Karnataka HC Stays ‘Sealing of Shops’ For Not Complying With 60% Kannada Mandate on Signboards

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Synopsis

Court ordered that no precipitative action shall be taken against the petitioners until necessary clarifications are issued and If the Act has not come into force, the interim order restraining the sealing of shops shall remain in effect

In a recent development, the Karnataka High Court has issued an interim order staying the state government from ‘sealing shops’ or commercial establishments that fail to comply with the mandate requiring 60 percent of a shop’s signboard or nameplate to be in Kannada.

This ruling came in response to petitions challenging the Kannada Language Comprehensive Development Act, 2022, and a circular issued by the State government in February 2024 to enforce the aforementioned rule.

Justice M Nagaprasanna, presiding over the case, expressed concerns over a specific part of the February 2024 circular, which suggested sealing shop premises for non-compliance with the 60 percent Kannada signage mandate. Court deemed this provision untenable stating, “The 3rd paragraph therein (in the circular) travels beyond what is in the enactment. It would indicate that if 60% of the Boards are not in Kannada, those business establishments or undertakings would be sealed down. This, prima facie, is untenable.”

Notably, the court delved into the provisions of Section 17 of the Kannada Language Comprehensive Development Act, which outlines general measures to be undertaken for the extensive use and propagation of the Kannada language. Particularly, Section 17(6) was scrutinised by the court, which pertains to the display of names on boards for various establishments such as commercial, industrial, and business undertakings, among others. Originally, Section 17(6) mandated that the upper half portion of such boards be in Kannada, with the lower half allowing for any other language.

However, this provision underwent an amendment through the Kannada Language Comprehensive Development (Amendment) Act, 2024. The amended Section 17(6) now stipulates that name boards of these establishments must ensure that 60% of the content is in Kannada language, with Kannada being displayed in the upper half of the board.

During the hearing, Advocate General Shashi Kiran Shetty assured the court that the State does not intend to shut down businesses to enforce the Kannada signage rule. Consequently, the Court ordered the State not to insist on sealing premises based solely on non-compliance with the circular.

Justice Nagaprasanna also questioned the reluctance to accept the 60 percent Kannada signage rule, emphasising that he does not support sealing shops under any circumstances. He pointed out the practicality of adding two lines of Kannada to signboards, citing it as a reasonable requirement for businesses operating in Karnataka.

However, the court acknowledged the concerns raised by petitioners, particularly the Retailers Association of India, regarding practical difficulties in complying with the signage rule within the State’s deadline and the lack of clarity on certain aspects, including the definition of a signboard.

Questions were also raised regarding the effective enforcement date of the 60 percent rule, with the State indicating that it has been published in the official gazette. Yet, ambiguity remained regarding the commencement date.

As a result, the court ordered that no precipitative action shall be taken against the petitioners until necessary clarifications are issued. If the Act has not come into force, the interim order restraining the sealing of shops shall remain in effect, court ordered.

The case is set to be heard again on March 22, allowing further deliberation on this matter.

It is pertinent to note that the state capital witnessed vandalism in December of the preceding year, as tensions escalated over the enforcement of Kannada language signage rules. The unrest unfolded just a day after the Bruhat Bengaluru Mahanagara Palike (BBMP), the municipality governing Bengaluru, issued an order signaling its intention to suspend licenses for shops, hotels, and malls if they failed to comply with the 60 percent Kannada rule on signboards by February 28.

Case Title: Retailers Association of India vs State of Karnataka