Alternative statutory remedy under co-operative law bars writ jurisdiction absent exceptional grounds; admitted liability does not exclude the dispute forum.
Where a special statute provides an efficacious dispute-resolution forum for co-operative society disputes, claims falling within the broad statutory definition of "dispute" should ordinarily be pursued under that mechanism and not under Article 226. The Kerala Co-operative Societies Act, 1969 was read as covering claims for sums payable to or by a society, whether admitted or not, so admitted liability did not by itself take the matter outside Section 69. In the absence of pleaded violations of statute, natural justice, or other exceptional grounds, writ jurisdiction was not to be invoked. The writ appeals were allowed, the challenged judgments were set aside, and the writ petitions were dismissed.
Issues: Whether the writ petitions ought to have been entertained despite the statutory remedy under Section 69 of the Kerala Co-operative Societies Act, 1969, and whether the admitted liability of the co-operative societies took the disputes outside the scope of that remedy.
Analysis: Section 69 creates a statutory forum for disputes between societies and other societies, and Section 2(i) defines "dispute" broadly to include a claim for any sum payable to or by a society, whether admitted or not. The admitted liability did not, by itself, exclude the matter from the statutory dispute-resolution mechanism. The governing principle on Article 226 jurisdiction is that where an efficacious alternative remedy exists, writ jurisdiction is ordinarily not to be invoked unless recognised exceptions are made out. On the pleadings, there was no case of violation of statute, breach of natural justice, or other exceptional circumstance justifying bypass of the statutory forum.
Conclusion: The writ petitions should not have been entertained and the statutory remedy under Section 69 ought to have been pursued.
Final Conclusion: The writ appeals were allowed, the judgments under challenge were set aside, and the writ petitions stood dismissed because the parties were relegated to the statutory remedy.
Ratio Decidendi: Where a special statute provides an efficacious dispute-resolution forum, claims by or against a co-operative society that fall within the statutory definition of dispute should ordinarily be pursued under that mechanism and not under Article 226, absent a recognised exception.
TaxTMI 
AI Drafter ✕
TaxTMI 
