Bombay High Court Allows Developer's Writ Petition for TDR Against Construction of Development Plan Road. Municipal Corporation's Rejection of TDR Application Set Aside as Unreasonable and Contrary to Development Control Regulations.

High Court: Bombay High Court Bench: BOMBAY In Favour of Accused
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Case Note & Summary

The petitioner, M/s. Siddhi Real Estate Developers, a partnership firm, constructed a development plan road at its own cost within the limits of Thane Municipal Corporation. The road was part of the development plan and was constructed after obtaining necessary permissions. The petitioner applied for Transferable Development Rights (TDR) in the form of Floor Space Index (FSI) as per the Development Control Regulations for Thane Municipal Corporation, 1995. The Assistant Director of Town Planning (Respondent No.3) rejected the application by orders dated 30th May 2014 and 8th March 2016, on the ground that the road was not part of a layout or subdivision. The petitioner challenged these orders by way of a writ petition under Article 226 of the Constitution of India. The High Court examined the relevant regulations and found that there was no requirement that the road must be part of a layout or subdivision. The Court held that the construction of any amenity as per the development plan, including a road, entitles the developer to TDR. The rejection was arbitrary and unreasonable. The Court allowed the petition, quashed the impugned orders, and directed the respondents to grant TDR to the petitioner within a specified period.

Headnote

A) Municipal Law - Transferable Development Rights - Entitlement to TDR for Construction of Amenity - Development Control Regulations for Thane Municipal Corporation, 1995 - The petitioner constructed a development plan road at its own cost and sought TDR. The Corporation rejected the application on the ground that the road was not part of a layout or subdivision. The Court held that the Regulations do not require the road to be part of a layout; any construction of a public amenity as per the development plan entitles the developer to TDR. The rejection was arbitrary and unreasonable. (Paras 1-20)

B) Constitutional Law - Writ of Mandamus - Duty of Public Authority - Article 226 of the Constitution of India - The Court held that when a developer fulfills the conditions prescribed under the Regulations, the municipal authority is bound to grant TDR. Failure to do so amounts to a violation of fundamental rights and warrants a writ of mandamus. (Paras 21-30)

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Issue of Consideration

Whether the petitioner is entitled to TDR in the form of FSI against the construction of a development plan road at its own cost, and whether the impugned orders rejecting the TDR application are valid.

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Final Decision

The Court allowed the writ petition, quashed the impugned orders dated 30th May 2014 and 8th March 2016, and directed the respondents to grant TDR to the petitioner within a period of eight weeks from the date of the judgment.

Law Points

  • Development Control Regulations
  • Transferable Development Rights
  • Amenity Construction
  • Writ of Mandamus
  • Article 226
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Case Details

2019:BHC-AS:8996-DB

WRIT PETITION NO. 7204 OF 2016

2019-03-15

S. C. DHARMADHIKARI, B. P. COLABAWALLA

2019:BHC-AS:8996-DB

Mr.P.K.Dhakephalkar, Mr.Aseem Naphade, Mr.Pratik Kothari, Mr.Saurabh Oka, Mr.Ram S. Apte, Mr.Ajit Ram Pitale, Ms.M.P.Thakur

M/s. Siddhi Real Estate Developers

The State of Maharashtra, Thane Municipal Corporation, The Asstt. Director of Town Planning, Thane Municipal Corporation, The Municipal Commissioner Thane Municipal Corporation

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Nature of Litigation

Writ petition seeking mandamus for grant of TDR and certiorari to quash orders rejecting TDR application.

Remedy Sought

Direction to respondents to grant TDR in the form of FSI against construction of development plan road, and quashing of orders dated 30.05.2014 and 08.03.2016.

Filing Reason

Rejection of TDR application by the Assistant Director of Town Planning on the ground that the road was not part of a layout or subdivision.

Previous Decisions

Orders dated 30th May 2014 and 8th March 2016 passed by Respondent No.3 rejecting the TDR application.

Issues

Whether the petitioner is entitled to TDR for constructing a development plan road at its own cost. Whether the impugned orders rejecting TDR are valid and reasonable.

Submissions/Arguments

Petitioner argued that the road was constructed as per the development plan and all conditions were fulfilled, entitling it to TDR under the Regulations. Respondents argued that the road was not part of a layout or subdivision and hence TDR could not be granted.

Ratio Decidendi

The Development Control Regulations do not require that a road must be part of a layout or subdivision for entitlement to TDR. Any construction of a public amenity as per the development plan entitles the developer to TDR. The rejection of the application was arbitrary and unreasonable.

Judgment Excerpts

By this writ petition under Article 226 of the Constitution of India, the petitioner is seeking a writ of mandamus or writ, order or direction in the nature thereof directing the respondents to grant a TDR in the form of FSI against development or construction by the petitioner, at its own cost, of an amenity styled as development plan road. The Court held that the Regulations do not require the road to be part of a layout; any construction of a public amenity as per the development plan entitles the developer to TDR.

Procedural History

The petitioner applied for TDR after constructing a development plan road. The Assistant Director of Town Planning rejected the application on 30th May 2014 and again on 8th March 2016. The petitioner then filed the present writ petition in the High Court.

Acts & Sections

  • Constitution of India: Article 226
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