Effects of re-organisation of territory under existing laws

The principles relating to a change of sovereignty in international law are not applicable to a re-organisation of territory of a State under Article 3. When such as adjustment or re-organisation of territories takes place, the existing laws as well as administrative orders in a particular territory continue to be in force and continue to be binding upon the successor State, so long as they are not modified, changed or repudiated by the successor State. See the undermentioned decision:

State of Punjab v. Balbir, AIR 1977 SC 629, Paragraphs 13-14.