KOCHI: The Kerala High Court’s recent ruling, which permits building owners to determine whether or not to charge customers for parking their vehicles, has come as a blow to the commonfolk. The court’s order came at a time when complaints were mounting about ‘illegal’ parking fees being collected by commercial establishments.
According to civic authorities, the order might set off a wrong precedent as it allows private parties to collect fees even for statutory parking spaces without the consent of the local bodies. Recently, the Thiruvananthapuram corporation issued several notices to ‘violators’, including malls and other commercial establishments. Now, it finds itself in a tight spot after the court’s ruling.
Experts recommend an amendment to the Kerala Municipal Act to bring more clarity to the rules and regulations relating to the collection of parking fees.
Did the court backtrack?
Interestingly, in early 2022, whilst hearing a petition filed by Bosco Louis and Pauly Vadakkan against the parking fee that Lulu International Shopping Mall Pvt Ltd, Kochi, charged its customers, the court had opined that the collection of parking fees from customers by shopping malls was prima facie illegal.
“In my opinion, it’s serious and illegal,” observed Justice P V Kunhikrishnan.
“As per the Building Rules, sufficient area for parking space is necessary for constructing a building. Parking space is part of the building. The building permit is issued on the condition that there will be parking space. Based on this undertaking, the building is constructed. After constructing the building, whether the owner of the building can collect parking fees is the question. Prima facie, I am of the opinion that it is not possible.”
However, the recent HC order, citing the Kerala Municipality Building Rules (KMBR) of 1999, stated that there was nothing that prohibited property owners from charging parking fees. Justice V G Arun noted: “... a collection of fees from the vehicles parking in the 1,083 parking slots in the basement of Lulu Mall is legal, but a collection of fees from vehicles parking in the multilevel parking facility, without obtaining a licence under Section 475 of the Kerala Municipality Act, is illegal.”
“If the company intends to utilise the multilevel parking facility near the shopping mall and collect parking fees from persons using the facility, that can be done only under a licence issued in terms of Section 475 of the Act.”
Bosco terms the single-bench verdict “unfortunate”. “Even after producing all the legal documents, the court issued such an order. I hope the division bench will issue orders in favour of citizens,” he adds.
Crores in parking fees
According to Bosco, the mall earns at least Rs 4 lakh a day from parking fees alone. “So in the past 10 years, they have earned over `140 crore from parking fees,” he says. “It is illegal to collect fees from customers for parking in statutory space provided for them. The Gujarat and Delhi High Courts have taken a strong stand and have ruled against the collection of parking fees by malls and other commercial establishments.”
Kalamassery Municipality Secretary P R Jayakumar says KMBR lacks clarity in terms of collecting fees. The Act clearly states that parking is a must for every 90sq.m of built-up area for buildings having a total built-up area of up to 1,260sq.m. If the total built-up area is above 1,260 sq m, there should be one parking for every 60sq.m of built-up area.
“However, nowhere does it mention anything about the collection of parking fees. That is why the public had to approach the court. The basement parking of the mall comes under the municipality, and according to the court order, Lulu can collect the fees,” he says. “The multi-level parking comes under the corporation limit.”
The fight continues
Bosco has now challenged the single bench order before the division bench of HC. “See, after the order came out in April, many commercial buildings, including hospitals, have started collecting parking fees. This is a public issue,” he says.
A Thiruvananthapuram Corporation official maintains it is against the Municipal Act to collect fees without obtaining a licence. “The HC order is specifically for Lulu Mall, Kochi, and we will continue to implement the existing rules relating to parking in the capital,” says the official.
“It’s not allowed to collect parking fees for the statutory parking space. We had slapped a notice on a mall for illegally collecting parking fees, but they got a stay order from the court. The High Court order will be a boon for such shopping establishments here. Even if we don’t give permission, they will manage to get orders from courts and continue collecting fees.”
The official adds that they are unaware of the fine being collected by the mall for losing the parking slip. “We haven’t received any complaint in this regard. We will look into it when we receive complaints,” the official says.
Citizens dismayed
The HC ruling in favour of commercial establishments has come much to the dismay of citizens and civic authorities. Nidhin George, who recently visited Lulu Mall in Thiruvananthapuram, is shocked at the parking fee rates.
“I was surprised to see the mall collecting a Rs 150 fine for losing a parking slip. It’s not fair to collect parking fees from customers. We spend so much at the mall. Many malls give a refund if we show purchase bills. There should be uniform rules,” he says.
Shiji Abraham from Kochi is also enraged about the parking fee. “For an hour, Lulu Mall collects `30 as a parking fee, and it increments by Rs 10 for every additional hour. Now, imagine if you are watching a film and then shopping. You are spending money in the mall, and yet pay for the parking,” she says.
“Why can’t they refund it if we spend a particular amount at the mall? There are several malls and stores that adjust parking fees against purchase bills. That is a fair way to do things.”
It is not just Lulu Mall; other commercial establishments like Centre Square Mall in Kochi are also levying parking fees from customers. “However, one of our stores offers a deduction of parking free after purchasing for a particular amount,” says Centre Square Mall’s security supervisor Biju Thomas.
Nucleus Mall in Kochi, meanwhile, offers a refund after purchasing for a certain amount from its Smart Bazar.
What activists, experts say
M S Venugopal, president of the Federation of Residents’ Association Thiruvananthapuram (FRAT), says, “Levying parking fees from visitors is against the law. The government should intervene and put an end to such illegal collection of fees. Or else from tomorrow, they will start collecting fees for using escalators, toilets and other facilities at the mall”.
P H Kurian, chairman of the Real Estate Regulatory Authority (RERA), says bringing in more clarity in the Kerala Municipal Act will help avoid such confusion and misinterpretations relating to the collection of parking fees. “The government should bring in laws to provide free parking for citizens in public spaces,” he adds.