Bombay High Court
ASHWIN ASHARA AND ANR.versusTHE MUNICIPAL CORPORATION OF GREATER MUMBAI AND 5 ORS.
- Decided
- Disposal
- DISPOSED OFF
Holding
The Court held that the writ petition is not maintainable because the dispute is purely private and does not involve any public duty, thus the petition is dismissed.
Summary
The petitioners, a husband‑wife duo, owned flats in a co‑operative housing society that underwent redevelopment. After refusing to vacate, they were compelled by an arbitration order to hand over possession, and the redevelopment was completed with other members taking possession of new units. The petitioners allege fraud, misappropriation of funds, and that the redeveloped flats provide less carpet area and amenities than promised, seeking additional area and compensation from the developer. The respondents argued that the dispute is a private contractual matter and not amenable to writ jurisdiction under Article 226. The Court held that the petition is not maintainable as it seeks civil relief against a private developer, lacking any public law element, and therefore dismissed the writ petition. No costs were awarded.
Issues considered
- Whether a writ petition under Article 226 is maintainable for a private contractual dispute arising from a redevelopment agreement.
- Whether the presence of municipal authorities as respondents converts a private dispute into a public law matter.
- Whether the petitioners can claim additional area and compensation through writ jurisdiction instead of ordinary civil remedies.
Legislation cited
- Arbitration and Conciliation Act, 1996 — s. 37, 9
Subjects
- Writ jurisdiction
- Article 226
- Private contract
- Redevelopment agreement
- Arbitration
- Civil remedy
- Co-operative housing society
- Municipal corporation
Judgment
WP-1251-2024 Judgment.GA.doc
Digitally
signed by
GAURI GAURI AMIT
GAEKWAD
AMIT Date:
GAEKWAD 2026.10.09 Gauri Gaekwad
15:36:23
+0530
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
ORDINARY ORIGINAL CIVIL JURISDICTION
WRIT PETITION NO. 1251 OF 2024
1. ASHWIN ASHARA,
An adult Indian inhabitant, Member of
Respondent No.5 in Respect of Flat
No.B-19, 1st Floor, Bhanujyoti
Co-operative Housing Society Limited,
Kisanlal Nivetia Road, Ranisati Marg,
Malad (East), Mumbai – 400 097.
2. DAKSHA ASHWIN ASHARA,
An adult Indian inhabitant, Member of
Respondent No.5 in Respect of Flat
No.B-20, 1st Floor, Bhanujyoti
Co-operative Housing Society Limited,
Kisanlal Nivetia Road, Ranisati Marg,
Malad (East), Mumbai – 400 097. …PETITIONERS
~ versus ~
1. THE MUNICIPAL CORPORATION
OF GREATER MUMBAI,
A Corporation Body having office at
Mahapalika Marg, Mumbai – 400 001.
2. ASST. MUNICIPAL
COMMISSIONER (WARD OFFICER)
P NORTH WARD,
Having its office at Liberty Garden
Mamletdarwadi Marg, Malad (West),
Mumbai – 400 064.
3. ASST. ENGINEER (BUILDING &
PROPOSAL), ‘P’ WARD
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Having its office at W.S./II, 2nd Floor,
“C” Wing, Municipal Office Bldg.,
90 Road, Nr. Sanskruti Complex,
Thakur Complex, Kandivali (East),
Mumbai – 400 101.
4. NAMO REALTY VENTURES LLP,
A Limited Liability Partnership
Company incorporated under the
Provisions of Limited Liability
Partnership Act 2008, having its
Address at 1A & 2, Panchvati, nearby
Anandavan Ashram, S.V. Road,
Kandivali (West), Mumbai – 400 067.
5. BHANUJYOTI CO-OPERATIVE
HOUSING SOCIETY LIMITED,
A Society Registered under the
Provision of the Maharashtra
Co-operative Societies Act 1960, Its
having address at Kisanlal Nivetia
Road, Ranisati Marg, Malad (East),
Mumbai – 400 097.
6. M/S. KABRA & ASSOCIATES,
Having office at 10th Floor, Kamla
Hub, N.S. Road No.1, J.V.P.D. Scheme,
Vile Parle (West), Mumbai – 400 049. …RESPONDENTS
APPEARANCE
For the Petitioner Mr. Rajesh Kachare a/w.
