Supreme Court Tightens, Clarifies Rules On Commercial Use Of Residential Areas; Issues 3-Point Directions

The Supreme Court has clarified enforcement against commercial activities in residential areas, laying down three key principles covering residential-only zones, unclear land use and pending disputes. The court also scrutinised allegations of inadequate compliance in Bhopal, while the existing Master Plan and building rules remain relevant pending finalisation of a new plan.

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Supreme Court Tightens, Clarifies Rules On Commercial Use Of Residential Areas; Issues 3-Point Directions
Staff Reporter Updated: Friday, September 25, 2026, 08:45 PM IST
Supreme Court Tightens, Clarifies Rules On Commercial Use Of Residential Areas; Issues 3-Point Directions

Supreme Court Tightens, Clarifies Rules On Commercial Use Of Residential Areas; Issues 3-Point Directions | FP photo

Bhopal (Madhya Pradesh): The Supreme Court has tightened and clarified rules governing commercial activities in areas earmarked exclusively for residential use, directing authorities to take action against violations and specifically flagging alleged non-compliance in Bhopal.

The directions were issued on Sept 22 while hearing a matter concerning unauthorised construction and land use in several states, including Madhya Pradesh. The written order was uploaded on Friday.

The court directed authorities to follow three key principles while dealing with commercial activities in residential areas:

1. Residential-only areas: If commercial activity is found in an area specifically designated for residential use, the premises should initially be sealed.

2. Unclear land use: Where the land use is not clearly defined as residential or commercial, authorities have been directed to maintain the status quo while proceedings continue.

3. Pending disputes: Ownership disputes or other pending litigation will not prevent sealing if the use of the premises violates the purpose for which the land was allotted or the sanctioned building plan.

The court also said completely unauthorised structures without approval could face sealing or demolition in accordance with law and directed authorities to avoid any discriminatory or "pick-and-choose" approach.

BMC's actions come under SC scrutiny

The court had noted submissions by the amicus curiae that its earlier directions were allegedly not being fully complied with in Bhopal.

It was informed that some properties were sealed and subsequently unsealed within hours or days without any intervening development or decision by the competent authority.

Bhopal residents and petitioners Purnendu Shukla and Vivek Tripathi alleged that the Bhopal Municipal Corporation (BMC) has failed to maintain sustained action.

They claimed that despite around 45 days having passed since the first Bhopal-specific directions were issued after the Aug 4-5 hearing, not a single illegally operating establishment remains sealed.

They alleged that BMC initially waited for the written order, later served more than 8,000 notices, and subsequently slowed the process during Rakshabandhan and Janmashtami.

Tripathi further alleged that only seven establishments were officially sealed and none remained shut for more than 48 hours. Shukla alleged that BMC was again waiting for the written order despite the latest directions, while several officials remained deployed for festival duties.

Existing Master Plan remains applicable

The Supreme Court noted that Bhopal's Master Plan had not been revised since 1995.

While the state has prepared a draft Master Plan and was permitted to publish it for inviting objections, the court clarified that it cannot be finalised without its permission.

Until then, the applicable test for properties will remain conformity with the existing Master Plan and building bye-laws.

Minister says new plan may bring relief

Urban administration and development minister Kailash Vijayvargiya told Free Press that the new Master Plan may be published soon.

He said it would incorporate various aspects of land use across the city and provide relief to traders operating in areas affected by residential-use restrictions.

Published on: Friday, September 25, 2026, 09:00 PM IST

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