Bombay High Court
CAXTON HOUSE PROPERTIES PRIVATE LIMITEDversusTHE BOARD OF MUMBAI PORT AUTHORITY AND 2 ORS.
- Decided
- Disposal
- DISPOSED OFF
Holding
The Court held that the Compromise Proposal, as approved by the High Court and Supreme Court, is binding up to 31 March 2024 with a 4 % annual increase, and any post‑expiry revision must avoid rack‑renting.
Summary
The High Court heard Writ Petition No.3403 of 2023 filed by Caxton House Properties Pvt. Ltd. seeking a declaration that the rent rates fixed by the Mumbai Port Trust (MPT) under its Compromise Proposal are applicable to it up to 31 March 2024 with a 4 % annual increase, as endorsed by the Supreme Court in Jamshed Hormusji Wadia v. Board of Trustees of the Port of Mumbai & Anr. The Court noted that the reliefs sought are governed by its earlier judgment in WP No.3143/2022 and that the Compromise Proposal had been approved by both the High Court and the Supreme Court, subject to certain modifications. It held that the Port Authority may revise rents after the said period but must not engage in rack‑renting or profiteering, in line with the Apex Court’s observations. Consequently, the petition was made absolute in terms of the prayer clauses. All interim applications, if any, were disposed of.
Issues considered
- Whether the rent rates fixed under the MPT’s Compromise Proposal, as approved by the High Court and Supreme Court, are binding on the petitioner up to 31 March 2024.
- Whether the Port Authority is empowered to revise rent rates after that date, subject to the Supreme Court’s prohibition on rack‑renting.
- Whether the petitioner is entitled to a declaration affirming the applicability of the Compromise Proposal.
Subjects
- rent
- Compromise Proposal
- Port Authority
- rack‑renting
- declaration
- writ petition
- Supreme Court judgment
Judgment
902-WP-3403-2023.odt
rajshree
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
ORDINARY ORIGINAL CIVIL JURISDICTION
WRIT PETITION NO.3403 OF 2023
Caxton House Properties Pvt. Ltd. ....Petitioner
V/S
Board of Mumbai Port Authority & Ors. ....Respondents
Mr.Rajeev Waglay i/b Ms.Neha Pandya for the Petitioner.
Mr.Rahul Jain i/b ASA Advocate, for Respondent No.1.
Mr.R.S. Apte, Senior Advocate i/b Mr.Sagar Ambedkar a/
Ms.Disha Nidre for Respondent No.3.
CORAM : BHARATI DANGRE &
ASHISH S. CHAVAN, JJ
DATE : 3rd SEPTEMBER 2026
P.C. :
1 The respective counsel representing the Petitioner as well
as the Bombay Port Trust Authority are at ad idem that the
reliefs sought in the Petition filed in the year 2023 is governed by
the Judgment delivered on 25/08/2026 (WP NO.3143/2022
alongwith group of matters) to which one of us (Bharati Dangre,
J) is a party.
2 Perusal of the reliefs in the petition would reveal that the
Digitally signed
Petitioner seek declaration about rates of rent fixed by the MPT
RAJSHREE KISHOR
by RAJSHREE
MORE
KISHOR Date:
MORE 2026.09.03
18:22:12 +0530
1/2
902-WP-3403-2023.odt
under its Compromise Proposal which was upheld by the order of
the Apex Court in Jamshed Hormusji Wadia vs. The Board of
Trustees of the Port of Mumbai & Anr .1 being made applicable to
the Petitioner upto 31/03/2024 with 4% annual increase thereon
in October.
Since we have taken a view that the Compromise Proposal
which received its approval from the High Court as well as
subsequently by the Supreme Court subject to certain
modifications and pursuant thereto since by TR No.31/2004 , the
Port Authority also agreed to implement the decision of the
Hon’ble Apex Court and continue with the Compromise Proposal
till 31/03/2024, we have granted liberty to the Port Authority to
revise the rents on expiry of the said period, but subject to
observations made by the Hon’ble Apex Court in Jamshed Wadia
(supra) that there shall be no rack-renting/profiteering by the
Port Authority.
In the wake of the aforesaid, Writ petition is made absolute
in terms of prayer clause (a) and (b).
Pending Interim Application, if any, stand disposed of.
[ASHISH S. CHAVAN, J.] [BHARATI DANGRE, J.]
1 (2004)3 SCC 214
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