Allowing an appeal in Dr DV Chug v State & Anr, Delhi High Court ruled that the professional establishment of a doctor does not fall within the definition of commercial activity. Holding that “commerce is that activity where a capital is put into work and risk run of profit or loss”, the court set aside proceedings initiated by the Municipal Corporation of Delhi (MCD) against DV Chug in a trial court.
The MCD had accused Chug of an offence under the Delhi Municipal Corporation Act, 1957, for running a medical clinic from his residence without permission, and thereby changing the use of his property from residential to commercial. The MCD had allowed the property to be used only as a residence.
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The update of court judgments is compiled by Bhasin & Co, Advocates, a corporate law firm based in New Delhi. The authors can be contacted at lbhasin@bhasinco.in or lbhasin@gmail.com. Readers should not act on the basis of this information without seeking professional legal advice.
