The police move comes after they reportedly did not find enough evidence in the matter, virtually ending the case as they cannot continue further investigations.
Dutta's lawyer Nitin Satpute said that they would challenge the police move in the matter.
"If the police file any B or C classification of Summary Report, that cannot be final. We shall oppose it before the court. After hearing, if the court is satisfied, then it can again direct the police to re-investigate," Satpute told IANS.
He accused the police of conducting a shoddy probe into the entire matter, not recording the statements of many other witnesses, but relying on the evidence of only "one or two" witnesses in a bid to protect the accused.
"In view of this, we shall oppose the B Summary Report and also file a writ petition before Bombay High Court," Satpute added.
Dutta had lodged the complaint against Patekar in September 2018 accusing him of allegedly sexually harassing her over a decade ago, in 2008 during a shoot, but he (Patekar) had stoutly denied the charges levelled by her.
The actress on Thursday said in a statement "Our witnesses have been silenced by intimidation and fake witnesses have been put forth to weaken the case. What was the rush to file a B Summary report when all of my witnesses have not even recorded their statements yet? I'm neither shocked nor surprised being a woman in India this is something we all have got used to."