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Sovereign Immunity: What It Means in Indian and International Law

Can you sue a foreign government in your country’s court? Can a state be held liable for wrongful acts? These questions fall under the concept of sovereign immunity. This legal doctrine protects sovereign states from being sued in courts, except in specific circumstances.


Meaning

Sovereign immunity means a state or its instrumentalities cannot be sued without its consent. The concept stems from the old English maxim, “The King can do no wrong.” Over time, modern legal systems adapted it to define the boundaries of state accountability.


Types

There are two main types of sovereign immunity:

  • Absolute Immunity – A state enjoys full immunity from legal proceedings, regardless of the nature of the act.
  • Restrictive Immunity – A state is immune only for its sovereign (governmental) acts, not for commercial or private acts.

Most modern legal systems, including India, follow the restrictive approach.


What does it mean in India?

India follows the restrictive doctrine of sovereign immunity. The Constitution of India, under Article 300, allows the government to be sued for acts that fall outside its sovereign functions. Indian courts have held the state liable in cases involving motor accidents, negligence, or commercial dealings.


Landmark Case: Kasturi Lal v. State of U.P. (1965)

In this case, the Supreme Court held that the state was not liable for theft committed by police officers, as the action was part of a sovereign function. The case reaffirmed the distinction between sovereign and non-sovereign functions. However, the decision faced criticism for letting the state avoid liability.


International Law and Sovereign Immunity

Globally, the United Nations has addressed this issue through the UN Convention on Jurisdictional Immunities of States and Their Property (2004). Although not universally ratified, the convention reflects the restrictive view. States can be sued for commercial transactions, employment contracts, or property disputes unless they expressly claim immunity.


Exceptions to Sovereign Immunity

It does not apply when:

  • A state enters into a commercial contract
  • The case involves torts committed within the host country
  • There is waiver of immunity by express agreement
  • It relates to arbitration or dispute settlement clauses

These exceptions ensure that immunity is not used as a tool for evading justice.


Contemporary Relevance

Sovereign immunity has sparked debates in cases involving:

  • State-owned companies engaging in trade
  • Foreign diplomats committing offences
  • Human rights violations
    Courts now balance diplomatic respect with accountability. The law must prevent misuse while upholding international relations.

Conclusion: Immunity, Not Impunity

Sovereign immunity remains a powerful doctrine. But modern legal systems recognize that states must be held responsible for their actions, especially in commercial and civil matters. India’s evolving stance shows how courts attempt to strike a fair balance between state privilege and individual justice.

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