RERA Cases Quarterly Digest 2024

The Ministry Of Housing And Urban Affairs Releases Report On The Implementation Status Of The Real Estate (Regulation & Development) Act

The Ministry of Housing and Urban Affairs (MOHUA) has released the implementation status report of the Real Estate (Regulation & Development) Act, 2016, commonly known as RERA, in India. This legislation, which came into effect on May 1, 2017, aims to protect homebuyers and promote investments in the real estate industry by establishing a Real Estate Regulatory Authority (RERA) in each state for the regulation of the real estate sector and acting as an adjudicating body for speedy dispute resolution.

Karnataka High Court

Karnataka HC Directs State Government To Appoint Chairperson And Members To Karnataka Real Estate Appellate Tribunal

Case: Sri Mathew Thomas V/S State of Karnataka

The Karnataka High Court bench comprising of Justice M. Nagaprasanna has directed the State government of Karnataka to expeditiously appoint chairperson and members to Karnataka Real Estate Appellate Tribunal (REAT), which has become non-functional due to these vacant posts.

Bombay High Court

Bombay High Court: Co-Promoters Are Also Liable To Pay Refund With Interest To Allottees In Case Of Delay Under Section 18 Of The RERA.

Case: Wadhwa Group Housing Private Ltd V/s. Mr. Vijay Choksi and SSS Escatics Pvt. Ltd

The Bombay High Court bench, comprising of Justice Sandeep V. Marne, has held that promoters who are part of a real estate project but haven't received any consideration from the allottee will still be classified as “Promoters” under Section 2(zk). Consequently, they will be liable to refund the amount with interest to the allottees under Section 18 of the Real Estate (Regulation and Development) Act, 2016.

Maharashtra Real Estate Regulatory Authority (MahaRERA)

MahaRERA Becomes The First Regulatory Authority To Release Guidelines For Retirement Housing Projects

The Maharashtra Real Estate Regulatory Authority (MahaRERA) took a significant step forward by unveiling draft model guidelines to meet the unique requirements of senior citizen housing projects. This makes MahaRERA the first housing regulatory body in India to formalize regulations specifically for retirement housing projects. Previously, the Ministry of Housing and Urban Affairs (MoHUA) had issued model guidelines, urging state regulators to implement appropriate regulations. Responding to this directive, MahaRERA has formulated this framework for Maharashtra.

Haryana Real Estate Regulatory Authority

HRERA Affirms Allottee's Right To Refund In Case Of Delayed Possession, Orders Manglam Multiplex To Refund Earnest Money To Buyers

The Haryana Real Estate Regulatory Authority, Gurugram bench comprising of Ashok Sangwan (Member) held Manglam Multiplex Private Limited liable for forfeiture of earnest money paid by the Complainants after the Complainants cancelled the booking for a unit in Section 65 of Gurugram. The bench directed it to refund the earnest money paid by the Complainant and reiterated the allottee's unequivocal and absolute right to seek a refund if the promoter fails to deliver possession within the stipulated time.

Tamil Nadu Real Estate Appellate Tribunal

TNREAT Orders Hiranandani Realtors To Register The Entire Township Project Under RERA As One Unit

Case Title: M/Hiranandani Realtors Private Limited vs Hiranandani Amalfi Owners Association

The Tamil Nadu Real Estate Appellate Tribunal (Tribunal) bench, comprising of Justice M. Duraiswamy (Chairperson) and R. Padmanabhan (Judicial Member), has ordered Hiranandani Realtors to register the entire Township project, which includes many high-rise buildings, under The Real Estate Regulatory Authority (RERA) as one unit. Furthermore, Tribunal has also ordered Hiranandani Realtors to return 70% of the total corpus fund and all documents related to the township project to the allottees association.

Maharashtra Real Estate Appellate Tribunal

MahaREAT Orders Larsen And Toubro (L&T) To Pay Interest For The Delayed Possession To The Homebuyer

Maharashtra Real Estate Appellate Tribunal (Tribunal) bench, comprising of Justice Shri Shriram R. Jagtap (Judicial Member) and Dr. K. Shivaji (Technical Member), has ordered L & T Parel project LLP to pay interest to the allottee for the delayed possession of the flat, which the allottee booked in the L & T Crescent Bay Project Parel, Mumbai.

Maharashtra Real Estate Appellate Tribunal (MahaREAT/Tribunal)

MahaREAT – If Homebuyer Has Provided Written Undertaking Confirming Resolution Of All Grievances, They Cannot Withdraw From It

Maharashtra Real Estate Appellate Tribunal (MahaREAT/Tribunal) bench, comprising of Justice Shri Shriram R. Jagtap (Judicial Member) and Dr. K. Shivaji (Technical Member), has held that If a homebuyer has given an express written undertaking stating that all their concerns have been addressed and resolved, they are not allowed to later change their mind and raise the same issues again while seeking the same type of relief through an appeal.

Karnataka Real Estate Regulatory Authority (RERA/Authority)

Karnataka RERA Rejects Homebuyers Complaint Of Restraining Builder From Constructing On Area Reserved for Amenities

Karnataka Real Estate Regulatory Authority (RERA/Authority) bench, comprising Justice HC Kishore Chandra (Chairperson), Neelmani N Raju (Member), and GR Reddy (Member), rejected the homebuyers complaint of restraining the builder from constructing on the area reserved for common amenities. Accordingly, RERA held that a change in amenities location as shown in the conceptual plan (Brochure) will not make the builder liable for deviating from the sanctioned plan.

