary civil remedy and the remedy under the Act. The inclusion of individual dismissal disputes within Section 2-A of the Industrial Disputes Act, 1947 did not eliminate the availability of the civil remedy where the underlying right was not created by the Act.
Conclusion: Civil court jurisdiction was held to be available in such cases, and the workman could sue in civil court even without first seeking a reference under Section 10 of the Industrial Disputes Act, 1947.
Final Conclusion: The legal question was answered in favour of the workman, and the connected appeals were sent back for decision on merits in light of that ruling.
Ratio Decidendi: A civil court is not impliedly barred from entertaining a workman's suit for dismissal-related relief where the dispute arises from rights under the general or common law and not from rights created by the Industrial Disputes Act, 1947.