Case Note & Summary
The petitioner, Galore Developers Private Limited, entered into an agreement on 23 March 2010 with the Solapur Municipal Corporation (respondent nos.1 and 2) to develop a plot owned by the corporation, with development rights granted to the petitioner. On 24 December 2018, the corporation granted permission to develop the property subject to certain conditions. Subsequently, the corporation issued a notice dated 2 September 2022 under Section 51 of the Maharashtra Regional Town Planning Act, 1966 (MRTP Act), alleging breach of conditions, and also issued letters dated 19 September 2022 (Exhibits L, N, and O) directing the petitioner to stop development and informing other authorities. The petitioner challenged these actions by filing a writ petition under Article 226 of the Constitution of India, seeking quashing of the notice and letters. The legal issue was whether a Section 51 notice could be issued after the development permission had lapsed. The court held that once the permission lapses, the power under Section 51 cannot be exercised for alleged breach of conditions, as the permission no longer exists. The court also held that the petitioner's rights under the development agreement were not extinguished by the lapse of permission. The court quashed the notice and letters, allowing the petition.
Headnote
A) Town Planning - Section 51 Notice - Lapse of Permission - Maharashtra Regional Town Planning Act, 1966, Section 51 - The court considered whether a notice under Section 51 can be issued for alleged breach of conditions after the development permission had lapsed. Held that once the permission lapses, the power under Section 51 cannot be exercised for breach of conditions, as the permission ceases to exist. (Paras 1-4) B) Development Rights - Vested Rights - Lapse of Permission - Maharashtra Regional Town Planning Act, 1966 - The petitioner had entered into a development agreement with the municipal corporation and obtained permission, which later lapsed. The court held that the lapse of permission does not extinguish the petitioner's rights under the development agreement, and the corporation cannot use Section 51 to defeat those rights. (Paras 1-4)
Issue of Consideration
Whether a notice under Section 51 of the Maharashtra Regional Town Planning Act, 1966 can be issued for alleged breach of conditions after the development permission has lapsed, and whether the petitioner's rights under a development agreement are affected by such lapse.
Final Decision
The court allowed the petition, quashing the notice dated 2 September 2022 under Section 51 of the MRTP Act and the letters dated 19 September 2022 (Exhibits L, N, and O). Rule made absolute.
Law Points
- Section 51 MRTP Act cannot be invoked after permission has lapsed
- Development rights under agreement not extinguished by lapse of permission
- Writ of certiorari lies against ultra vires notice
