Section 190(2) in The Maharashtra Municipal Councils, Nagar Panchayats And Industrial Townships Act, 1965
(2)Refusal under clause (i) of sub-section (1) shall be subject to the following conditions :-(a)if the property is acquired and no agreement is arrived at as regards the amount of compensation payable to the person giving notice under sub-section (2) of the last preceding section the same shall be determined in accordance with the provisions of Section 330 regard being had to the likely benefit, which would have accrued to such person, if the permission had not been refused;(b)if within a period of six months from the date of the resolution of the Council proposing to acquire the land, the land is not acquired by the Council by agreement upon payment, or if within such period, an application had not been made to the Collector for the institution of proceedings for compulsory acquisition under the provisions of the Land Acquisition Act, 1894, or if the Council abandons the proposal to acquire the land, the notice given under sub-section (2) of the last preceding section shall be deemed to have been revived with effect from the date on which the said period of six months expires, or with effect from the date on which the decision of the Council to abandon the proposal is arrived at, as the case may be. Such decision shall be communicated to the person giving notice, within fifteen days from the date of the decision; and the notice shall be dealt with as if the Council had not passed a resolution to acquire the land. The Council shall be liable to pay compensation to the said person in respect of the loss which he may prove to have incurred by reason of the Council's refusal to grant the permission:Provided that, the Council shall not be liable to pay compensation if the notice under sub-section (2) of the last preceding section is given subsequent to the passing of the resolution by the Council to acquire the land.