The Supreme Court of India questioned the Delhi government’s move to implement the private school fee regulation law after the academic year had already begun. The Court warned that hurried enforcement could have retrospective effects and disrupt schools, asking the government to reconsider limiting the exercise to 2025–26 only.
The Supreme Court of India on Monday expressed serious concern over the way the Delhi government is trying to implement the Delhi School Education (Transparency in Fixation and Regulation of Fees) Act, 2025, especially its application to the current academic year.
A Bench comprising Justice P. S. Narasimha and Justice Alok Aradhe observed that although the law has been enacted for a valid and genuine regulatory purpose, the manner and timing of its implementation appeared unclear and possibly impractical.
The Court noted that the academic year has already begun and questioned why fee-related approvals are being pushed through at such a late stage.
The Bench pointed out that once an academic session is already underway, introducing new approval mechanisms for school fees could create confusion and administrative difficulties. The judges indicated that such a rushed approach may not align with how educational institutions function during an ongoing academic year.
These observations were made while hearing a batch of petitions filed by associations representing private unaided schools in Delhi. The schools have challenged both the implementation of the Act and a subsequent circular issued by the Delhi government. The circular requires schools to constitute school-level committees and obtain approval for the fees they propose to charge.
The Act aims to regulate private school fees in the national capital by prohibiting arbitrary fee hikes, introducing fee caps, and ensuring transparency in how fees are fixed and collected. It also includes strict penal provisions.
Schools that harass students over non-payment of fees can be fined Rs 50,000. In cases of repeated violations and non-payment of penalties, the government is empowered to seal and even sell school property.
The private schools have argued that the law is meant to operate prospectively and not retrospectively. According to them, the statutory framework does not allow for fee approvals to be imposed after the academic year has already started.
They contended that applying the Act in this manner effectively amounts to post-facto regulation, which is neither fair nor legally sustainable.
During the hearing, Additional Solicitor General S. V. Raju, appearing for the Delhi government’s Directorate of Education, informed the Court that the exercise was meant only for the 2025–26 academic year.
However, the Bench expressed concern that advancing processes meant to be carried out later in the year could have retrospective effects. This could include demands for recovery or adjustment of fees that have already been charged by schools.
Senior Advocate Mukul Rohatgi, representing the private schools, submitted that even if the validity of the Act is assumed, the way it is being enforced goes against the scheme of the legislation itself.
He argued that schools are only required to propose their fees, after which the approval mechanism is supposed to operate. According to him, this process cannot be imposed once the academic cycle has substantially progressed.
The Supreme Court made it clear that it is not inclined to interfere with the legislation at this stage. However, it strongly emphasised that the implementation of the Act must strictly follow the timelines provided under the law and must be practically workable.
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The Bench cautioned that hurried enforcement could seriously affect the financial stability of schools and ultimately defeat the very purpose of the legislation.
The matter has now been listed for further hearing. The Court has asked the Delhi government to reconsider and clarify whether the fee regulation exercise is strictly limited to the 2025–26 academic year, without having any retrospective impact on fees already fixed or collected.
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