Aapka Consultant Judgment Series- In this series, we are providing case analysis of Landmark Judgments of Hon’ble Supreme Court of India.
Union Carbide Corporation vs. Union of India and Others
JT 1989 (1) 296 1989 SCALE (1)380
Hon’ble Judges/Coram: Pathak, R.S. (CJ), Venkataramiah, E.S. (J), Misra Rangnath, Venkatachalliah, M.N. (J), Ojha, N.D. (J)
Date of Judgment: 14/02/1989
FACTS: –
The enormity of human suffering occasioned by the Bhopal Gas Leak Disaster and the pressing urgency to provide immediate and substantial relief to victims of the disaster led this case before this court.
ISSUE: –
Whether order of settlement should be granted by the court or not?
JUDGMENT: –
In the interest of justice and it is just, equitable and reasonable give directionsa s follows: –
(1) That the Union Carbide Corporation shall, on or before 23.3.1989, pay a sum of U.S. Dollars 470 million to the Union of India as claimant and for the benefit of all victims of the Bhopal Gas Leak Disaster under the Bhopal Gas Leak Disaster (Registration and processing of claims) Scheme 1985 and not as fines, penalties or punitive damages, in full settlement of all claims, rights and liabilities related to and arising out of the Bhopal Gas Leak Disaster;
(2) That all civil proceedings related to and arising out of the Disaster shall stand transferred to this Court and shall stand concluded in terms of the settlement, and all criminal proceedings related to and arising out of the disaster shall stand quashed wherever pending;
(3) That upon full payment of the sum referred to above: (a) The Union of India and the State of Madhya Pradesh shall take all steps which may in future become necessary in order to implement and give effect to this order, including but not limited to ensuring, that any suits, claims or civil or criminal complaints which may be filed in future against any Corporation, Company or person referred to in the Settlement are defended by them and disposed of in terms of this order; (b) Any such suits, claims or civil or criminal proceedings filed or to be filed before any court or authority are hereby enjoined and shall not be proceeded with before such court or authority except for dismissal or quashing in terms of this order.
HELD: –
Court held that the case was fit for an overall settlement between the parties covering all litigations, claims, rights and liabilities related to and arising out of the Disaster and accordingly, made an order for the settlement between the parties.
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