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ARTICLE · 05 FEBRUARY 2026

Default In Rent Payment & Strictures By SRA

Dhaval Vussonji & Associates
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The Hon'ble Bombay High Court in Writ Petition No. 3140 of 2019 has observed that there were consistent defaults being made by developers in payment of transit rent causing inconvenience to the slum dwellers including filing litigations for recovery of transit rent.

IndiaReal Estate and Construction
Manisha Paranjape
Manisha Paranjape
Arpita Joshi
Arpita Joshi
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The Hon'ble Bombay High Court in Writ Petition No. 3140 of 2019 has observed that there were consistent defaults being made by developers in payment of transit rent causing inconvenience to the slum dwellers including filing litigations for recovery of transit rent and in this context stated that the Slum Rehabilitation Authority ("SRA") needs to issue an appropriate circular to prevent such situations, by freezing a part of the free-sale component which can be permitted to be dealt only after the rehabilitation building is completed, and all issues relating to payment of transit rent are duly addressed. The important provisions of the NI Act are reiterated hereinbelow for quick reference:

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