Mr. Vincent D’silva and Mr. Sujit
Mane.
For Respondent Nos.1 to 3 Mr. Arvind T. Rathod i/b.
Ms. Komal Punjabi.
For Respondent No.4 Mr. Amanjhot Anand a/w.
Mr. Vasim Shaikh i/b. Pravin Mehta
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and Mithi Co.
For Respondent No.5 Ms. Vaishali Sanghvi
CORAM : SUMAN SHYAM &
GAUTAM A. ANKHAD, JJ.
RESERVED ON : 5TH OCTOBER 2026.
PRONOUNCED ON : 9TH OCTOBER 2026.
JUDGMENT (Per Gautam Ankhad, J):-
1. The Petitioners are husband and wife and were owners of Flat
Nos.B-19 and B-20 on the 1st Floor of the erstwhile building of
Respondent No.5-Society prior to redevelopment. By the present
Petition, the Petitioners seek a Writ of Certiorari, against
Respondent No.4-Developer, for an additional area allegedly
promised to them in the redeveloped building, together with
compensation/damages for the alleged failure to provide such
additional area.
2. The facts in a nutshell are that a registered Redevelopment
Agreement dated 16th September, 2021 was executed between
Respondent No.4-Developer, Respondent No.5-Society and 46 out
of 48 of its members for the redevelopment of the dilapidated
building. The Petitioners were the only two members who opposed
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the redevelopment. Since the Petitioners were not vacating their
premises, Respondent No.4 initiated proceedings under Section 9 of
the Arbitration and Conciliation Act, 19961, seeking a direction
against the Petitioners to vacate and hand over possession of their
respective units to facilitate redevelopment. This relief was granted
by a learned Single Judge on 21st March, 2022, and the Petitioners
were directed to hand over the units for redevelopment. The order
also records the conduct of the Petitioners during those proceedings,
including their refusal to accept service. The Petitioners thereafter
preferred an Appeal2 under Section 37 of the Act before the
Division Bench, which came to be dismissed as withdrawn on
21st April, 2022. The redevelopment was completed on 28 th October,
2024 and an Occupation Certificate has been issued in respect of
the new building. All members of Respondent No.5-Society, except
the Petitioners, have taken possession of their respective new units.
3. Mr. Kachare, learned counsel for the Petitioners, submits that
there has been large-scale fraud and misappropriation of funds in
the redevelopment. Respondent Nos.4 and 5 have failed to furnish
relevant documents, thereby prejudicing the Petitioners’ rights to
1. Arbitration Petition No.30 of 2022
2. Appeal (Stamp) No.12066 of 2022
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their property. According to the Petitioners, although the
redevelopment is now complete, they have learnt from other
members of the Society that the carpet area of the newly
constructed flats is less than the area offered by Respondent No.4
under the Redevelopment Agreement. The promised amenities and
car parking spaces have not been provided in accordance with the
agreed terms. The Petitioners therefore seek additional area and
compensation from Respondent No.4. Since their objections/claims
have not been considered by any of the Respondents, the Petitioners
have filed this Petition. In support of the above submissions,
Mr. Kachare relies upon the judgment of the Hon’ble Supreme
Court in Hari Krishna Mandir Trust v/s. State of Maharashtra and
Ors.3 and Rajani Dattaram Tanawade and Ors. v/s. Municipal
Corporation of Greater Mumbai and Ors.4.
4. On the other hand, Mr. Anand, learned counsel for
Respondent No.4, submits that the Petition is misconceived and
seeks to convert a civil dispute arising out of a Redevelopment
Agreement into a proceedings under Article 226 of the Constitution
of India. The Petitioners’ grievance concerning additional area,
3. (2020) 9 SCC 356
4. 2023 SCC OnLine Bom 2313
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amenities, parking, rent and compensation are all matters
concerning the redevelopment. The Petitioners have neither
challenged the Redevelopment Agreement nor any of the
resolutions passed by the General Body of the Society. Thus, the
mere presence of a public authority as a party does not, by itself,
transform a private dispute into a public law dispute. In any case,
there is no allegation of breach of any statutory provision or
statutory duty by Respondent Nos.1 to 3 and, consequently, no
public law element is involved in this case. The Respondent No.4
has also issued cheques towards transit rent, which the Petitioners
have not encashed. It is therefore submitted that the claims for
compensation and rent/charges are without merit and cannot be
adjudicated by a Writ Court. Reliance is placed on the judgments of
the Hon’ble Supreme Court in Praga Tools Corporation v/s. C.A.
