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CMA Foundation · Fundamentals of Business Laws and Business Communication · Legislative Process in India

Which of the following statements about the difference between an Act and the rules made under it is correct?

An Act is enacted by the legislature through the bill process, whereas rules are framed by an authority empowered by that Act and must conform to it. If a rule conflicts with the Act, the Act prevails and the rule can be declared ultra vires.

  1. ARules are passed by both Houses of Parliament like an Act, whereas an Act is made by the executive
  2. BAn Act is made by the legislature through the bill process, while rules are framed by the delegated authority and must conform to the ActCorrect
  3. CRules override the Act where the two conflict
  4. DRules and an Act have equal status, so a conflict is resolved by choosing the later one

Explanation

An Act comes through the legislature's bill process, while rules are framed by an authority empowered by the Act. If a rule conflicts with the Act, the Act prevails and the rule is ultra vires. The options claiming rules override the Act or have equal status are wrong, and the first option reverses who makes each.

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