Case Note & Summary
The Petitioner, Alice Realties Pvt Ltd, a private limited company, filed a writ petition under Article 226 of the Constitution of India before the Bombay High Court. The Petitioner sought a direction to the 7th Respondent, the Chief Officer of the Mumbai Building Repairs and Reconstruction Board, to delete Clause 25 of the No Objection Certificate (NOC) dated 28th February 2011 and Clause 28 of a revised NOC dated 4th June 2015. The impugned clauses required that 22 different private limited companies, including the Petitioner, be treated as a single occupant for the purposes of redevelopment. The Petitioner contended that this condition was arbitrary and without legal basis, as each company was a separate legal entity with distinct tenancy rights. The Respondents, including the State of Maharashtra and MHADA, opposed the petition, arguing that the condition was necessary for the smooth implementation of the redevelopment project. The Court, after hearing the parties, held that the condition in the NOC was arbitrary and had no legal foundation. The Court noted that the Petitioner was a separate tenant and could not be clubbed with other companies for the purpose of redevelopment. The Court directed MHADA to de-club the combined premises and treat the Petitioner as a separate tenant. The petition was allowed, and the impugned clauses were quashed. The Court also made Rule absolute and disposed of the petition.
Headnote
A) Constitutional Law - Writ Jurisdiction - Article 226 of the Constitution of India - Quashing of Condition in NOC - Petitioner sought deletion of Clause 25 of NOC dated 28th February 2011 and Clause 28 of revised NOC dated 4th June 2015 requiring 22 companies to be treated as a single occupant - Court held that the condition was arbitrary and directed MHADA to treat the Petitioner as a separate tenant - Held that the condition had no legal basis and was liable to be set aside (Paras 1-13).
Issue of Consideration
Whether the condition in the NOC requiring 22 private limited companies to be treated as a single occupant for redevelopment purposes is arbitrary and liable to be quashed.
Final Decision
The petition is allowed. Clause 25 of the NOC dated 28th February 2011 and Clause 28 of the revised NOC dated 4th June 2015 are quashed. MHADA is directed to de-club the combined premises and treat the Petitioner as a separate tenant. Rule is made absolute.
Law Points
- Article 226 of the Constitution of India
- Maharashtra Housing and Area Development Act 1976
- No Objection Certificate
- tenant rights
- redevelopment
- clubbing of premises
Case Details
2022 LawText (BOM) (01) 75
WRIT PETITION (L) NO. 19891 OF 2021
G.S. Patel, Madhav J Jamdar
Nikhil V Adkine (for petitioner), M.A. Sayed (for state/respondents 1-3), P.G. Lad with Aparna Kalathil, Sayli Apte, Prerana Dhoke (for respondent no.4)
State of Maharashtra & Ors
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Nature of Litigation
Writ petition under Article 226 of the Constitution of India seeking direction to delete clauses from NOC and to treat petitioner as separate tenant.
Remedy Sought
Direction to the 7th Respondent to delete Clause 25 of NOC dated 28th February 2011 and Clause 28 of revised NOC dated 4th June 2015, and to de-club combined premises and treat Petitioner as separate tenant.
Filing Reason
The NOC contained a condition that 22 private limited companies be treated as a single occupant, which the Petitioner contended was arbitrary and without legal basis.
Issues
Whether the condition in the NOC requiring 22 companies to be treated as a single occupant is arbitrary and liable to be quashed.
Submissions/Arguments
Petitioner argued that the condition was arbitrary and without legal basis as each company is a separate legal entity with distinct tenancy rights.
Respondents argued that the condition was necessary for smooth implementation of the redevelopment project.
Ratio Decidendi
The condition in the NOC requiring 22 separate private limited companies to be treated as a single occupant for redevelopment is arbitrary and has no legal basis. Each company is a separate legal entity with independent tenancy rights, and the condition cannot be sustained.
Judgment Excerpts
The Petitioner is a private limited company. In this Petition under Article 226 of the Constitution of India, it seeks a direction to the 7th Respondent, the Chief Officer of the Repair Board, to delete Clause 25 of the No Objection Certificate (“NOC”) dated 28th February 2011 and Clause 28 of a revised NOC dated 4th June 2015.
Clause 25 of this NOC says that the 22 different private limited companies shown as “newly inducted tenants/occupants” are to be treated as a single occupant.
Procedural History
The petition was filed on an unspecified date. Rule was issued and respondents waived service. By consent, the petition was taken up for hearing and final disposal. An Affidavit in Reply dated 31st December 2021 was filed by Nilesh B Suryawanshi on behalf of Respondents 4 to 7. The petition was heard and disposed of on 3rd January 2022.
Acts & Sections
- Constitution of India: Article 226
- Maharashtra Housing and Area Development Act, 1976:
