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2025 Supreme(Bom) 1958

IN THE HIGH COURT OF JUDICATURE AT BOMBAY
FIRDOSH P. POONIWALLA, J.
Velentine Properties Private Limited – Petitioner
Versus 
State of Maharashtra and Ors. – Respondents
Writ Petition (L) No. 35377 of 2025
Decided On : 23-12-2025

Advocates Appeared:
For the Petitioner:Adv. Vivek Kantawala a/w Adv. Ajit Makhijani and Adv. Rajat Jain i/b M/s.M. M. Legal Associates, Advocates
For the Respondents: Mr. Mohit Jadhav a/w Mr. Shamrao Gore, AGP., Adv. Vishal Kanade a/w Adv. Tanaya Patankar, Adv. Kartik Tiwari, Adv. Devang Shah and Adv. Aditya Kanchan i/b Lakshyavedhi Legal, Advs.

Deemed conveyance under MOFA must adhere to statutory obligations, and timelines cannot be circumvented by private agreements; competent authority must assess the proportional area for conveyance accurately.

Headnote:(A) Maharashtra Ownership Flats (Regulation of the Promotion of Construction, Sale, Management and Transfer) Act, 1963 - Section 5A; Maharashtra Ownership Flats (Regulations of the Promotion of Construction, Sale, Management and Transfer) Rules, 1964 - Rule 9 - Deemed conveyance order challenged - Petitioner, a promoter, contended that conveyance was premature due to ongoing development; Respondent No.3 sought conveyance based on incomplete developments, which the court rejected as contrary to agreed contractual terms - Reaffirmed that deemed conveyance must adhere to statutory obligations as laid out in MOFA and Rule 9, which mandates completion timelines - Court held that statutory timelines cannot be overridden by private agreements, emphasizing the legislative intent of protecting flat purchasers. (Paras 44, 46, 52, 66)

Facts of the case:
Petitioner is developer of property facing opposition from Respondent No.3 seeking deemed conveyance for an undeveloped area which the Petitioner intended to retain for future construction. Respondent No.2 granted conveyance without sufficient consideration of evidence.

Findings of Court:
The competent authority acted contrary to law by not appraising evidence regarding the retained area and failing to appoint an independent architect for accurate area determination.

Issues: Whether the application for deemed conveyance was premature and if the competent authority appropriately assessed the area for conveyance.

Ratio Decidendi: The court reiterated that Rule 9 requires conveyance within a definite period, and the competent authority must appoint an architect for land measurement in cases with multiple societies involved.

Result: Order set aside; matter remanded for fresh consideration with respect to deemed conveyance.

Table of Content
1. challenge to the october 2025 order (Para 2 , 3 , 4 , 5 , 6)
2. petitioner's entitlement to conveyance (Para 7 , 8 , 9 , 10)
3. legal proceedings initiated by petitioner (Para 11 , 12 , 13 , 14)
4. arguments regarding conveyance and obligations (Para 15 , 16 , 17 , 18 , 19 , 20)
5. counterarguments by respondent no.3 (Para 21 , 22 , 23 , 24 , 25)
6. court's analysis of statutory obligations (Para 39 , 40 , 41 , 42)
7. assessment of deemed conveyance provisions (Para 43 , 44 , 45 , 46)
8. final order and directions (Para 66 , 67 , 68)

JUDGMENT :

FIRDOSH P. POONIWALLA, J.

1. Rule. Rule made returnable forthwith and heard finally by consent of parties.

2. This Writ Petition challenges an Order dated 16th October 2025 passed by Respondent No.2 i.e. the District Deputy Registrar– Co-operative Society, Mumbai City (4), Competent Authority under Section 5A of the Maharashtra Ownership Flats (Regulation of the Promotion of Construction, Sale, Management and Transfer) Act, 1963 (for short “MOFA”), whereby Respondent No.2 has granted a Unilateral Deemed Conveyance in favour of Respondent No.3 Society.

3. Before considering the impugned Order dated 16th October 2025, and the submissions of the parties in respect thereof, it would be appropriate to set out the facts in the matter.

4. The Petitioner is the Promoter, Owner and Developer of a property admeasuring 27,116.30 square meters which, subsequently, in view of multiple amalgamations and subdivisions, has been divided into sub-plots marked as Plot A, B, C, D, E, F and G in terms of approved layouts from time to time.

5. These plots were designated for the construction of multi-storied buildings as per the sanctioned layout plan. A portion of the said larger land, admeasuring approx.6,536.30 square meters, and bearing CTS Nos.692/A/2/2/A/1, which forms part of a single layout, is identified as the aforementioned Sub-Plot ‘A’.

6. Sub-Plot ‘A’ comprises of multiple buildings, out of which Respondent No.3 consists only of Wings A, B, C and F of Building A-2, constructed on the said land.

7. The Petitioner had executed Sale Agreements with the members of Respondent No.3, 4 and 5 which agreements contain clear, binding and specific clauses pertaining to the execution of the conveyance. The Petitioner had referred to one such Agreement for Sale dated 31st July 1999, executed between the Petitioner and one of the members of Respondent No.3, which was produced by Respondent No.3 before Respondent No.2. The Petitioner has referred to Clauses 26 and 27 of the said Agreement and stated that a perusal of the aforesaid clauses demonstrates that the Developer, i.e. the Petitioner, had expressly reserved its right to determine the extent, mode and timing of the conveyance or lease, including the option to execute a long-term lease in lieu of an outright conveyance. Furthermore, the Petitioner stated that it has also been recorded that the Petitioner shall be entitled at its option to form a single Organization of all the Premises to be constructed on the said land i.e. of Respondent Nos.3, 4 and 5 and to execute a conveyance / lease in respect of the said land in favour of Respondent Nos.3, 4 and 5.

8. It is the case of the Petitioner that despite the aforesaid clear and unambiguous terms and conditions, Respondent No.3 prematurely raised a demand for conveyance without waiting for the completion of the entire development of the said land. The Petitioner states that, in view of the said demand, the Petitioner, in good faith, demonstrated its willingness to convey the conveyable portion of the said land of Respondent Nos.3, 4 and 5 by preparing and sharing a joint conveyance deed. By an email dated 6th February 2025, addressed by the Petitioner to Respondent No.3, the Petitioner forwarded the said draft conveyance to Respondent No.3.

9. Thereafter, the Petitioner issued a reminder to Respondent No.3 by its email dated 6th May 2025 requesting for a response to the Draft Conveyance. However, instead of

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