Section 16 of ECA : Section 16: Repeals And Savings

Explanation using Example

Imagine that the state of Xanaduria had a specific statute called the "Xanaduria Essential Supplies Act" that regulated the supply and distribution of food grains within the state. With the commencement of The Essential Commodities Act, 1955, the "Xanaduria Essential Supplies Act" is repealed as per Section 16(1)(b) of The Essential Commodities Act.

However, under Section 16(2), any permits issued under the "Xanaduria Essential Supplies Act" for the distribution of food grains would remain valid until they are replaced by new permits issued under The Essential Commodities Act. This means that distributors do not need to halt their operations immediately but should apply for new permits under the new Act.

Additionally, Section 16(3) ensures that the general legal consequences of repealing a law, as outlined in the General Clauses Act, 1897, are also applicable to the repealed "Xanaduria Essential Supplies Act," providing clarity on the legal proceedings that may follow the repeal.