Bombay HC Sets Aside Order In Malad Housing Societies’ Land Dispute, Fixes Proportionate Shares

Mumbai, October 23, 2026: The Bombay High Court has ruled that two housing societies in a common layout must receive land in proportion to the built-up area of their buildings, subject to the area consented to by them, and set aside an order passed by the Competent Authority in a dispute between two Malad-based societies.

Justice Sandeep Marne, on October 22, partly allowed a petition filed by Vardhman Nagar Co-operative Housing Society, holding that land distribution must be based on the proportionate built-up area and cannot be determined by exploiting technicalities to secure an unfair advantage.

Dispute Over Land Sharing in Malad

The dispute concerns a 9,108-square-metre layout in Malad West shared by Vardhman Nagar and Kent Heights Co-operative Housing Society. Vardhman Nagar claimed that it was entitled to the entire remaining land after deducting 2,040 square metres already conveyed to Kent Heights through the execution of a civil court decree.

The court noted that under a 1995 agreement, Vardhman Nagar had consented to Kent Heights utilising a maximum built-up area of 4,830 square metres. It held that Kent Heights’ entitlement to land must be calculated with reference to the built-up area used for its building, subject to this consented limit.

Court Emphasises Proportionate Distribution

“The principle of proportionate land division needs to be applied in the present case,” the court observed, adding that both societies were entitled to conveyance of land proportionate to the built-up area used for construction, with Kent Heights’ built-up area capped at the consented limit.

Emphasising the need to balance legal principles with fairness, Justice Marne said, “Legal formulations cannot be enforced divorced from the realities of the fact situation of the case. While administering law it is to be tempered with equity.”

The court cautioned against applying technical legal interpretations in a manner that could result in gross injustice or confer an undue benefit on one party at the expense of the other.

High Court Orders Fresh Consideration

Setting aside the Competent Authority’s order, the High Court remanded the matter for fresh consideration in accordance with its findings.

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Under the revised calculation, Vardhman Nagar is entitled to 5,302.68 square metres of land, while Kent Heights is entitled to 3,805.42 square metres, inclusive of the 2,040 square metres already conveyed to it.

The court directed the societies to complete the necessary proceedings before the Competent Authority to give effect to the revised distribution.

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