On 12 October 2009, the Haifa Administrative Court heard a petition submitted by Adalah against the National Council for Planning and Building in March 2009 on behalf of 43 residents of the village of Daliyat al-Carmel against the new regional master plan for the village (No. AD/300). The court hearing was attended by many petitioners and residents of Daliyat al-Carmel and the Head of the Local Council.

Adalah Attorney Ala' Mahajneh presented the court with updated data from the field on the number of buildings threatened with demolition if the master plan is approved; the number of these buildings exceeds 270 and includes more than 800 homes.

During the hearing, the judge stated that exposing such a large number of buildings to demolition if the master plan is applied is unreasonable and shows that the plan was put into place in an unprofessional manner without taking into account the current situation of the residents. The court gave the petitioners 30 days to provide a detailed list of the number of buildings threatened with demolition, the number of homes and the names of their respective owners.  In light of this data, the court will then decide on the petition.

The court also granted Adalah’s request made on behalf of the petitioners to include the Popular Committee for the Defense of Daliyat al-Carmel lands to the list of petitioners, which allows for the representation in court of the largest number of people affected by the plan.

In the petition, filed by Adalah Attorney Suhad Bishara, the Daliyat al-Carmel residents argued that the plan ignores the current situation in the area and their right to housing and development and an adequate standard of living.  The plan does not provide any solutions to the shortage of housing and land in the village, and more or less converts hundreds of homes in Daliyat al-Carmel into an unrecognized village with no basic services or appropriate infrastructure, with the homes under constant threat of demolition.

Further, the plan does not allocate sufficient land for economic development and makes the establishment of an industrial zone compatible with the economic potential of the town impossible. The plan proposes a reduction in the village's Industrial Zone by about 53 dunams. According to the plan, the industrial zone will be reduced from the existing area of 134 dunams to just 81 dunams. This plan would deter the setting up of new businesses and light industry in the village and could result in current businesses relocating, to the obvious detriment of the village’s economy. By definition, industrial areas can be a lever for economic development and vocational education of the residents, providing a variety of new job opportunities for the residents, especially women.