In Brief
The appellants, employed in a catering facility within the Steel Club at Bhilai, challenged their dismissal contending they were entitled to statutory protections under the Madhya Pradesh Shops & Establishments Act, 1958. The High Court quashed the Appellate Authority's order directing reinstatement, holding that a non-residential club was exempt under Section 3(j). The Supreme Court upheld this, holding that a genuine non-residential club (distinguished by the absence of lodging) is exempt from the Act. Food and refreshment services incidental to a multi-purpose club do not convert it into a restaurant or eating house. The appellants' appeal was dismissed.",
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