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Bombay High Court

M/S. TIMA HOSPITAL THRU. TRUSTEEversusTHE STATE OF MAHARASHTRA THRU. SECRETARY AND ORS

Decided
Disposal
Disposed Off

Holding

The Court ordered the State to restore possession of the hospital premises within four weeks and allowed the petitioner to pursue the arbitration and interim compensation claims before the competent authority.

Summary

M/s. Tima Hospital filed a writ petition seeking restoration of its premises that were requisitioned by the State of Maharashtra on 17 March 2020, along with compensation for unlawful occupation. The petition prayed for a writ of mandamus to restore possession, appointment of a sole arbitrator under Section 66(2) of the Disaster Management Act to determine compensation, and payment of mesne profits. The State, through its Government Pleader, agreed to the restoration but sought time to consider the other reliefs. The Court, after hearing counsel, directed the State to restore vacant and peaceful possession of the hospital premises within four weeks. It also permitted the petitioner to pursue the arbitration and interim compensation claims before the competent authority, leaving those matters to be decided later. Accordingly, the writ petition was disposed.

Issues considered

  • Whether the State must restore possession of the hospital premises requisitioned on 17 March 2020.
  • Whether the State is required to appoint a sole arbitrator under Section 66(2) of the Disaster Management Act to determine compensation.
  • Whether the petitioner is entitled to mesne profits or interim compensation pending final determination.

Legislation cited

Subjects

  • writ of mandamus
  • restoration of possession
  • arbitration
  • compensation
  • mesne profits
  • Disaster Management Act
  • hospital requisition
  • civil procedure

Judgment

                                                                                           5-WP.15614.2025.doc

        Salunke
                                 IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                                         CIVIL APPELLATE JURISDICTION
           Digitally
           signed by

JAYANT
           JAYANT
           VISHWANATH
VISHWANATH SALUNKE
SALUNKE    Date:
                                          WRIT PETITION NO. 15614 OF 2025
           2026.09.16
           10:40:18
           +0530




                        M/s. Tima Hospital                             }     Petitioner
                             Versus
                        The State of Maharashtra & Ors.                }     Respondents


                        Mr. Hitesh Dabhi, Advocate for the Petitioner.

                        Ms. Neha S. Bhide, Government Pleader with Mr. P. P.
                        Kakade, Additional Government Pleader and Ms. P. N.
                        Diwan, AgP for Respondent-State.


                                      CORAM : MAHESH CHANDRA TRIPATHI, CJ. &
                                              ADVAIT M. SETHNA, J.

                                      DATE      : 11th SEPTEMBER, 2026

                        P.C.:
                        1.      We have heard the learned counsel for the Petitioner and the
                        learned Government Pleader on behalf of the State Respondents.

                        2.      The instant Petition is preferred, inter alia, seeking the
                        following reliefs: -

                                “a.   Issue a writ of Mandamus or a Writ in the nature of Mandamus
                                or any other appropriate writ, order, or direction, directing the
                                Respondents to:
                                     (i)     Immediately restore vacant and peaceful physical
                                     possession of the said Hospital Premises, i.e., TIMA Hospital at
                                     Plot No. P-126, MIDC, Khairapathak, Saravali, Boisar, Taluka
                                     Palghar, Maharashtra-401 501, to the Petitioner, free from all
                                     encumbrances and in the same condition as at the time of
                                     requisition, within a time-bound period as may be fixed by this
                                     Hon’ble Court;
                                     (ii)   Forthwith Direct the Respondent no. 1 and 2 to appoint a
                                     Sole Arbitrator under Section 66(2) of the DM Act, to adjudicate
                                     the dispute regarding the quantum of compensation payable to
                                     the Petitioner for the entire period of unlawful occupation (from
                                     17th March, 2020 of TIMA Hospital till actual restoration of

                                                                1
                                                                    5-WP.15614.2025.doc


            possession), including claims for rent, damages, losses, and
            interest @ 18% per annum;
            (iii)   Pay the mesne profits or ad-hoc interim compensation to
            the Petitioner 50% of the amount of Proforma Invoice at Ex. E per
            month plus 18% GST from the date of filing of this Petition itll the
            date of actual handover of possession of the TIMA Hospital,
            pending final determination by the Arbitrator.”

3.     At the outset, the learned Government Pleader appearing on
behalf of the State submits, on instructions, that as the State is
agreeing with the first relief, sufficient time may be accorded to
finalize the said proceedings. Secondly, qua the second and the
third reliefs, she submits that the same would be considered at the
appropriate stage.

4.     Considering the facts and circumstances of the case and in
the light of the statements made by the learned Government
Pleader, we expect the Competent Authority to take a call qua the
first relief within a period of four weeks from today.

5.     The Petitioner is granted liberty to press the second and the
third reliefs before the Competent Authority in accordance with law.
In case the Petitioner is aggrieved, it is at liberty to invoke the
Arbitration clause in accordance with law.

6.     With the aforesaid observations, the Writ Petition is disposed
of.



     [ADVAIT M. SETHNA, J.]                               [CHIEF JUSTICE]




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