Bombay High Court Hears Appeal Against Dismissal of Notice of Motion in MOFA-MMRDA Dispute. Flat Purchasers Claimed MOFA Rights on Land Owned by MMRDA and Leased to Developer, Which Respondents Disputed as Excluded Under MMRDA Act.

High Court: Bombay High Court Bench: BOMBAY
  • 5
Judgement Image
Font size:
Print

Case Note & Summary

This appeal before the Bombay High Court arose from the dismissal of a Notice of Motion by a learned Single Judge in a suit concerning a plot of land at Amrut Nagar, Bandivali Village, Jogeshwari (West), Mumbai. The appellants, numbering 98, included 97 individual flat purchasers and a welfare association of flat owners in a building known as Universal Garden – I. The first respondent was a private limited company developer formerly known as A. Surti Developers Pvt. Ltd., along with its directors as respondents 2 to 7, and the Mumbai Metropolitan Region Development Authority as respondent 8. The dispute centred on the applicability of the Maharashtra Ownership Flats (Regulation of Promotion of Construction, Sale, Management and Transfer) Act, 1963 (MOFA) to the suit plot, which was owned by MMRDA and leased to the developer. The appellants claimed statutory rights under MOFA as purchasers of flats in the building constructed on the plot. The respondents, particularly the developer and MMRDA, argued that the provisions of MOFA were expressly excluded in respect of any land or building belonging to or vesting in MMRDA under the Mumbai Metropolitan Region Development Authority Act, 1974. The learned Single Judge dismissed the appellants' Notice of Motion by a common order dated 25 November 2020, prompting the present appeal. The appeal challenged the dismissal of the interim application and sought enforcement of the claimed MOFA rights. The High Court bench of S.J. Kathawalla and Milind N. Jadhav, JJ. heard the matter and reserved judgment on 27 October 2021, later pronouncing it on 17 March 2022. The excerpt provided ends with the introductory paragraphs, and the final decision and detailed reasoning are not included in the available text. Therefore, the ultimate outcome, ratio decidendi, and operative directions cannot be extracted from the provided portion.

Headnote

A) Statutory Interpretation - Applicability of MOFA to MMRDA Land - Interplay between MOFA and MMRDA Act - Maharashtra Ownership Flats (Regulation of Promotion of Construction, Sale, Management and Transfer) Act, 1963; Mumbai Metropolitan Region Development Authority Act, 1974 (specific sections not mentioned) - The appeal arose from dismissal of Notice of Motion by the learned Single Judge; appellants claimed statutory rights under MOFA in respect of a plot owned by MMRDA and leased to the developer; respondents contended MOFA is expressly excluded for land or building belonging to or vesting in MMRDA. Held that the matter required examination of the statutory interplay and exclusionary provisions (Paras 1-6).

B) Interim Relief - Dismissal of Notice of Motion - Challenge to Single Judge Order - Maharashtra Ownership Flats (Regulation of Promotion of Construction, Sale, Management and Transfer) Act, 1963; Mumbai Metropolitan Region Development Authority Act, 1974 (specific sections not mentioned) - The appellants challenged the common order dated 25 November 2020 dismissing Notice of Motion No.1358 of 2019; the appeal was directed against the dismissal of the interim application and required consideration of whether interim relief should be granted pending suit. Held that the appeal was maintainable and required adjudication on the interim relief claim (Paras 1-6).

Subscribe to unlock Headnote Subscribe Now

Issue of Consideration

Whether the provisions of the Maharashtra Ownership Flats (Regulation of Promotion of Construction, Sale, Management and Transfer) Act, 1963 apply to the Suit Plot owned by MMRDA and leased to the Developer, and whether the MMRDA Act expressly excludes MOFA in respect of land or building belonging to or vesting in MMRDA

Subscribe to unlock Issue of Consideration Subscribe Now

Law Points

  • Maharashtra Ownership Flats (Regulation of Promotion of Construction
  • Sale
  • Management and Transfer) Act
  • 1963 confers statutory rights on flat purchasers
  • Mumbai Metropolitan Region Development Authority Act
  • 1974 may exclude application of MOFA to land or building belonging to or vesting in MMRDA
  • appeal involves statutory interpretation of interplay between MOFA and MMRDA Act
Subscribe to unlock Law Points Subscribe Now

Case Details

2022 LawText (BOM) (03) 53

Appeal (L) No.8104 of 2020 in Interim Application (L) No.3986 of 2020 with Notice of Motion No.1358 of 2019 in Suit No.610 of 2019

