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2026 Supreme(Bom) 58

IN THE HIGH COURT OF JUDICATURE AT BOMBAY
RAVINDRA V. GHUGE, ABHAY J. MANTRI, JJ.
Yakub Salebhai Contractor (Deceased) – Petitioners
Versus
State of Maharashtra – Respondents
Writ Petition No.13965 of 2024
Decided On : 17-02-2026

Advocates appeared:
Mr. Ashutosh Kulkarni a/w Mr. Irfan Unwala i/b. Ms. Shaheen S. Kapadia, Advocate for the Petitioners.
Mr. O.A. Chandurkar, Addl. GP, a/w Mr. S.P. Kamble, AGP, for the Respondent-State.
Ms. Shakuntala Wadekar, Advocate for Respondent No.3.

Reservation of land lapses under Section 127 of the Maharashtra Regional and Town Planning Act when no acquisition steps are taken within the specified period after a purchase notice is served.

Headnote:(A) Maharashtra Regional and Town Planning Act, 1966 - Section 127 - Lapsing of reservations - Petitioners claimed that the land reservation had lapsed due to the council's failure to acquire or develop the land after a purchase notice was served - The court emphasized that if no steps are taken to acquire the land after a purchase notice within specified timelines, the reservation lapses by operation of law. (Paras 4, 6, 8, 26)

(B) Legal principle - The issuance of a purchase notice and the subsequent lack of action by the planning authority are pivotal under Section 127 - Once the notice is served and no action is taken, the owner can claim de-reservation. (Paras 22, 25)

Facts of the case:
Petitioners claimed ownership of land designated for public housing under a development plan dating back to 1978. The planning authority failed to acquire the land despite multiple notices.

Findings of Court:
The petitioners were entitled to relief as the reservation on the land was deemed lapsed under Section 127, effectively releasing the land for permissible development.

Issues: The core issue revolved around whether the planning authority took requisite steps to acquire the land following the purchase notices.

Ratio Decidendi: The court found it evident that the lack of compliance with the purchase notice by the planning authority warranted the lapse of land reservation under Section 127, affirming the legal rights of the landowners.

Result: Writ Petition allowed in terms of relief sought.

Table of Content
1. invocation of lapsing of reservation under the mrtp act. (Para 3 , 4)
2. chronology of land ownership and reservation status. (Para 5 , 14 , 15)
3. requirements for lapsing of land reservation. (Para 6 , 8 , 12)
4. arguments regarding validity of purchase notice. (Para 9 , 11)
5. no requirement for documents when lapsing occurs. (Para 21 , 22 , 23)
6. conclusion and order regarding lapsing of reservation. (Para 26 , 27 , 28 , 29)

Judgment :-

(Per :- Abhay J. Mantri, J.) :-

1. By order dated 10th March, 2025, this Writ Petition is ‘Admitted’.

2. Heard finally by the consent of the learned Advocates for the respective parties.

3. The Petitioners have put forth prayer clauses (b) and (c), as under :

“(b) That this Hon'ble Court be pleased to issue an appropriate writ, order, and or direction to declare that the reservation, designation or allotment provided under the development plan revised development plan of the Respondent No. 3 in respect of property lying, being and situated at Lonavala within Registration Sub-District of Maval, Dist: Pune and within the local limits of Lonavala Municipal Council in its ward “A” at Bhangarwadi and known as Nangargaon in the revenue record bearing part of Survey No. 55 admeasuring 88.29 ares within the jurisdiction of Lonavala Municipal Council is lapsed and said reserved land is available to the Petitioners for the purpose of development or otherwise, as is permissible;

(c) That this Hon'ble Court be pleased to issue an appropriate writ, order, and or direction to declare that the said reserved land in respect of property lying, being and situated at Lonavala within Registration Sub- District of Maval, Dist: Pune and within the local limits of Lonavala Municipal Council in its ward “A” at Bhangarwadi and known as Nangargaon in the revenue record bearing part of Survey No. 55 admeasuring 88.29 ares within the jurisdiction of Lonavala Municipal Council has been de-reserved under the provisions of Maharashtra Regional Town Planning Act as per the purchase notice dated 02.08.2021 for want of valid steps by Lonavala Municipal Council”

4. The above prayer clauses indicate that the Petitioners have invoked the deeming fiction of lapsing of reservation under Section 127 of the Maharashtra Regional and Town Planning Act, 1966 (hereinafter referred to as “the MRTP Act”), since the Respondents have taken no steps for the acquisition of the land in question.

5. The material facts, dates, and sequence of events necessary to determine the controversy between the parties are as follows:

(a) Initially, Shri Narayan Damodar Bhonde and five others were the owners of the property bearing part of Survey No. 55, admeasuring 88.29 R, situated at Nangargaon, within the local limits of the Lonavala Municipal Council (for short, “Council”), Ward ‘A’, Bhangarwadi (for short, “the land”). Who, by registered Sale Deed No. 145, dated 4th March, 1991, sold the land to the Petitioners. Pursuant to the said sale deed, the Petitioners claim ownership of the land.

(b) The Respondent No. 1-State sanctioned and published the Development Plan (for short, "the DP Plan”) vide Government Resolution No. TPS/1876/9/4D, dated 28th February, 1978, and the same came into force on 1st March, 1978.

(c) Respondent No. 3- Council failed to take steps for the acquisition or development of the land up to 1st October, 1998.

(d) On 2nd October, 1998, the Petitioners issued a purchase notice under Section 127 of the MRTP Act to Respondent No. 3, which was neither complied with nor any steps were taken to acquire or develop the land.

(e) Thereafter, the said DP Plan was partially revised and sanctioned on 29th June, 2005. The partially revised DP Plan came into force on 27th August 2005.

(f) Again, on 18th August, 2006, Respondent No. 3 sanctioned and published the remaining part of the DP Plan. The said DP Plan came into force on 1st November, 2006.

(g) Until 31st October, 2016, i.e. over a period of 10 years, Respondent No. 3 had neither proceed

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