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The ancient legal system was based upon the concept of supremacy of dharma. Dharma is the Sanskrit expression of the most comprehensive import. It is difficult to define precisely, but it can be explained. The word “dharma” is sometimes used to refer to justice (Nyaya). It implies what is right in a given circumstance and includes moral values of right, pious obligations of individuals, righteous conduct in every sphere of activity, being helpful to other living beings, giving charity to individuals in need of it or to a public cause, or alms to the needy. Dharma also connotes the idea of duty and law.

The position of dharma is explained in Taittiriya Upanishad, which states that dharma constitutes the foundation of all affairs in the world. The Supreme Court, in the case of A.S. Narayana Deekshitulu, AIR 1996 SC 1765, has quoted the following verse of Karnaparva (Chapter 69, verse 58) of Mahabharata:

धारणाद् धर्म इत्याहुर्धर्मों धारयते प्रजाः । यत् स्याद् धारणसंयुक्तं स धर्म इति निश्चय ।

Dharma is for the stability of society, the maintenance of social order and the general well-being and progress of humankind. Whatever conduces to the fulfilment of these objects is dharma, i.e. definite.

In a modern-day context, the Constitution of India being the grundnorm is the Dharmashastra for every Indian. Our Constitution establishes the supremacy of law and the rule of law. It shows society what we wish to achieve. It consists of Raj Dharma, which the state has to follow.