Now Reading: Jan Vishwas Act flat fines face constitutional equality test
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Jan Vishwas Act flat fines face constitutional equality test
Livelaw.in reports that the Jan Vishwas (Amendment of Provisions) Act, 2026, passed by Parliament on 2 April, replaces jail time with flat fines across 784 provisions in 79 central laws. The analysis…
The Story in Brief
Livelaw.in reports that the Jan Vishwas (Amendment of Provisions) Act, 2026, passed by Parliament on 2 April, replaces jail time with flat fines across 784 provisions in 79 central laws. The analysis argues this penalty design may violate Article 14 of the Constitution by treating small kirana stores and large supermarket chains identically. A second offence under the Legal Metrology Act, for example, draws a fixed fine regardless of the offender's turnover.
Existing laws such as the Trade Marks Act and Patents Act already peg penalties to 0.5 per cent of turnover, capped at Rs 5 lakh. No constitutional challenge has been mounted yet, but the outlet notes that high litigation costs deter small businesses. The design creates a structural incentive for large corporates to treat fines as a routine business expense, it warns.
The Indian Opinion
The government's claim that decriminalisation is a clear win for ease of business ignores who really benefits. A flat fine that bites a kirana store but barely registers for a conglomerate is not equality. India already uses turnover-based penalties in patent and trademark law. The real test is whether the next amendment will scale fines or maintain this flawed comfort for big business. Watch for the first small-business challenge in court.
Source: livelaw.in
This story was synthesised by AI from the source linked above.
