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Showing posts from February, 2026

Supreme Court of India on Occupancy Certificate: A Non-Negotiable Precondition for Possession

In a significant pronouncement strengthening consumer rights in the real estate sector, the Supreme Court of India in Parsvnath Developers Ltd. vs. Mohit Khirbat held that a homebuyer cannot be compelled to accept possession of a flat unless the developer has obtained a valid Occupancy Certificate (OC) from the competent authority. The Court categorically ruled that failure to secure the OC constitutes deficiency in service , thereby disentitling the builder from enforcing possession or avoiding liability. This ruling reaffirms the statutory safeguards embedded in municipal laws and consumer jurisprudence , and it sends a clear message to developers: compliance is not optional. Factual Matrix The dispute arose when the developer offered possession of the residential unit to the allottee without having obtained the mandatory Occupancy Certificate from the local authority. The homebuyer refused to take possession on the ground that occupation without the OC would be illegal and ...

Consent of Minor Invalid, But Romantic Context Matters for Bail: Delhi High Court

The jurisprudence surrounding bail in cases under the Protection of Children from Sexual Offences Act, 2012 ( POCSO Act ) continues to evolve as courts grapple with the tension between strict statutory protections for minors and the complex realities of adolescent relationships. In Varun Kumar Singh vs. State (SHO Rajinder Nagar) , the Delhi High Court delivered a significant observation that, although the consent of a minor is legally immaterial under the POCSO framework, factors such as the nature of the relationship and the prosecutrix’s proximity to the age of majority can be relevant considerations while adjudicating bail. This decision contributes to a growing body of judicial thought that distinguishes between predatory sexual conduct and consensual romantic relationships involving adolescents, particularly in the context of pre-trial liberty. Legal Position on Consent Under POCSO The POCSO Act establishes a strict liability regime designed to protect minors from sexual...

Developers can’t deny liability just because a flat was rented out.

In an important clarification on consumer jurisprudence in the real estate sector, the Supreme Court in Vinit Bahri & Anr. v. M/s MGF Developers Ltd. & Anr. held that merely leasing out a residential flat does not automatically strip a homebuyer of the status of a “consumer” under the Consumer Protection Act, 1986 . The Court emphasized that the decisive factor is not the act of leasing itself, but the primary intention behind purchasing the property. The ruling reinforces a buyer-centric interpretation of consumer law and prevents developers from escaping liability by branding all leasing arrangements as commercial activity. Background of the Dispute The case arose from a dispute between homebuyers and a real estate developer concerning a residential flat. During the proceedings, a key objection was raised regarding maintainability: the developer contended that the buyers had leased out the flat and were therefore engaged in a commercial activity, which would exclude ...

Serious fraud in contract formation? Not arbitrable, says Supreme Court

The Supreme Court in Rajia Begum v. Barnali Mukherjee clarified that disputes cannot be referred to arbitration where the very existence of the contract containing the arbitration clause is under serious challenge on grounds of fraud or fabrication. The Court held that when a party alleges that the underlying agreement itself is fake, the issue strikes at the root of the arbitration clause and must first be adjudicated by a civil court. The judgment reinforces a crucial doctrinal distinction in arbitration law: while many disputes arising out of a contract may be arbitrable , disputes questioning the very existence or authenticity of the contract itself fall outside the arbitral domain until a competent court determines their validity. Factual Background The dispute arose between the parties over a contract that allegedly contained an arbitration clause. One party sought reference of the dispute to arbitration. However, the opposing party contended that the agreement itself was ...

When AI is used to fake evidence, it doesn’t just break marriages — it breaks justice.” — Supreme Court

The Supreme Court has issued a stark warning about the growing misuse of artificial intelligence to fabricate evidence in matrimonial disputes, observing that parties are increasingly weaponising technology to create false allegations and “teach the other side a lesson.” The judgment underscores how such conduct not only corrodes the institution of marriage but also threatens the fairness, integrity, and credibility of judicial proceedings. Factual matrix and procedural posture The case arose from a deeply acrimonious matrimonial relationship that lasted only about 65 days but spiralled into more than 13 years of litigation, with the parties filing over 40 cases across multiple forums, including criminal complaints, maintenance petitions, and civil suits. The Supreme Court was seized of the matter in its criminal original jurisdiction (Transfer Petition (Crl.) No. 338 of 2025), primarily to examine the conduct of the parties and the prop...

In Gloster, SC draws a clear boundary: IBC forums ≠ title courts for unrelated trademark ownership disputes.

The Supreme Court held that the National Company Law Tribunal (and by extension NCLAT ) cannot decide substantive intellectual-property ownership disputes that lack a proximate nexus to the corporate insolvency process or to an approved resolution plan. The Court limited the scope of Section 60(5) of the Insolvency & Bankruptcy Code (IBC): insolvency forums may resolve disputes incidental to insolvency, but they must not usurp ordinary civil fora for standalone title claims .  Facts Fort Gloster Industries Ltd. underwent corporate insolvency resolution. Gloster Limited emerged as the successful resolution applicant; Gloster Cables Limited contested that the trademark and associated goodwill in the mark “Gloster” belonged to it (or was otherwise not an asset appropriately dealt with under the resolution process). The Adjudicating Authority (NCLT) had earlier treated the trademark as an asset of the corporate debtor; the NCLAT reversed on limits of jurisdiction; the compet...