2022-03-17

S.J. Kathawalla, Milind N. Jadhav

Mr. Karl Tamboly with Mr. Aseem Naphade, Mr. Ajay Panicker, Mr. Akshay Patil i/by Ajay Law Associates, for Appellants; Mr. J.P.Sen, Senior Advocate with Mr. Firoz Bharucha i/by Mr. Yatin Nagin Shah, Mr. Sampat Chhawchharia, for Respondent No.1; Mr. Sharan Jagtiani, Senior Advocate with Mr. Udayan Shah, Mr. Priyank Kapadia, Ms. Shradha Achliya, Mr. Akshay Shinde i/by Mr. Akshay Shinde, for Respondent No.8 – MMRDA; Mr. Rohaan Cama, Amicus Curiae with Mr. Shanay Shah

Shahed Kamal, Amanullah Ishak Ghojaria, Abdul Razik Siddique, and 94 other flat purchasers; Universal Garden - I Flat Owners Welfare Association

Pagarani Universal Infrastructure Private Limited (formerly A. Surti Developers Pvt. Ltd.); Narayan Jethanand Pagrani; Narendra Narayan Pagrani; Meena Narayan Pagrani; Rajesh Narayan Pagrani; Arvindbhai Chhaganbhai Surti; Yogesh Arvindbhai Surti; Mumbai Metropolitan Region Development Authority (MMRDA)

Subscribe to unlock Case Details (Citation, Judge, Date & more) Subscribe Now

Nature of Litigation

Civil appeal from order dismissing Notice of Motion; dispute over applicability of MOFA to plot owned by MMRDA and leased to developer; flat purchasers claiming MOFA rights

Remedy Sought

Appellants seek enforcement of statutory rights under MOFA on the Suit Plot and challenge dismissal of Notice of Motion by learned Single Judge

Filing Reason

Learned Single Judge dismissed Notice of Motion No.1358 of 2019 by common order dated 25 November 2020, prompting the appeal

Previous Decisions

Learned Single Judge dismissed Notice of Motion No.1358 of 2019 by common order dated 25 November 2020

Issues

Whether MOFA applies to Suit Plot owned by MMRDA and leased to Developer Whether provisions of MOFA are expressly excluded for land or building belonging to or vesting in MMRDA under MMRDA Act

Submissions/Arguments

Appellants claimed statutory rights under MOFA on the Suit Plot as purchasers of flats in Universal Garden-I Respondents contended that MOFA is expressly excluded in respect of land or building belonging to or vesting in MMRDA under the MMRDA Act

Judgment Excerpts

The challenge in the present Appeal is based on the interplay between two statutes viz. the Maharashtra Ownership Flats (Regulation of Promotion of Construction, Sale, Management and Transfer) Act, 1963 ('MOFA') and the Mumbai Metropolitan Region Development Authority Act, 1974 ('MMRDA Act'). The Respondent No.1/Original Defendant No.1, being the Developer, and Respondent No.8/Original Defendant No.8 i.e. Mumbai Metropolitan Region Development Authority ('MMRDA'), dispute these rights inter alia on the basis that the provisions of MOFA are expressly excluded in respect of any land or building belonging to or vesting in MMRDA.

Procedural History

Suit No.610 of 2019 was filed by the original plaintiffs. Notice of Motion No.1358 of 2019 was taken out. By common order dated 25 November 2020, the learned Single Judge dismissed the Notice of Motion. The appellants filed Appeal (L) No.8104 of 2020 in Interim Application (L) No.3986 of 2020 challenging the dismissal. The appeal was heard and reserved on 27 October 2021, and judgment was pronounced on 17 March 2022.

Acts & Sections

  • Maharashtra Ownership Flats (Regulation of Promotion of Construction, Sale, Management and Transfer) Act, 1963:
  • Mumbai Metropolitan Region Development Authority Act, 1974:
  • Societies Registration Act, 1860:
  • Companies Act, 1956:
Subscribe to unlock full Legal Analysis Subscribe Now
Related Judgement
High Court Bombay High Court Hears Public Interest Litigation Challenging Amendment to Maharashtra Legislative Assembly Rules for Speaker Election — Preliminary Objections on Maintainability, Delay, Locus Standi and Privileges Raised by State. Amendment Chang...
Related Judgement
High Court Bombay High Court Hears Appeal Against Dismissal of Notice of Motion in MOFA-MMRDA Dispute. Flat Purchasers Claimed MOFA Rights on Land Owned by MMRDA and Leased to Developer, Which Respondents Disputed as Excluded Under MMRDA Act.