22 February 2024 Civil Suits >> Civil & Consumer Law  

Facts:

• The plaintiffs, a group of 35 individuals, filed suit claiming purchase of units in the Sharada Complex, Mumbai. Defendants included construction companies (Nos. 1-3), other developers (Nos. 4-6 & 8-11), the land-leasing authority (MMRDA), and a court-appointed administrator (Court Receiver).
• The property faced disputes regarding ownership, development rights, government restrictions, and alleged illegal activities.

Dispute Resolution:

• Plaintiffs and Defendant Nos. 8-11 reached a "Consent Terms" agreement. Under this agreement, Defendant Nos. 8-11 would construct the building and deliver units to the Plaintiffs.

Conclusion:

• The court approved the Consent Terms between Plaintiffs and Defendant Nos. 8-11, finding the agreement lawful (Order XXIII Rule 3, Code of Civil Procedure).
• The court decreed the suit only against Defendant Nos. 8-11, enforcing the terms of the agreement (Order XXIII Rule 3, Code of Civil Procedure).
• The court dismissed the suit against the remaining Defendants (Nos. 1-3 & 4-6), considering it abandoned under Order XXIII Rule 1 of the Code of Civil Procedure.

Rights and Responsibilities:

• The Court Receiver remains responsible for removing encroachments on the property (limited purpose).
• Upon successful removal, the Court Receiver will hand over possession to Defendant Nos. 8-11 for construction.
• The rights of other Defendants (Nos. 1-3 & 4-6) are preserved, and they can pursue their claims independently. The Consent Terms do not impact their legal standing.