What
Is a Grandfather Clause?
A
grandfather clause (whereby an old rule continues to apply ) is an
exemption that allows persons/entities to continue with activities or
operations that were approved before the implementation of new rules,
regulations, or laws.
A
grandfather clause only exempts people or entities engaged in specified
activities before new rules being put in place, however, these clauses
effectively place two sets of rules or regulations on otherwise similar
businesses or circumstances, which can create unfair competitive advantages for
grandfathered parties. In these situations, grandfather clauses may only be
granted for a set period.
Case
Law : Novartis Ag Vs Union Of India & Others
Tiger
Global International II Holdings, Mauritius & Ors (Authority for Advance
Rulings New Delhi) AAR/04/2019
