Karnataka High Court restrains sealing of shops over Kannada signboard rule

The Karnataka High Court on Monday ordered the State government to refrain from sealing any shop or commercial establishment citing a failure to comply with a mandate to have 60 percent of a shop’s sign board or nameplate in Kannada [Retailers Association of India v. State of Karnataka]..Justice M Nagaprasanna passed the interim order on petitions challenging Section 17(6) of the Kannada Language Comprehensive Development Act, 2022 and a February 2024 circular issued by the State government to enforce the 60 percent Kannada signage rule..The Court opined that a part of the February 2024 circular, which called for the sealing of shop premises violating the 60 percent Kannada mandate, appeared to be untenable. Therefore, the Court stayed the operation of this part of the circular.“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,” the Court’s March 18 order stated..The Court also took note of Advocate General Shashi Kiran Shetty’s submission that the State does not have any intention to shut down businesses to enforce the 60 percent Kannada rule.“The matter would require consideration ... Therefore, the State shall not insist on the contents of the circular dated 28.02.2024 only in regard to sealing down of the premises,” the Court ordered..Notably, the hearing also saw Justice Nagaprasanna question the apparent reluctance to accept the 60 percent Kannada signage rule. He clarified that he is not in favour of sealing shops, in any case. “I fail to understand… I am not projecting whatever is done outside or by jingoists. I am only telling, what would happened if two lines of Kannada (were added to the signboards)? .... You’re operating a business in Karnataka ... State is not imposing that every one of your employees should be Kannadiga. What has State imposed or even said - a board which is in the size of English should be in Kannada – 50 percent (60 percent after an amendment). What's wrong?” the judge remarked..The Court, however, took note of the concerns of the petitioners, led by the Retailers Association of India, that there were practical difficulties involved in complying with the 60 percent signage rule within the State’s deadline, more so when there was lack of clarity on certain aspects including the definition of a signboard.He added that many business owners were voluntarily complying with the mandate to have over 50 percent of signboards in Kannada, even before the rule was revised or efforts made to seriously enforce it..Certain questions were raised with respect to whether the 60 percent rule has actually come into force as well.The Court was told by the State that this mandate has now been published in the official gazette. The bench, however, took note that some ambiguity remained on the date on which the mandate kicks into force.The State assured that all necessary clarifications would be issued, including the date on which the amended provisions of the 2022 Act (which mandates 60 percent Kannada signage) would come into force. “Till the clarification is issued, no precipitative action shall be taken against the petitioners, only if the Act has not come into force … and if the Act has come into force, the order as aforesaid (order not to seal any shops) shall operate,” the Court ordered. .The matter will be heard next on March 22. Advocate Manu Kulkarni appeared for the petitioners. .[Read Order]