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It is mandatory that a Show Cause Notice (SCN) is issued if the department contemplates any action prejudicial to the assessee. The SCN would detail the provisions of law allegedly violated and ask the noticee to show cause why action should not be initiated against him under the relevant provisions of the Act/Rules.
The Order to Show Cause will direct the Respondent to appear in court on a certain day at a certain time and in a certain place. At that time, the Court will consider the sworn testimony of the Petitioner or other witness, to determine if a violation of the Courts Order is established.
(c) In any case where a dismissal of a claim, defense, or party is sought, the administrative law judge shall issue an order to show cause why the dismissal should not be granted and afford all parties a reasonable time to respond to such order.
A notice to show cause is a formal document issued to one party in a dispute. It sets out details of an alleged offence or misconduct. In doing so, the receiving party will have the chance to explain themselves or otherwise face some further consequences.
An order to show cause (O.S.C.), is a court order or the demand of a judge requiring a party to justify or explain why the court should or should not grant a motion or a relief . For example, if a party requests a restraining order from a judge, the judge may need more information.
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After both parties have argued their case and presented evidence, the judge will render a decision. The judge can order a non-compliant party to take steps to remedy the situation, and impose legal penalties upon the non-compliant party.

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