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CS Executive · Setting Up of Business, Industrial and Labour Laws · Various Initial Registrations and Licenses

Ravi Traders, a partnership firm, has shops in Mumbai and Chennai, each with its own staff. For Shops and Establishments registration, what is the correct approach?

Ravi Traders must register each establishment under the shops and establishments law of the State where it operates, here Maharashtra and Tamil Nadu. The Act is State legislation, so a registration in one State does not cover an establishment in another.

  1. AOne registration at the head office in Mumbai covers Chennai too
  2. BRegistration in each State under that State's law, since the law is State-specific and applies to establishments located thereCorrect
  3. CRegistration only with the Central Government
  4. DNo registration, as a partnership firm is exempt

Explanation

Each establishment falls under the shops and establishments law of the State where it is located. A Mumbai registration has no force for the Chennai shop. No central registration or firm-based exemption exists.

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