Article 12: Definition of State

Fundamental Rights protect the liberties and freedoms of the people against the invasion by the State. Article 12 has defined the term ‘State’ for the purposes of different provisions concerning the fundamental rights under Part III.

Definition of State

According to Article 12, the State includes "Government and Parliament of India and the Government and the Legislature of each of the States and all local or other authorities within the territory of India or under the control of the Government of India.”

Disputes and Judgements

The local authorities include municipalities, panchayats, district boards, improvement trusts, etc.

The vaguely used term ‘other authorities’ has caused several disputes as to whether statutory and non-statutory bodies like Universities, Corporations, Electricity bodies etc. will also be considered as ‘state’.

University of Madras v. Shantabhai Case

In the University of Madras v. Shantabhai Case, Judiciary opined that as Universities do not exercise governmental or sovereign function, hence they cannot be considered as ‘state’ under Article 12.

R. D. Shetty vs. The International Airport Authority of India

The Supreme Court said “it is immaterial for this purpose whether the corporation is created by or under a statute. The test shall be whether it is an instrumentality or agency of the Government and not as to how it is created.” The court has evolved 6 determinants to qualify a body as 'state' as mentioned below.

6 point Determination test:

If the entire share capital of the corporation is held by Government
If significant financial assistance of the State to meet almost the entire expenditure of the corporation
If Monopoly status which State conferred or is protected by it
If Deep and Pervasive State control
If the functions are of public importance or closely related to governmental functions
If the functions of the department of the Government are transferred to that body or corporation.

Hence all other authorities, include statutory or non-statutory authorities like Universities-central and state, AAI, LIC, BPCL, ONGC, SAIL, etc.

Is Judiciary a State?

Judiciary is not expressly mentioned in the definition of ‘state’ under Article 12. This also gave different interpretations of whether Judiciary is a state or not.

In Rupa Ashok Hurra v. Ashok Hurra Case, the Supreme Court said judiciary while exercising judicial functions, it will not come under the definition of ‘state’. However, while exercising administrative functions, for instance, conducting examinations, it will fall under the definition of ‘state’.