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M/S Usara Polymers Pvt Ltd, Mumbai vs Maharashtra Industrial Development ...
2025 Latest Caselaw 3138 Bom

Citation : 2025 Latest Caselaw 3138 Bom
Judgement Date : 11 March, 2025

Bombay High Court

M/S Usara Polymers Pvt Ltd, Mumbai vs Maharashtra Industrial Development ... on 11 March, 2025

2025:BHC-AUG:7018-DB
                                              1                      WP.8090-14.odt


                        IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                                   BENCH AT AURANGABAD

                                 WRIT PETITION NO.8090 OF 2014

                   M/s USARA Polymers Pvt. Ltd.
                   Through : Its Director Mr. Mishra
                   Sachidanand
                   Age : Major, Occu. Business,
                   R/o 313, 3rd Floor, Bawa Towers,
                   Plot No.78/79, Vashi,
                   Mumbai-400 703.                            ... Petitioner.

                          VERSUS

                   1.    Maharashtra Industrial Development
                         Corporation, Orient House,
                         Adi Megabad Path, Bellard Estate,
                         Mumbai-400 038.

                   2.    Area Manager,
                         Maharashtra Industrial Development
                         Corporation, Regional Office,
                         Railway Station Road, Aurangabad.

                   3.    The Regional Officer,
                         Maharashtra Industrial Development
                         Corporation, Regional Office,
                         Railway Station Road, Aurangabad.

                   4.    The Executive Engineer,
                         M.I.D.C. Civil Division,
                         Railway Station Road,
                         Aurangabad.

                   5.    The State of Maharashtra,
                         Through Ministry of Industry.        ... Respondents.

                                                 ...
                          Advocate for Petitioner : Mr. Sanket S. Kulkarni.
                        Advocate for Respondent Nos.1 to 4 : Mr. S. S. Dande.
                           AGP for Respondent No.5-State : Mr. P. S. Patil.
                                                 ...
                              2                     WP.8090-14.odt


                   CORAM :        S. G. MEHARE, AND
                                  SHAILESH P. BRAHME, JJ.

                   RESERVED ON   : 13.02.2025
                   PRONOUNCED ON : 11.03.2025


JUDGMENT :

(Per S. G. Mehare, J.) :-

1. Rule. Rule made returnable forthwith and heard finally

by consent of the parties.

2. The petitioner has impugned the communication dated

29.08.2013 directing him to pay the charges for extension of

the time limit for approval of revised building plans and

completion of factory building.

3. The dispute revolves around the period of completing

the constructions in view of the agreement. Admittedly, the

agreements were executed between the parties. The Agreement

dated 26.04.2007 was pressed into service wherein the clause

for time limit for commencement and completion for

construction work was inserted. The petitioner as well as

contesting respondents were interpreting this clause. The

petitioner contends that in view of clause 4 (d) of the said

agreement, the obligation upon him to complete was within

seven (7) years from the commencement of the construction.

Referring to Clause (a), it has been pointed out that from the 3 WP.8090-14.odt

date of agreement, the development plans were to be

submitted within 48 months from the date of agreement and

from commencement of construction it should be completed

within seven years. The petitioner has commenced the

construction before 48 months and thereafter completed the

constructions within seven (7) years. He applied for issuing

building construction certificate on 27.08.2013. The Deputy

Engineer of MIDC took the inspection and submitted the report

on 10.10.2013. He had applied for sanction to the additional

construction on 14.08.2013. The respondent directed him to

pay the required fee for the additional construction permission.

Accordingly, he had deposited the said amount as demanded

for additional construction. He completed the constructions as

per the layout plan.

4. The contesting respondents have filed affidavit-in-reply.

They have denied the interpretation of the petitioner. They

have a case that as per the policy of the respondent prevailing

on the date of execution, the time limit for completion of

construction and obtaining building construction certificate

was only four years and it was mentioned in the agreement

executed between the petitioner and the respondents. The

petitioner has no enforceable right. Hence, the petition cannot 4 WP.8090-14.odt

be entertained. It has been further submitted that the

petitioner was well aware that the time limit was four years.

He is taking the undue advantage of typographical error in the

agreement which was incorrectly typed as seven years instead

of four years. In view of the policy, the then in force, the

construction was not completed within four years, the

petitioner is liable to pay the extension charges. Therefore, the

demand letter dated 29.08.2013 is legal, correct and proper.

