Section 45: Residuary penalty

Information Technology Act • Official Statutory Text & Practice Guide

Statutory Regulation
Legal Standard
Competent Court / Tribunal
Act 2000

Legal Commentary & Landmark Judgments: Section 45

Section 45 enacts the residuary penalty provision of the Act, providing that whoever contravenes any rule or regulation made under the Act for which no specific penalty is provided shall be liable to pay compensation up to twenty-five thousand rupees to the affected person.

  • Broad Residuary Scope: Operates as a statutory catch-all provision penalizing any contravention of IT Act rules or regulations lacking a designated penal section.
  • Statutory Compensation Cap: Caps civil liability at twenty-five thousand rupees payable directly to the person affected by the regulatory contravention.
  • Adjudication by Designated Officer: Requires claims under this section to be adjudicated by the Adjudicating Officer appointed under Section 46 following summary inquiry.
Key Landmark Precedents:
  • Tolaram Relumal v. State of Bombay (1955) 1 SCR 158: Constitution Bench held that penal and regulatory penalty provisions must be construed strictly, applying catch-all clauses only to clear statutory non-compliance.
  • State of M.P. v. Centre for Environment Protection and Research (2000) 8 SCC 262: Supreme Court affirmed that residuary penalty mechanisms ensure administrative rules remain legally enforceable where specific penalties were omitted.
  • Superintendent and Remembrancer of Legal Affairs, W.B. v. Girish Kumar Navalakha (1975) 4 SCC 754: Supreme Court held that regulatory non-compliance attracting residuary compensation requires a demonstrated nexus between the breach and the claimant's loss.
Courtroom Practice & Strategic Litigation Guidance:

Where an adversary breaches an IT Act regulation (such as intermediate audit protocols or notification requirements) without an explicit penalty clause, file a claim under Section 45 before the Adjudicating Officer to secure immediate statutory compensation.