Sucha Lal vs The Punjab State Power Corp. Ltd And Ors on 19 September, 2022
In Khoday Distilleries
Ltd. v. State of Karnataka (1996) 10 SCC 304, this
Court held: (SCC p. 314, para 13)
"13. It is next submitted before us that the amended rules
are arbitrary, unreasonable and cause undue hardship
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and, therefore, violate Article 14 of the Constitution.
Although the protection of Article 19(1)(g) may not be
available to the appellants, the rules must, undoubtedly,
satisfy the test of Article 14, which is a guarantee against
arbitrary action. However, one must bear in mind that
what is being challenged here under Article 14 is not
executive action but delegated legislation. The tests of
arbitrary action which apply to executive actions do not
necessarily apply to delegated legislation. In order that
delegated legislation can be struck down, such
legislation must be manifestly arbitrary; a law which
could not be reasonably expected to emanate from an
authority delegated with the law-making power.