Case Note & Summary
The petitioner, Urban Township Pvt. Ltd., a company incorporated under the Companies Act, 1956, owned two parcels of land admeasuring 4907 sq.mtrs. and 11037 sq.mtrs. out of Survey Nos.2-3/1 and 2-3/4 of Mouza Chikhli, Nagpur. These lands were reserved for a Primary School in the revised Development Plan for Nagpur City under Reservation Nos.MN 92 and N 139. The petitioner filed a writ petition seeking a declaration that the reservation had lapsed under Section 127 of the Maharashtra Regional and Town Planning Act, 1966 (MRTP Act) and for issuance of a notification under Section 127(2) to that effect. The factual background is that the revised Development Plan came into force on a date not specified in the judgment, but the petitioner contended that more than ten years had elapsed since the reservation was imposed, and the Nagpur Municipal Corporation (respondent nos.1 and 2) had not taken any steps for acquisition of the land. The legal issue was whether the reservation had lapsed due to non-compliance with the time limit under Section 127 of the MRTP Act. The petitioner argued that the Corporation failed to acquire the land within the statutory period, and therefore the reservation stood lapsed. The respondents contended that steps were taken, but the Court found no evidence of any purchase, acquisition, or initiation of proceedings under the Land Acquisition Act within the prescribed period. The Court analyzed Section 127 of the MRTP Act, which provides that if land reserved for a public purpose is not acquired within ten years from the date of the publication of the draft Development Plan, the reservation lapses, and the landowner is entitled to a declaration to that effect. The Court held that the Corporation had not taken any steps for acquisition, and the mere inclusion of the land in the Development Plan did not constitute a step for acquisition. Consequently, the Court allowed the petition, declared that the reservation had lapsed, and directed the respondents to issue a notification under Section 127(2) of the MRTP Act within a specified period. The decision was in favor of the petitioner, who was the landowner.
Headnote
A) Town Planning - Reservation Lapsing - Section 127 MRTP Act - Time Limit for Acquisition - The petitioner sought declaration that reservation of its land for Primary School had lapsed under Section 127 of the Maharashtra Regional and Town Planning Act, 1966, as the Nagpur Municipal Corporation failed to acquire the land within ten years from the date of the revised Development Plan. The Court held that since no steps for acquisition were taken within the statutory period, the reservation stood lapsed, and the petitioner was entitled to a declaration and notification under Section 127(2). (Paras 1-10) B) Town Planning - Section 127 MRTP Act - Failure to Take Steps - The Court examined whether the Corporation had taken any steps for acquisition of the reserved land. It found that no purchase, acquisition, or proceedings under the Land Acquisition Act were initiated within the prescribed period. The Court held that mere inclusion in the Development Plan does not constitute a step for acquisition, and the reservation lapses automatically after the expiry of the period. (Paras 5-9)
Issue of Consideration
Whether the reservation of the petitioner's land for Primary School under the Development Plan has lapsed under Section 127 of the MRTP Act due to the failure of the Nagpur Municipal Corporation to take steps for acquisition within the prescribed period.
Final Decision
The Court allowed the petition, declared that the reservation of the petitioner's land for Primary School under Reservation Nos.MN 92 and N 139 had lapsed under Section 127 of the MRTP Act, and directed the respondents to issue a notification under Section 127(2) of the MRTP Act within a specified period.
Law Points
- Reservation lapsing under Section 127 MRTP Act
- Time limit for acquisition
- Failure to take steps for acquisition
- Declaration of lapsing
- Notification under Section 127(2)




