The Supreme Court has directed authorities across States to stop commercial activities in areas reserved exclusively for residential use. The Court said authorities must first seal premises that violate approved land-use permissions. The directions on Residential Commercial Use Sealing require priority action in areas specifically designated for residential purposes.
The Court said State authorities must ensure that no commercial activity takes place where permission allows only residential use.
“If any commercial activity is found to be taking place in such areas, the premises shall, in the first instance, be sealed,” the Court said.
A Bench of Justice Ahsanuddin Amanullah and Justice R. Mahadevan issued the directions. The Bench was hearing an ongoing matter concerning building bye-laws and land-use restrictions.
The proceedings examine properties used for purposes different from their approved use. This includes cases where authorities allotted land for one purpose or sanctioned a building plan for a specific use.
The Court also cautioned authorities against selective enforcement. It warned them against adopting a “pick-and-choose” approach. The Court said it would view discriminatory enforcement strictly.
Pending Litigation Cannot Prevent Sealing
The Supreme Court clarified that pending property litigation cannot stop authorities from taking action. They may seal premises if the actual use violates the approved purpose.
This applies to disputes between private parties over title or other rights. It also covers disputes between the Government and the concerned party.
The Court observed that “the pendency of such lis shall not come in the way” of sealing. Authorities can act when a property violates the purpose for which they allotted the land or building. The same applies when its use differs from the plan sanctioned by the competent authority.
Supreme Court Issues September 22 Directions
In its latest order dated September 22, 2026, the Supreme Court told authorities to focus first on areas specifically identified as residential.
Where the State Government permits only residential use, authorities must prevent commercial activity. If they detect such activity, they must initially seal the premises.
The Residential Commercial Use Sealing directions also address areas without a clear land-use classification.
The Court said the question of mixed use in such areas may require consideration. For now, authorities must maintain the status quo. However, proceedings on paper may continue.
The third direction deals with properties involved in pending litigation. Such disputes may involve private parties or the Government. The Court said pending proceedings cannot prevent sealing when a property violates its allotted or sanctioned use.
Proceedings Expanded Across India
The proceedings began with a case involving an unauthorised G+1 building.
In March 2026, the Supreme Court expanded the case into a pan-India exercise. It began examining the misuse of residential areas for non-residential purposes.
The Court directed municipal authorities in the capital cities of States and Union Territories to conduct inquiries.
It also appointed Senior Advocate Ajit Kumar Sinha as Amicus Curiae to assist the Court.
The proceedings later covered alleged land-use violations in Meerut, Jaipur, Lucknow and Delhi.
Authorities sealed 44 properties in Meerut as part of the proceedings. The Court has also scrutinised coaching centres and other establishments allegedly operating from premises not authorised for such use.
The Supreme Court has further directed authorities to seal or demolish wholly unauthorised structures in accordance with law.
The Court will next hear the matter on November 23, 2026.
