The court asked the state government to maintain "status quo" in respect of the land lease.
The Cabinet had cancelled the lease of 98 acre of land at Sadhupul near Kandaghat in Solan district on February 19, following which revenue officials had taken possession of the land along with buildings and other infrastructure.
Patanjali Yogpeeth filed a writ petition challenging the decision of the cabinet to cancel the lease and also the follow up action to take over the possession of the land by the government.
The government had maintained that the land was given to Patanjali Yogpeeth by the then BJP government in 2010 in violation of statutory provisions of law and also thwarted the plans of the Patanjali Yogpeeth Trust to inaugurate the first phase of the mega project on Wednesday.
Challenging the action of the government, Patanjali Yogpeeth moved the high court, alleging that the decision of the government was illegal, arbitrary and violation of cannons of natural justice.
The petitioner submitted thet the land was given to Patanjali Yogpeeth through a valid lease and it had already incurred an expenditure of Rs. 11-crore on construction of buildings and development of other infrastructure.
The land originally belonged to the erstwhile royal family of Patiala in 1956 and former Punjab chief minister Amarinder Singh, a section of the Royal family had also objected to the decision of the government, maintaining that the land was donated for a specific purpose and its land use cannot be changed.
The BJP gave the land to the yoga guru in 2010 for a one-time lease payment of Rs. 17 lakh for 99 years at a token of annual fee of Re 1.