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Section 57: Bar of suits

The Code on Wages, 2019 (Act No. 29 of 2019) • Official Statutory Text & Plain English Practice Guide

Statutory Mandate
Chapter IX: Miscellaneous
Competent Labour Forum
Act No. 29 of 2019
Section 56 All 67 Sections of Code on Wages, 2019 Section 58

Legal Commentary & Landmark Judgments: Section 57

Section 57 of the Code on Wages, 2019 explicitly ousts the jurisdiction of civil courts over claims for recovery of minimum wages, deductions, discrimination, or bonuses that are subject to, decided by, or could have been claimed before the Section 45 Authority, channeling all wage disputes into the specialized statutory forum and preventing parallel common law litigation.

  • Explicit Ouster of Civil Court Jurisdiction: Under Section 9 of the CPC, 1908, the jurisdiction of civil courts is barred when expressly or impliedly excluded by statute. Section 57 enacts an express statutory bar, declaring that no civil court shall entertain any suit for the recovery of wages, bonuses, or statutory benefits.
  • Fourfold Statutory Ouster Triggers: The bar operates if the sum claimed: (a) forms the subject of a pending Section 45 application; (b) has formed the subject of a direction under Section 45; (c) has been adjudged in any proceeding under Section 45; or (d) could have been recovered by an application under Section 45. The fourth trigger completely covers any common law suit for wages that falls within the Code's remedial scope.
  • Preservation of Inherent Constitutional & Specialized Labor Remedies: While civil suits are barred, the remedy before the Section 45 Authority, the Section 46 Industrial Tribunal, and extraordinary writ remedies before the High Courts under Articles 226/227 remain fully available, ensuring a complete, self-contained statutory code.
Key Landmark Precedents:
  • Dhulabhai v. State of Madhya Pradesh AIR 1969 SC 78: Landmark Constitution Bench ruling laying down the principles for determining the exclusion of civil court jurisdiction; held that where a statute creates a special right and provides a specialized tribunal with finality clauses, civil court jurisdiction is ousted.
  • Premier Automobiles Ltd. v. Kamlekar Shantaram Wadke (1976) 1 SCC 496: The Supreme Court held that if an industrial dispute relates to the enforcement of a right created by a special labor statute, the only remedy available to the workman is under that statute, and civil court suits are barred.
  • Payment of Wages Inspector v. Surajmal Mehta AIR 1969 SC 590: The Supreme Court affirmed that specialized wage authorities are created to provide quick, cost-free adjudication, barring workers and employers from dragging simple wage matters into protracted civil suits.
Courtroom Practice & Strategic Litigation Guidance:

If an employee or former manager files a civil suit before a Civil Judge or City Civil Court claiming recovery of unpaid wages, bonuses, or notice pay, defense counsel should immediately file an application under Order VII Rule 11(d) of the CPC for rejection of the plaint, citing Section 57 of the Code on Wages read with Section 9 CPC and the landmark ratio of Premier Automobiles.

Section 56 All 67 Sections of Code on Wages, 2019 Section 58