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

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.”