The petitioner had no vested right to claim the period of seven

years for development of the said plot. It was simply a lease

agreement and it was agreed to submit the building plan

proposed to be constructed on the plot to the Authority of the

respondent. The petitioner was mere licensee of the

Corporation. The Corporation has power to terminate the said

agreement and resume the land if the terms and conditions

have been breached. It is a question of disputed fact.

Therefore, the petitioner has an alternate and efficacious

remedy. Then also the writ petition could not be entertained.

The respondents have referred to the other agreements to

support its case that the time limit was only four years at the

time of execution of the agreement.

5 WP.8090-14.odt

5. Heard the respective learned counsels at length. They

have reiterated their arguments as per their pleadings.

6. The question is "whether the respondents can deny the

terms of agreement"?

7. The agreement was executed on 26.04.2007. This

agreement was pursuant to the application of the petitioner for

leasing the land. Both parties mutually agreed the terms and

conditions by way of the instrument. Sub clause (a) of Clause

4 of the said agreement provides that from the date of the

execution of the lease, the lessee should submit the plan for

approval within 48 months thereof. Clause (c) was prohibiting

the lessee to begin the work until the plans are approved. The

petitioner had submitted the plans on 29.06.2010 which was

within 48 months. It was approved on 03.11.2010. In this

context, clause (d) of the said agreement is to be interpreted. It

reiterated again the time limit for commencement and

completion of the construction work for the ready reference we

reproduce itself.

"4 (d) - That it shall within a period 48 months from the date hereof commence, and within a period of seven years from the said date at their own expense and in a substantial and workman like manner and with new and 6 WP.8090-14.odt

sound material and in compliance with all Municipal rules Development Control Rules of MIDC bye-Laws and regulations applicable thereto and in strict accordance with the plans, elevations, details and specifications to the satisfaction of the Special Planning Authority Executive Engineer and conformity to the building lines marked on the plan hereto annexed and the Development Control Rules of MIDC Building Regulations set out in the Second Schedule hereunder written, build and completely finish fit for occupation a building to be used as an industrial factory with all requisite drains and other proper conveniences thereto."

8. The only dispute raised by the respondent is that there

was a typographical mistake instead of four years, seven years

was inadvertently typed in the said clause. The petitioner has

specific case that immediately after the approval the

construction was started and it was completed within seven

years from the date of the approval. For the dates of the

approval/sanction to the plans and completion thereafter are

not much disputed. The question is can this typographical

mistake would suffer the petitioner from understanding its

meaning. The law is well settled that the parties are bound by

the contract. For such a typographical mistake, the existing

policy at the relevant time would not help the contesting

respondent for the reason that till he sought the completion

certificate, the mistakes was never rectified or informed the 7 WP.8090-14.odt

petitioner. The terms of agreement were specific and

unambiguous. Though the policy was there that the

construction should have been completed within four years,

the petitioner was relying on the terms of agreement with him

which was providing seven years for completion of the

constructions from the date of sanctioning the development

plan. We are of the opinion that since the parties are bound by

the terms of agreement, no benefit of typographical mistake

which was not rectified within reasonable period be granted to

the respondent. Rest of the matter is not disputed.

Appreciating the material on record, we do not consider that

the serious disputed questions of facts are involved in the

matter and the writ petition cannot be entertained. The matter

was about the interpretation of the agreement clauses. We read

it and find that the period for construction was seven years was

explicitly inserted in the agreement. These facts are not denied.

Therefore, we opine that there is no substance in the

submission of the respondent. Respondent is bound by the

terms of agreement. At the cost of repetition, we reiterated that

the typographical mistake was not rectified in time nor any

action was taken against the petitioner forthwith or within a

reasonable time for not completing the construction. On the

contrary, the respondent sanctioned the additional construction 8 WP.8090-14.odt

and the petitioner had deposited the charges therefor. In view

of this peculiar facts and circumstances of the case, we are of

the opinion that since the petitioner is not at fault, he cannot

be penalized or directed to pay the penalty for extension of

time as per the impugned communication dated 29.08.2013.

Hence, the writ petition deserves to be allowed.


                              ORDER

        (i)     Writ petition is allowed.

        (ii)    The communication dated 29.08.2013 directing

the petitioner to pay the extension charges stands quashed and set aside.

(iii) Contesting respondent is directed to issue a building completion construction certificate to the petitioner within four (4) weeks from today by following further rules as required under the MIDC Act.

        (iv)    Rule made absolute.

        (v)     No order as to costs.




(SHAILESH P. BRAHME, J.)                    (S. G. MEHARE, J.)

                                   ...

vmk/-
 

 
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