The shops and establishments and other entities like trusts, hotels etc. in Maharashtra are governed by the Maharashtra Shops and Establishment (Regulation of Employment and Conditions of Service) Act, 2017. The Act not only lays down the procedure for applying for a license to run these establishments but also directs the shop owners to follow the stipulated procedure when they intend to Shop and Establishment Registration.
Sometimes closing a door can be as important and exciting as opening one. So is the case with business operations. While registering a shop opens a door of opportunities, sometimes the owner might want to shut it down if the situation and circumstances demand to do so. However, irrespective of whether a shop is registered or kept operational or not, or even if it is shut down, there are a couple of legal requirements to be adhered to. The article aims to highlight the procedures to be followed to Cancel Shop and Establishment Registration in the state of Maharashtra. It is of utmost importance that the licensed owner of the shop follows the stipulated protocols.
What Is Shop And Establishment Act In India?
The Shops and Establishment Act of 1954 was put forward to regulate the payment of wages, the number of hours put into work by the employees, and their terms of service. The Act aims to administer the general working conditions of employees working in various shops and commercial organisations within India.
Furthermore, a license is required to run, manage and maintain a commercial establishment in India, which is provided under the Act. It may be interesting to pay attention to the fact that the Act provides regulations for opening and establishing shops and closing them down.
Maharashtra Shops and Establishment (Regulation of Employment and Conditions of Service) Act, 2017, mandates the registration of the shops and establishments within Maharashtra. Therefore, individuals who intend to open shops within Mumbai, Pune, or other Maharashtra areas should procure the license. The Act, however, also includes societies, charitable trusts, educational institutes, and all entities run with a motive of profit within its purview.
Employers must apply for the license by applying the prescribed form, required documents, and fees. Previously the registration was required to be done in person with the Chief Inspector of the respective jurisdiction. Still, it is being done online through the official website of Maharashtra’s labour department within 60 days of commencing the business.
To obtain a shop licence or to revoke an existing licence in order to stop operating a shop in the nation, you must adhere to the detailed rules and regulations along with some necessary procedures.
Who Is Eligible For Shop And Establishment Act?
- Benevolent or other trusts, whether they are registered or not .
- Societies that have a Societies Registration Act registration.
- Establishments for journalism and printing.
- Establishments for contractors and auditors.
- Quarry and mines that are not subject to the Mines Act.
- Cinemas and theatres.
- Educational or nonprofit organisations that operate for profit.
- Dining establishments and eateries.
- Locations where insurance, banking, stock trading, securities trading, and produce exchange are conducted
- Upscale hotels and nightclubs.
- Additional public amusement or entertainment venues.
Procedure for Cancel Shop and Establishment Registration
The following procedure has to be followed when the applicant wishes to cancel the registration under the Maharashtra Shops and Establishment (Regulation of Employment and Conditions of Service) Act, 2017.
- While applying for cancel shop and establishment license, the applicant should use the prescribed form of the application available on the website
- The applicant must take due care to fill the application with the correct details
- The application regarding cancel shop and establishment registration must be made within 10 days of closing the establishment
- While applying to cancel shop and establishment registration, the applicant must make sure that the right shop and establishment license registration number is mentioned
- The applicant must exercise due care to check if the establishment’s name, address, and payment details have been mentioned.
Checklist to Cancel Shop and Establishment Registration Under the Maharashtra Shops and Establishment (Regulation of Employment and Conditions of Service) Act, 2017
- Has the application form been filled out?
- Are all the details provided updated and relevant?
- Is the license registration number mentioned on the application?
- Has the reason for cancel shop and establishment registration been mentioned?
- Have the supporting documents been attached?
- Has the cancel shop and establishment registration been supported with valid reasons?
- Whether a copy of the receipt that shows that all dues are settled has been attached?
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