Quick Summary: Shahapur Bhagar Food LLP, through its partner Nikhil Radheshyam Agarwal, is involved in a long arbitration fight with the Land Acquisition Officer in Thane, Maharashtra. The argument is about how much money should be paid for land taken for highway development. Even though there have been many changes in the people handling the case and legal strategies, the issue has not been settled after more than four years.
On December 9, 2025, the Bombay High Court looked at several arbitration requests, including one by Shahapur Bhagar Food LLP. The requests were reviewed by Justice Somasekhar Sundaresan and focused on using Section 29A of the Arbitration and Conciliation Act, 1996.
The issue involves land in Dalkhan, Shahapur, Thane, taken under the Maharashtra Highways Act, 1955. Shahapur Bhagar Food LLP argued against the payment of Rs. 510 per square meter given by the government, asking for a higher amount of Rs. 13,170 per square meter, which they say is the market value.
The arbitration process has faced major delays: - April 2021: Shahapur Bhagar Food LLP asked for arbitration. - May 2021: All the paperwork was completed. - December 2023: The Maharashtra government switched the arbitrator without telling anyone. - April 2025: Another arbitrator switch happened, causing more delays.
Justice Sundaresan pointed out the slow progress in arbitration and stressed the legal right for a quick resolution. The court noted that both the State Highways Act and the Arbitration Act aim to settle disputes quickly.
The court identified Navi Mumbai as the legal location, stressing that the main civil court there has the authority for arbitration matters.
The court decided that the main civil court in Navi Mumbai should manage the replacement of the arbitrator under Section 29A, allowing Shahapur Bhagar Food LLP to request more time and a new arbitrator according to this judgment.
