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Kerala High Court Backs Lulu Mall’s Right to Collect Parking Fees

Introduction

The Kerala High Court has affirmed the right of Lulu Mall in Kochi to collect parking fees from its visitors, dismissing a writ appeal challenging this right. The decision reinforces the legal position that private commercial establishments may charge for parking, provided licensing norms are followed.

The ruling was delivered by a Division Bench comprising Justices Sushrut Arvind Dharmadhikari and Syam Kumar V.M.

Background of the Case

Lulu Mall Kochi, one of India’s largest malls, offers over 4,387 parking spaces:

  • 1,083 slots in the basement (as required under building norms)

  • Remaining slots in a dedicated multilevel parking structure

The dispute arose when visitor and film director Pauly Vadakkan was charged ₹20 for parking and subsequently challenged the practice along with co-petitioner Bosco Louis.

Core Legal Issue

The petitioners argued that:

  • Charging for parking violates the Kerala Municipality Act and local building rules

  • Commercial complexes must provide free parking as part of statutory obligations

Their claim was centered on the belief that mall visitors are entitled to free parking facilities.

Court’s Findings

The single-judge decision earlier differentiated between:

Parking ZoneLegal Status
Basement Parking (licensed under Section 475 of the Kerala Municipality Act)✅ Fee legally permissible
Multilevel Parking Facility (no license)❌ Fee collection invalid

The Division Bench upheld this reasoning, confirming that fee collection is valid only when proper licensing requirements are met.

Mall’s Argument

Lulu Mall submitted that:

  • Construction and maintenance of large parking spaces involve substantial investment

  • Additional expenses include security, surveillance systems, and facility upkeep

  • No law prohibits a commercial establishment from charging reasonable parking fees

The court agreed that private commercial complexes may recover reasonable operational costs.

Final Outcome

The Kerala High Court dismissed the appeal and ruled:

  • Mall owners can charge parking fees if licensed under applicable municipal rules

  • Lulu Mall may continue charging fees for licensed parking areas

  • A detailed judgment will specify compliance details and conditions

This ruling strengthens the principle that private property rights and public convenience must coexist, subject to statutory controls.

Conclusion

The judgment clarifies that paid parking in private commercial spaces is lawful, so long as licensing and regulatory requirements are satisfied. It sets an important precedent for malls, multiplexes, and large commercial establishments across India.

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