State Bar Councils and BCI cannot charge ‘enrolment fees’ beyond the express legal stipulation under Section 24(1)(f) of Advocates Act: Supreme Court

उच्चतम न्यायालय ने यह निर्णय दिया है कि राज्य बार काउंसिल और भारतीय बार काउंसिल, अधिवक्ता अधिनियम की धारा 24(1)(फ) [Section 24(1)(f) of Advocates Act] के अंतर्गत निर्धारित नामांकन शुल्क [enrolment fee] से अधिक राशि नहीं वसूल सकते हैं, क्योंकि अत्यधिक शुल्क मांगना संविधान के अनुच्छेद 14 और 19(1)(जी) का उल्लंघन है।

Today (July 30, 2024), the Supreme Court (SC) of India held that the Bar Councils cannot charge enrolment fees more than as stipulated under Article 24 of the Advocates Act. It elaborated that the enrolment fee cannot exceed Rs. 750 and Rs. 125 for advocates belonging to the general category and SC/ST (Scheduled Caste/Scheduled Tribes) categories respectively. As per Section 24(1)(f) of the Advocates Act, the enrolment fee payable to the State Bar Council and Bar Council of India (BCI) is Rs. 600 and Rs. 150 for advocates belonging to the general category respectively. For advocates belonging to the SC/ST categories, the enrolment fee payable to the State Bar Council and Bar Council of India is Rs. 100 and Rs. 25 respectively. Today, a two-judge bench of the Supreme Court constituting Chief Justice of India DY Chandrachud and Justice JB Pardiwala heard the matter.

During the proceedings, the bench observed, “Section 24(1)(f) is a fiscal regulatory provision and has to be construed strictly. Parliament has prescribed the enrolment fees in the exercise of its sovereign legislative powers. The SBCs and the BCI, being delegates of Parliament, cannot alter or modify the fiscal policy laid down by Parliament.” After hearing the matter from both sides, the top court concluded:

“The SBCs cannot charge “enrolment fees” beyond the express legal stipulation under Section 24(1)(f) as it currently stands;
Section 24(1)(f) specifically lays down the fiscal pre-conditions subject to which an advocate can be enrolled on State rolls. The SBCs and the BCI cannot demand payment of fees other than the stipulated enrolment fee and stamp duty, if any, as a pre-condition to enrolment;
The decision of the SBCs to charge fees and charges at the time of enrolment in excess of the legal stipulation under Section 24(1)(f) violates Article 14 and Article 19(1)(g) of the Constitution; and
This decision will have prospective effect. The SBCs are not required to refund the excess enrolment fees collected before the date of this judgment.”

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1. What is the maximum advocate enrolment fee set by the Supreme Court?

The Supreme Court ruled that enrolment fees cannot exceed Rs. 750 for general category advocates and Rs. 125 for advocates belonging to SC and ST categories.

2. How is the advocate enrolment fee split between Bar Councils?

Under Section 24(1)(f), general category fees are split as Rs. 600 to the State Bar Council and Rs. 150 to the Bar Council of India, while SC/ST fees are split as Rs. 100 to the State Bar Council and Rs. 25 to the Bar Council of India.

3. Does the Bar Council have to refund excess enrolment fees collected earlier?

No, the Supreme Court held that the decision has prospective effect, so State Bar Councils are not required to refund excess fees collected prior to the judgment.

4. Why is charging higher enrolment fees considered unconstitutional?

The Supreme Court stated that charging enrolment fees in excess of the statutory stipulation under Section 24(1)(f) violates Article 14 and Article 19(1)(g) of the Constitution.