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Supreme Court of India 2018-08-27 allowed

Bharmal Medical Store Civil Hospital Badnagar etc vs State of Madhya Pradesh and Others

Bench: 3 — Navin Sinha

In Brief

Lessees of medicine shops in a government hospital were asked to vacate in 2013 without notice or hearing to make way for a free government medicine supply scheme. The shops were lawfully constructed on expired but never-renewed leases. The Supreme Court held that the eviction notice was arbitrary, lacking procedural safeguards required to protect the lessees' right to livelihood. The Court balanced the government's commendable goal of free medicines against the practical need for private vendors. The shops must not be closed unless the government can conduct a fresh competitive bid, in which former lessees may participate. Until then, they may continue paying rent at enhanced rates.

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Administrative Law Property Rights Lease Renewal Public Policy Fundamental Rights Government Scheme

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