A division bench of the high court comprising Acting Chief Justice Sanjay Karol and Justice Tarlok Singh Chauhan held that the insertion of Section 30-C in the amended Act was "violative of Article 14 of the Constitution", which provides for equality before law.
The amendment was contrary to the object and purpose of the principal act and was "manifestly arbitrary, irrational, illogical, capricious and unreasonable", the high court said, adding that "we strike it down".
The Himachal Pradesh Assembly passed the amendment bill during its monsoon session in 2016 and the governor subsequently gave his assent.
The high court had stayed the implementation of the Act in April 2017.
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