Lapse of DP Reservation under Section 127 MRTP Act
Judgment dated 30.6.2026 of the High Court of Bombay in Writ Petition No.2732 of 2023 of Lilabai Vasantrao Hiray and others Vs. The State of Maharashtra and others
Lapse of DP Reservation under Section 127 MRTP Act
Important leading Judgment protecting the property owners in Maharashtra from indefinite restrictions of reservation in the Development Plan
Strong reminder that urban planning reservations in the Development Plan must be enforced and acquired promptly, or else they would law by operation of law.
Bombay HC Declares Lapsing of Development Plan Reservation in Malegaon Municipal Corporation
On 15.9.2006, the draft development plan was sanctioned for reservation of the land for grave land. However, the respondents failed to acquire the land.
On 19.11.2018, the purchase notice was given to the Malegaon Municipal Corporation and the statutory period of 24 months under Section 127 expired on 19.11.2020.
It is abundantly clear to us that, the State and the concerned Authorities are either blissfully unaware of the settled legal position or have deliberately chosen to disregard it. As a result, landowners are compelled to approach the Court for enforcement of their statutory rights.
Mere administrative steps that may eventually lead to acquisition are insufficient.
Lands cannot lie locked under reservation indefinitely. The underlying principle is that the land must, in a given time, be utilized for the purpose for which it is reserved in the plan, or, if not done, the owner must be allowed to utilize the land as permissible under the town planning law.
The failure of the Authorities to take steps which result in the actual commencement of the acquisition of the land cannot be permitted to defeat the purpose and object of the scheme of acquisition under the MRTP Act by merely moving an application requesting the Government to acquire the land, which the Government may or may not accept. Unless steps resulting in the actual commencement of acquisition proceedings are taken within the statutory period, the consequences prescribed under Section must necessarily follow. No legally recognized steps towards acquisition were taken in the present case.
