The Delhi High court has summoned the directors of Ansal Properties and Infrastructure, in response to a plea by 126 buyers of Ansal API's real estate project, The Fernhill, located at Sector 91, Gurgaon. In their petition, they buyers had alleged defaults on the part of Ansal API in delivering the project within the promised time frame as well as the grace period provided under the clauses of the builders-buyers agreement. The directives stated that a status quo was to be maintained regarding title and possession of the properties including the plots in question. The court has summoned them stating that the real estate developer in coalition with a finance company have misled the court by manner of concealing material facts, and by acting in a manner so as to disregard and frustrate the orders of the court.Read more

The National Consumer Disputes Redressal Commission (NCDRC) has directed Raheja Developers to compensate a homebuyer for delay in delivery and possession of a Villa in their Gurugram project. The homebuyer had booked a villa in phase 1 of “Raheja Aranya City” in 2012 and paid multiple instalments over the years. The builder cited force majeure as reasons for the delay, however the NCDRC has rejected this claim and asked them to compensate the buyer to the tune of Rs 1.2 crores plus Rs 50,000 for litigation costs. The builder has been given six months to execute the order, after which an additional penalty of 15 per cent simple interest per annum will be added for the period of delay.Read more

Earlier this week, in a bid to provide respite to homebuyers and developers, the boards of Noida and Greater Noida civic authorities approved several amendments to their policies pertaining to housing. The most notable amendments include changes to the rescheduling of dues wherein a builder or buyer can reschedule payment on an outstanding for up to two years. The authorities amended the time extension policy to allow new projects to request for up to 13 years of extension. Structural audits will have to be carried out the at the cost to the builders for the first five years of issuance of the occupancy certificate. Lastly, All pet owners will have to register their cats and dogs with concerned authorities.Read more

According to a report filled by an Interim Resolution Professional (IRP) with the National Company Law Appellate Tribunal (NCLAT), Supertech has allegedly offered possession to homeowners across 148 towers, plots and villas without having procured an occupancy certificate for the same. Approximately 9,000 flats in 18 projects are already occupied. According to the management Supertech has applied for the OC for all these projects and all other approvals and NOCs have been procured. However, their application for the final OC has been held up by local authorities on account of outstanding dues payable by the company.Read more

The Maharashtra Real Estate Regulatory Authority (MahaRERA) recently published an order outlining the model agreement for sale's non-negotiable terms. According to authorities, several sale agreements uploaded do not follow the model form. While modifications to the agreement for sale are permissible by MahaRERA, all modifications must be noted in the deviation sheet and uploaded accordingly which many are not doing. Key provisions that include the builder's liability for structural flaws for a period of five years, acquiring OC, forming a society, and executing registered conveyance deeds in favour of societies in a timely way are non-negotiable but often left out by errant builders.Read more

Nearly eighteen months after the Supreme Court deemed The West Bengal Housing Industry Regulatory Act (WIBHIRA) as illegal and unconstitutional, the state of West Bengal finally implemented the RERA Act by creating the West Bengal Real Estate Regulatory Authority (WBRERA). West Bengal was the only state in country that had not implemented the RERA Act since its passing in 2016. They evaded doing so by creating the WBHIRA as a state substitute to the RERA Act, something no other state in the country had attempted to do.Read more

According to data released by the MahaRERA authorities, since its inception over 35,000 projects have been registered with the authority. However, in the last five years over 2,7500 projects worth approximately Rs 90,000 crores have stalled. The builders in question procured registrations numbers for their respective projects but failed to adhere to the norms set by the authorities ultimately causing their registrations to lapse. Apart from defaulting on possession dates, authorities have found that several builders have also found loopholes in the law to divert funds from one project to another.Read more

In a bid to ensure homebuyers approaching the MahaRERA REAT are receiving justice, the MahaRERA authorities have directed 13 district collectors to follow up on cases where dues are pending from the builders. These districts include Pune, Thane, Palghar, Aurangabad, Nagpur, Nashik, Chandrapur, Sindhudurg, Satara, Ratnagiri, Mumbai City and Mumbai Suburban. In last five years over 730 warrants have been issued which total to approximately Rs 730 crores in compensation payments due from developers to homebuyers. The compensations have been awarded for shortcomings such as delayed possession, abandonment of project, inferior quality of construction, changes in project plans, etc.Read more

The MahaRERA authorities are preparing to approach the Maharashtra state’s Urban Development Department (UDD) to propose a dedicated portal catering to construction approvals such as the commencement certificate and occupation certificates. A commencement certificate is one of the many mandatory documents requested by MahaRERA when issuing registration numbers. The authorities believe that the creation of such a a portal will allow both authorities and potential home buyers to view and verify construction approvals of a project. Currently there is no dedicated portal displaying this information.Read more

The state government of Maharashtra has struck down the April 2022 decision of the MVA regime to prohibit redevelopment of single buildings in a MHADA complexes. Residents whose buildings may have deteriorated more than neighbouring structures can now apply for redevelopment and need not wait for cluster redevelopment to take place. Earlier this week, the President of India signed off on amendments to the MHADA Act thereby allowing owners and tenants to apply for redevelopment of building termed ‘hazardous’ or ‘dangerous’ independently if faced with opposition by local authorities.Read more