Case Note & Summary
The dispute arose between the Howrah Municipal Corporation and Ganges Rope Co. Ltd. regarding the sanction for construction of additional floors on a multi-storeyed complex. The respondent company initially sought permission to construct up to seven floors in 1992, but the Corporation delayed the sanction. The High Court intervened, directing the Corporation to grant sanction for up to four floors, with liberty to seek further sanction later. After the company applied for three additional floors, the Corporation refused based on newly amended Building Rules that restricted construction height on G.T. Road. The Supreme Court examined whether the company had a vested right to sanction based on the unamended rules. It concluded that the High Court's orders did not create such a right, as the statutory provisions required express sanction for construction. The court emphasized that public interest must prevail over individual claims, and the amendments to the Building Rules were valid. Consequently, the Supreme Court quashed the High Court's order and restored the Single Judge's decision denying the sanction, directing both parties to bear their own costs.
Headnote
A) Administrative Law - Building Sanction - Vested Rights - Howrah Municipal Corporation Act, 1980, Section 173 - The court held that no vested right was created for the respondent company to seek sanction for additional floors based on unamended Building Rules after the amendment restricting construction height was enacted. The court emphasized that public interest and convenience are paramount in regulating building activities (Paras 10-11).
Issue of Consideration
Whether the respondent company had a vested right to seek sanction for construction of additional floors despite subsequent amendments to the Building Rules.
Final Decision
The Supreme Court allowed the appeal of the Howrah Municipal Corporation, quashed the High Court's order dated 5.9.1997, and restored the Single Judge's decision denying the sanction for additional construction.
Law Points
- Building sanction
- vested rights
- municipal regulations
- public interest
- construction height restrictions


