'Shaan Of Delhi': High Court Allows Khan Market Restaurants To Operate Without Fire NOC Subject To 50 Guests Cap

Granting relief to various restaurants in city's Khan Market, the Delhi High Court on Friday said that the outlets shall not be denied operation only on account of lack of fire NOC, as long as they maintain occupation of less than 50 guests at a given point of time.

Calling the area “shaan of Delhi”, Justice Purushaindra Kumar Kaurav took on record an undertaking given by the restaurants that they will abide by any other possible mechanism to ensure safety measures as may be directed by the civic authorities.

“The petitioners' undertaking is also placed on record that they shall abide by any other possible mechanism to ensure all fire safety measures as may be directed by the respondent departments. In any case, if for lack of fire NOC, any action is contemplated against the Petitioners (restaurants), the same shall not be given effect to without 30 days prior notice. The petitioners (restaurants) thereafter shall be at liberty to take appropriate recourse in accordance with law,” the Court said.

It noted that the restaurants, in order to avoid any complications, undertook that they will not house more than 50 guests at a given time.

In effect, the Court allowed the restaurants to operate without fire NOC only if they abide by their undertaking of housing less than 50 guests at a time, failing which action can be taken by the concerned department which shall not be given effect to without 30 days prior notice.

Justice Kaurav disposed of a batch of pleas filed by various restaurants operating in Khan Market, including Perch, Yum Yum Cha, Starbucks Coffee, Khan Chacha, Anglow and Sly Granny.

It was the restaurants' case that they obtained the requisite licenses and approvals from the concerned authorities which was subjected to periodic renewal. In most cases, on account of non renewal or non-issuance of licenses, the necessary permissions were recalled.

It was their case that they don't qualify within the definition of “assembly building” as defined under the Unified Building Bylaws 2016.

The restaurants contended that one would qualify as assembly building when any building or its part gathers 50 or more guests for amusement, recreation, social, religious, civil and similar purposes, including theatres and restaurants.

It was submitted that the requirement of occupants load factor of 1.8 square feet area per person is not required and that they were being granted health licenses treating their sitting capacity as below 50 guests but abruptly, different yardstick was applied wherein the authorities insisted to maintain 1.8 square metre occupant load factor.

Justice Kaurav noted that while issuing notice in the pleas, a coordinate bench had directed no coercive action against the restaurants in question and the stay order remained in operation during pendency of the matter.

In 2024, the Court had directed the authorities to convene a joint meeting to deliberate on the issue as to whether a practical mechanism acceptable to all stakeholders can be evolved to ensure continuous operations of the restaurants and to comply with safety requirements. The restaurants had undertook to abide by the instructions to ensure fire safety measures. The NDMC was collaborating with the authorities, including Delhi Fire Services, to ensure adherence to safety guidelines.

Today, the Court noted that the NDMC issued a notification saying that it will not be mandatory for establishments to maintain health trade license if it adheres to other compliances. The authority submitted that the requirement of trade license has been dispensed with, subject to compliance of other directives.

On this, the Court noted that the in view of the recent development, the legal issue involved in the matter- renewal of licence on account of lack of fire NOC, may not be required to be finally decided.

However, it said that Court will have to balance the equities keeping in mind various facts and circumstances as noted from time to time in the matter.

“The shops are situated in one of Delhi's most prestigious and historically significant commercial area. It is also a heritage market. It's iconic and unique architecture and character and culture is well established. Because of the structural constraints, the entire market has only one feasible entry and exit point for first and second floor where the restaurants are located. This feature is in existence since the inception,” the Court said.

“There is no reason to disbelieve the petitioners' submission. In any case, the petitioners are ready and willing to abide by all safety measures of the government departments. There should not be any reason to disallow the petitioners only on account of structural constraints,” the Court observed.

“The Court finds that keeping the writ petitions pending anymore will not serve any useful purpose and hence, they are disposed of…,” it added.

Title: Perch A Unit of Sunrise F and B Restaurant Pvt Ltd v. NDMC & Ors