Bombay High Court

Subsequent judicial declarations cannot reopen final orders that remained unchallenged within the statutory limitation period.

MARVEL LANDMARKS PVT. LTD. vs THE STATE OF MAHARASHTRA AND ORS

Bombay High CourtJUDGMENT: April 07, 20263 MIN READSOURCE JUDGMENT
THE ORIGINAL LAWLENS SUMMARY
01

Facts

On December 17, 2019, the Adjudicating Officer ("AO") of the Real Estate Regulatory Authority ("RERA") ordered the Petitioner to refund Rs. 1,35,99,246 with interest to a flat purchaser

Source reference: para 3A

The Petitioner failed to challenge this order under Section 44 of the RERA Act, 2016, allowing it to attain finality

Source reference: para 3B

Consequently, a recovery warrant was issued on October 8, 2021

Source reference: para 3C

On November 11, 2021, the Supreme Court delivered the judgment in Newtech Promoters and Developers Pvt. Ltd. v. State of UP, which the Petitioner argued rendered the AO’s refund order non est for lack of jurisdiction

Source reference: para 3D-3E

The Petitioner approached the High Court in August 2024, seeking to quash the 2019 and 2021 orders based on the law declared in Newtech

Source reference: para 11
02

Issues

1. Whether an order passed by an Adjudicating Officer for refund of investment is rendered non est by the subsequent law declared by the Supreme Court in Newtech

Source reference: para 2, 4

2. Whether the High Court should exercise its discretionary jurisdiction under Article 226 to reopen matters that have attained finality due to a subsequent change in legal interpretation

Source reference: para 4, 11
03

Law Applied

Section 18 establishes the substantive right to a refund and compensation

Source reference: para 21

Section 71 provides for the appointment of an Adjudicating Officer specifically for adjudging compensation

Source reference: para 24

Section 81 allows the Authority to delegate any of its powers (except rule-making) to any member or officer

Source reference: para 25

The court relied on Newtech Promoters and Developers Pvt. Ltd. v. State of UP, which clarified that while Regulatory Authorities can order refunds, AOs exclusively adjudge compensation

Source reference: para 30

The court applied principles from U.P. Jal Nigam v. Jaswant Singh regarding delay and laches

Source reference: para 15

The court applied principles from Assistant Commissioner, Income Tax, Rajkot v. Saurashtra Kutch Stock Exchange Ltd., which holds that retrospective judicial decisions do not disturb res judicata or settled accounts

Source reference: para 14
04

Reasoning

The Court distinguished the Petitioner's interpretation of Newtech, noting that the Supreme Court in that case was determining if a Whole Time Member (WTM) had the power to order refunds, not whether an AO was strictly prohibited from doing so if delegated

Source reference: para 33, 40

The Court observed that under Section 81 of the RERA Act, RERA may delegate any executive or quasi-judicial function (excluding compensation adjudication, which is statutory to the AO) to its officers

Source reference: para 35

Since an AO is a judicially trained officer of RERA, delegating the "lesser task" of a summary refund inquiry to them is not inherently contrary to the Act’s scheme

Source reference: para 41-42

Regarding the Petitioner’s delay, the Court held that since the 2019 order attained finality and the Petitioner waited nearly three years after Newtech to file the writ, the matter was closed and concluded

Source reference: para 48

The Court emphasized that the extraordinary jurisdiction of Article 226 is discretionary and should not be used to protect "indolent" litigants or reopen settled rights based on later shifts in law

Source reference: para 16, 51
05

Holding

The Court dismissed the Writ Petition, refusing to interfere with the Impugned Order or the Recovery Order

It held that Newtech does not provide an automatic ground to nullify long-settled orders

Source reference: para 49

The Court concluded that the inordinate delay of five years since the original order and three years since the Newtech judgment precluded the exercise of discretionary relief

Source reference: para 53
Bombay High Court

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MARVEL LANDMARKS PVT. LTD.vsTHE STATE OF MAHARASHTRA AND ORS

Bombay High Court · April 07, 2026

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