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Supreme Court of India 2025-01-07 allowed

THE MUNICIPAL CORPORATION OF GREATER MUMBAI & ORS vs CENTURY TEXTILES AND INDUSTRIES LIMITED & ORS

Bench: 2 — Vikram Nath, Prasanna B. Varale

In Brief

Century Textiles operated a cotton mill on leased land under the City of Bombay Improvement Act. The Improvement Trust granted a 28-year lease from 1927–1955 under the Poorer Classes Accommodation Scheme, after which the company sought a formal conveyance of the land. The Supreme Court held that neither the Board's 1927 resolution nor the 1928 lease deed contained any obligation to convey; references to conveyance applied only to a narrow strip, not the entire block. The Court harmoniously interpreted Sections 48 and 51 of the 1925 Act: conveyance was contingent on lease terms, not automatic. Additionally, the 61-year delay before filing suit, coupled with deliberate avoidance of statutory limitation periods, rendered the claim barred by laches. The appeal was allowed and the High Court's order set aside.

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Municipal Law Land Lease Statutory Interpretation Harmonious Construction Delay and Laches Specific Performance Public Trust Welfare Legislation Administrative Law Contract Law Property Rights Writ Jurisdiction

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