Bombay High Court Rejected Petition Seeking Renewal of License for Open Plot – Held No Enforceable Legal Right Under Article 226 of the Constitution of India


Summary of Judgement

No Vested Right for Renewal of License

Petition dismissed. Court held Petitioner had no vested legal right for renewal after expiry of license by efflux of time.

Licensee’s rights are purely contractual and expire by efflux of time (Para 12). No fundamental or legal right to compel statutory authority for license renewal (Para 11). Legitimate expectation does not translate to enforceable legal right in absence of breach of statutory duty (Para 16).

Acts and Sections Discussed:

  • Constitution of India, Article 226 – Writ of Mandamus – No enforceable legal right for renewal of license.

  • Maharashtra Industrial Development Corporation Act (MIDC Act) – Powers of statutory authority – Utilization of land for public purpose.

Subjects: License Expiry – No Legal Right – Legitimate Expectation – Public Interest – Statutory Authority – Contractual Rights – Workers Housing – Efflux of Time – Writ of Mandamus

Nature of Litigation: Writ Petition filed under Article 226 of the Constitution of India.

Relief Sought: a. Renewal/Extension of lease of Open Space No.3 in favor of the Petitioner. b. Quashing and setting aside notice dated 28 December 2023 issued by MIDC.

Reason for Filing the Case: Petitioner claimed an enforceable legal right to renewal of license for an open plot adjoining its school premises.

Previous Decisions: License expired on 31 May 2023 and was not renewed by the MIDC. Land was subsequently allotted for workers' housing.

Issues: a. Whether the Petitioner had a vested legal right for renewal of license under Article 226? b. Whether legitimate expectation could be claimed as an enforceable legal right?

Submissions/Arguments:

  • Petitioner: Argued legitimate expectation for renewal based on long-term use of land.

  • Respondents: Contended that Petitioner had only contractual rights as a licensee and no constitutional or legal right for renewal.

The Judgement

Case Title: Sisters Of Our Lady Fatima Thr. Its Managing Trustee Versus The State of Maharashtra and Ors.

Citation: 2025 LawText (BOM) (2) 32

Case Number: WRIT PETITION NO. 3516 OF 2024 WITH INTERIM APPLICATION NO.8248 OF 2024 WITH INTERIM APPLICATION NO.14446 OF 2022

Date of Decision: 2025-02-03