RERA - Law - 2016 Legal Provisions Useful to General Public

- Lokabhimukha Guidance : H.S. Patel IAS (Retd.)

- The Act also has provisions to prevent 'monopoly' being created by the developer

In the previous article we have described what are the duties of the real estate promoter/developer, similarly the provisions regarding the rights and duties of the allottee of the house/apartment/plot are stated in clause-19 of chapter-4 and accordingly the allottee The project is entitled to get a Memorandum of Understanding (MOU - Agreement) signed by the promoter with complete details map, layout and information as prescribed by these Acts / Rules approved by the Regular Authority and provision of water, sanitation and other facilities as mentioned in the Sale Agreement. Entitled to schedule for phased completion. Likewise, the promoter shall be entitled to claim possession of the house/apartment as per the agreement and likewise the allottees' association shall be entitled to jointly claim the common facility. Further to protect the rights of the allottees in case of cancellation or suspension of registration by the promoter as per the agreement of sale and breach of rules and due to this the promoter ceases business and fails to comply with the agreement and is unable to hand over the possession of the house/apartment. The Promoter is entitled to claim re-fund of the amount paid with interest at such rate as may be determined under this Act and such compensation as may be provided thereunder.

It often happens that, possession of the house / apartment is handed over, but the promoter documents the common (majiara) areas and the project e.g. Documents or possession of garden, parking - play area, solid waste are not provided. So allottees are entitled to get possession of such documents/possession as per the provisions of this Act. Secondly, as the allottee is entitled to receive the documents/facilities as per the sale agreement from the promoter, in the same way as per clause-13 of the apartment/plot/building agreement the allottee is bound to make payment as per the terms and as per the time limit. is, because the agreement between the promoter and the allottee is not unilateral. Both the parties are mutually bound to comply, likewise bound to pay document charges, municipal taxes, water and electricity charges, maintenance charges, land revenue and any other charges leviable or contribution payable. Thus in case of delay in the payment deadline fixed as per the MoU, interest will also be liable to be paid at the rate fixed and the amount of interest may be reduced by mutual agreement between the promoter and the allottee as per the MoU. Also every plot / house holder association / co-operative society or federation is required to participate in being formed. Similarly, after receiving the occupancy certificate of the house, the allottee has to take possession within a period of two months and participate in the documentation of the house/plot.

Thus the above provisions are necessary to be known to the allottees, as they have rights and duties and the allottee of the plot should pay within the time limit. Among the main provisions under this Act, the rights and duties of real estate developers, promoters and allottees have been described, but at the same time, it is important to know the functions of the regulatory authority under this Act. Provisions of the Act are therefore made in Section-34 and according to it registration of real estate projects, registration and regulation of agents, engineers, architects and placing on the website of the registration and publishing and maintaining for public information likewise if any The reason for doing this is to include the photograph of the promoter as delinquent along with the reasons for the registration canceled or penalized and if the agents so registered are also found delinquent, the reason for doing this is to inform the public also of the promoters/agents. May their actions be known. The Real Estate Authority has the power to determine area wise the fees to be collected from allottees / promoters and agents and to frame the rules thereof. Likewise, the Promoter / Agent / Allottees have the right to ensure compliance with the duties and responsibilities imposed under this Act and if this is done, public confidence will be restored and so that in addition to the provisions made under this Act, the respective Governments (State and Central ) is responsible for enforcing the additional powers conferred on the Authority. The Authority is also empowered to impose fines or interest on the promoters/agents/allottees for compliance with the rules framed under this Act and may recover the same as arrears of land revenue within the power to recover the same. In real estate, there are provisions to direct the authority to take action to the Competition Commission of India in case of abuse by certain developers creating a monopoly situation and thereby jeopardizing the interest of allottees. Thus, the provisions of the RERA Act are meant to regulate real estate and protect the interest of all stake holders. (complete)