Imanual and Ors.5 for dismissal of the Petition.
5. Mr. Rathod and Ms. Sanghvi, learned counsels for
Respondent Nos.1 to 3 and Respondent No.5 respectively, adopt the
submissions advanced on behalf of Respondent No.4 and also seek
dismissal of the Petition.
5. (1969) 1 SCC 585
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6. We have considered the record and heard the learned counsel
for the parties. In our view, the present Petition seeking a Writ of
Certiorari is not maintainable. Assuming that the Petitioners seek
“any other appropriate Writ”, even then this Petition is not
maintainable. The substance of the reliefs sought by the Petitioners
is additional area and a claim for compensation/damages against
Respondent No.4-Developer in the course of a private
redevelopment undertaken by Respondent No.5-Society. In these
circumstances, a Writ of Mandamus would not lie against a private
person, who is not discharging any public duty. The Writ
jurisdiction cannot be invoked as a substitute for an ordinary civil
remedy for adjudication of private claims relating to additional area,
parking, amenities etc. The fact that Respondent Nos.1 to 3 are
municipal authorities does not alter this position. Their mere
impleadment in this Petition does not create a public law element,
more so, since the relief prayed for is exclusively against the
Developer-Respondent No.4. In fact it is not even the Petitioners’
case that Respondent Nos.1 to 3 have acted in violation of any
statutory provision. On this ground alone, this Petition cannot be
entertained.
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7. Mr. Anand’s reliance on the judgment of the Hon’ble
Supreme Court in Praga Tools Corporation (supra) is well placed,
wherein the Hon’ble Court has held that where the dispute is rooted
in a private contract and no element of public law is involved, the
party must pursue its ordinary civil remedies and cannot be
permitted to invoke the Writ jurisdiction as a substitute for a civil
claim.
8. The judgments relied upon by the learned counsel for the
Petitioners do not apply in the present case as there is neither failure
to perform statutory duty by State authorities nor is there any public
law element involved. As regards the judgment of the Hon’ble
Supreme Court in Hari Krishna Mandir Trust (supra), the decision
reiterates that the jurisdiction under Article 226 is wide and that
disputed questions of fact do not, by themselves, constitute an
absolute bar to the exercise of Writ jurisdiction. However, the
existence of jurisdiction does not mean that it must be exercised in
every case. The Writ Court is required to consider the nature of the
right asserted, the duty sought to be enforced, the character of the
dispute and the availability of an efficacious remedy.
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In the present case, the Petitioners effectively seek
damages/compensation from a private Developer. Hence the said
judgment has no application in the facts of the present case.
9. The reliance placed by Mr. Kachare on Rajani Dattaram
Tanawade (supra), in support of the submission regarding 35%
fungible FSI, also does not advance the Petitioners’ case. The facts
therein are distinguishable as the Developer therein had sought to
appropriate the fungible FSI towards common areas. In this case,
the Petitioners have not challenged either the Redevelopment
Agreement or the resolutions of the General Body pursuant to
which the redevelopment was undertaken. The Agreement has been
acted upon, the construction has been completed, the Occupation
Certificate has been issued and the other members have taken
possession.
10. We also note that the Petitioners have admitted in paragraph
24 and at ground (e) of the Petition, that they had suggested some
other builders for the purpose of redevelopment, but Respondent
No.5 failed to consider the same. No explanation is forthcoming as
to why the Petitioners did not pursue civil remedies to agitate their
rights.
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11. From the pleadings in the Petition and the arguments
advanced before us, we find that the dispute is of private nature and
cannot be agitated in a Writ Petition. Hence, we find no merit and
Writ Petition is dismissed.
12. Rule is discharged.
13. There shall be no order as to costs.
(GAUTAM A. ANKHAD, J.) (SUMAN SHYAM, J.)
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