Bhayandar Salt-Pan Land: Thane Court Upholds Lease Termination, Rejects Developer’s 99-Year Renewal Plea

On October 5, Thane district court upheld the termination of a 99-year lease for around 74 acres of salt-pan land at Bhayandar, rejecting a developer's request to renew the lease. The court found that the government communication from 1938 did not grant an unconditional right to renewal. The developer, Miraland Developers Pvt Ltd, alleged violations of lease conditions and challenged the Union government's termination of the lease in September 2013, but the court upheld the decision.

The land, part of Mira Salt Works, was originally leased for salt manufacturing in January 1924 and later re-leased in March 1955. The Salt Department terminated the lease after an inspection found that salt manufacturing had ceased, portions of the salt works had been altered, and coconut trees had been planted. The developer argued that salt production was seasonal and that the coconut plantation was on adjoining private land, but the court rejected these claims.

It stated that the right to use land during the lease's term and the right to obtain a new lease upon expiry were distinct, and that the government could change its policy in the public interest. The court also dismissed the developer's claim for lease renewal, noting that an assurance of renewal in a government communication could not create an indefeasible right to a further lease without an unconditional right in the original grant.