Bombay HC overturns Thane civic body's ruling on Sheth Developers
Real Estate

Bombay HC overturns Thane civic body's ruling on Sheth Developers

Recently, the Bombay High Court declared that Thane Municipal Corporation could not avail itself of the "considerable financial benefit" of receiving Rs 420 million from a builder, along with the builder's development of a public amenity (a fire brigade station), without honouring its commitment under a buy-back policy.

The High Court deemed the Corporation's refusal in July 2023 to grant the builder development permission, including additional developable space as per a 2020 regulation for its free-sale building, as "manifestly arbitrary." The rejection was based on the Corporation's claim that the buy-back policy (BBP) was temporarily suspended due to an inquiry initiated after a question was raised in the State legislative assembly regarding the policy in May.

Sheth Developers, the builder, contested the rejection in the High Court, asserting that it was arbitrary and violated principles of legitimate expectations and the doctrine of promissory estoppel (a legal principle ensuring the enforceability of a promise by law).

On November 1, the bench of Justices Gautam Patel and Kamal Khata stated that the rejection contravenes established legal principles concerning unreasonableness and the doctrine of proportionality in administrative action. It also fails to meet the "test of non-arbitrariness in administrative action mandated by Article 14 (right to equality)."

"Join industry leaders at RAHSTA Expo, India's premier platform for roads, highways and traffic infrastructure. Register now to explore innovations, network with experts and shape the future of mobility."

Recently, the Bombay High Court declared that Thane Municipal Corporation could not avail itself of the considerable financial benefit of receiving Rs 420 million from a builder, along with the builder's development of a public amenity (a fire brigade station), without honouring its commitment under a buy-back policy. The High Court deemed the Corporation's refusal in July 2023 to grant the builder development permission, including additional developable space as per a 2020 regulation for its free-sale building, as manifestly arbitrary. The rejection was based on the Corporation's claim that the buy-back policy (BBP) was temporarily suspended due to an inquiry initiated after a question was raised in the State legislative assembly regarding the policy in May. Sheth Developers, the builder, contested the rejection in the High Court, asserting that it was arbitrary and violated principles of legitimate expectations and the doctrine of promissory estoppel (a legal principle ensuring the enforceability of a promise by law). On November 1, the bench of Justices Gautam Patel and Kamal Khata stated that the rejection contravenes established legal principles concerning unreasonableness and the doctrine of proportionality in administrative action. It also fails to meet the test of non-arbitrariness in administrative action mandated by Article 14 (right to equality).

Next Story
Real Estate

Platinum Corp Launches Bespoke Presidential Suites

Platinum Corp has launched Platinum Stellar: Bespoke Presidential Suites, a luxury residential project on Main Avenue in Santacruz, Mumbai. The project has been positioned as a boutique, design-led development for high-net-worth individuals, business owners and legacy residents from the Bandra-Khar-Santacruz belt.The project has been developed in collaboration with celebrity interior designer Sussanne Khan and follows a design-first approach inspired by Art Deco architecture. It incorporates refined detailing, spacious layouts, premium material palettes and arrival experiences planned to creat..

Next Story
Infrastructure Transport

Adani Airport City Plans Rs 200 Bn Investment

Adani Airport City Limited (AACL), a wholly owned subsidiary of Adani Airport Holdings Limited (AAHL), has announced a programme to develop integrated airport cities across its airport network. The first phase will involve an investment of more than Rs 20,000 crore and cover around 22 million sq ft across Mumbai, Navi Mumbai, Ahmedabad, Lucknow, Jaipur and Guwahati.The development spans over 655 acres across six airports in five states. Nearly 440 acres are located in Mumbai and Navi Mumbai, which will receive close to 70 per cent of the planned investment. The focus reflects the Mumbai Metrop..

Next Story
Infrastructure Urban

Vedanta contributes Rs 627.22 billion to exchequer

Vedanta Limited contributed Rs 627.22 billion to the exchequer in FY26, according to its 11th Tax Transparency Report. The contribution accounted for 36 per cent of the company’s consolidated revenue from operations and reflected its focus on transparent governance, fiscal discipline and nation-building.The FY26 contribution marked a 13.3 per cent increase over the previous year. Vedanta’s cumulative contribution to the exchequer over the past decade reached Rs 4.83 trillion. The company said the Group ranks among India’s top three private-sector contributors to the national exchequer.Th..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement