COMPENDIUM OF SUMMARIES OF JUDICIAL DECISIONS IN ENVIRONMENT RELATED CASES

INDIA

India - Bhopal Disaster

UNION CARBIDE CORPORATION v. UNION OF INDIA and others
(BHOPAL - I)

AIR 1990 SC 273
R. S. PRATHAK, C. J., E.S. VENKATARAMIAH, RANGANATH MISRA, M. N. VENKATACHALLIAH, and N. D. OJHA JJ.

Introduction

The Union Carbide Corporation filed an application in revision in the Supreme Court, in terms of Section 155 of the CPC, against the order of the Bhopal District Court, in a claim for damages made by the Union of India on behalf of all the claimants, under the Bhopal Gas Leak Disaster (Processing of Claim) Act, 1985. The Union Carbide Corporation as well as the Union of India, filed separate appeals in the Supreme Court against the judgement of the Madhya Pradesh High Court, both of which were heard together.

Damages were sought on behalf of victims of Bhopal gas leak disaster. The Court examined the prima facie material for the purpose of quantifying the damages, and also the question of domestication of the decree in the United States for the purpose of execution.

Legal Framework

Bhopal Gas Leak Disaster (Processing of Claim) Act, 1985.

Held

(1) The Union Carbide Corporation should pay a sum of U.S. Dollars 470 million (Four hundred and seventy million) to the Union of India in full settlement of all claims, rights and liabilities related to and arising out of the Bhopal gas disaster.

(2) The Union Carbide Corporation shall pay the aforesaid sum to the Union of India on or before 31 March 1989.

(3) To enable the effectuation of the settlement, all civil proceedings related to and arising out of the Bhopal gas disaster shall thereby stand transferred to the Supreme Court and shall stand concluded in terms of the settlement, and all criminal proceedings related to and arising out of the disaster shall stand quashed, wherever these may be pending.

Cases Cited

AIR 1987 SC p. 1086