Maharashtra Real Estate Regulatory Authority (MahaRERA)

Maharashtra RERA Grants Fourth Extension To Adhiraj Constructions To Complete Project

The Maharashtra Real Estate Regulatory Authority (MahaRERA) bench, comprising of Ajoy Mehta (Chairperson), granted a one-and-a-half-year extension to Adhiraj Constructions Private Limited to complete its three towers, namely Tower 1A, 1B, and 3B, which are part of the Adhiraj Samyama project, for the fourth time. Previous three extensions were granted by MahaRERA on the grounds of COVID-19.

Uttar Pradesh Real Estate Regulatory Authority (UPRERA)

UPRERA Orders Builders To Name Projects, Towers, And Blocks As Per Sanctioned Map

Uttar Pradesh Real Estate Regulatory Authority (UPRERA) has issued office order directing builders to name their housing projects, Towers, and blocks as per the sanctioned map. This directive from UPRERA came after authority observed that various builders were naming their projects differently from what was originally registered with RERA.

Karnataka Real Estate Regulatory Authority (KRERA)

Karnataka RERA Grants Second Extension To Varin Infra Projects To Complete Project

The Karnataka Real Estate Regulatory Authority (KRERA) bench, comprising HC Kishore Chandra (Chairperson) and Neelmani N Raju (Member), granted a 2-year extension to Varin Infra Projects Pvt. Ltd for its project Adarsh Tranqville for the second time, under Section 7(3) of the RERA 2016. In total, this is the fourth extension of the project, the other two extensions were granted by Karnataka RERA on the grounds of Covid-19 under Section 6 of RERA 2016.

Telangana Real Estate Regulatory Authority (TSRERA/Authority)

Telangana RERA Orders Builder To Refund Homebuyer's Advance After Homebuyer Decides Not To Purchase Flat

The Telangana Real Estate Regulatory Authority (TSRERA/Authority) bench, comprising of Justice Dr. N. Satyanarayana (Chairperson), K. Srinivasa Rao (Member), and Laxmi Narayana Jannu (Member), has directed the builder to refund the advance money paid by the homebuyer after homebuyer decided not to purchase the flat due to financial reasons.

Telangana Real Estate Regulatory Authority (TSRERA/Authority)

Telangana RERA Orders Homebuyer To Pay Remaining Amount With Interest To Builder For Failing To Make Payment on Time

The Telangana Real Estate Regulatory Authority (TSRERA/Authority ) bench comprising of Justice Dr. N. Satyanarayana (Chairperson), K. Srinivasa Rao (Member), and Laxmi Narayana Jannu (Member), has ordered the homebuyer to pay the remaining amount with interest to the builder for failing to adhere to the payment schedule.

Punjab Real Estate Regulatory Authority (RERA/Authority)

Punjab RERA- Delay In Possession Will Be Counted From Date Of Agreement To Sell Made Before Project's RERA Registration

Punjab Real Estate Regulatory Authority (RERA/Authority) bench consisting of Justice Balbir Singh (Adjudicating Officer) has held that the delay in handing over the possession would be counted from the date mentioned in the agreement for sale entered into by the builder and the homebuyer prior to its registration under RERA.

Punjab Real Estate Regulatory Authority (RERA/Authority)

Punjab RERA - Arbitration Clause In Agreement For Sale Does Not Restrict Homebuyers From Approaching RERA

Punjab Real Estate Regulatory Authority (RERA/Authority) bench consisting of Justice Balbir Singh (Adjudicating Officer) has held that homebuyers can approach RERA for the adjudication of matter, even though the Agreement for Sale stipulates an Arbitration Clause. Accordingly, Punjab RERA directed the builder to compensate for the delayed possession.

Uttar Pradesh Real Estate Regulatory Authority (UPRERA)

UP RERA Issues Directive To Include Co-Allottee's Name In Complaints

Uttar Pradesh Real Estate Regulatory Authority (UPRERA) has issued an office notice addressing a common issue found in pending complaints across various benches. The notice highlights the absence of co-allottees names in complaints filed by the primary complainant.

Tamil Nadu Real Estate Appellate Tribunal

TNREAT : If The Sale Agreement Stipulates Interest On Corpus Fund, Promoter Must Pay It, Whether They Earned Any Interest Or Not

The Tamil Nadu Real Estate Appellate Tribunal (Tribunal) bench, comprising of Justice M. Duraiswamy (Chairperson) and R. Padmanabhan (Judicial Member), has held that if the sale agreement stipulates that the promoter will earn interest on the corpus fund, then the promoter is liable to pay interest on the corpus fund, regardless of whether they actually earned any interest from it.

Maharashtra Real Estate Appellate Tribunal

Maha REAT: Builder Firm Can't Argue That Partner Who Received Money From Home Buyer Retired, Firm Is Liable

Maharashtra Real Estate Appellate Tribunal (Tribunal) bench, comprising of Justice Shri Shriram R. Jagtap (Judicial Member) and Dr. K. Shivaji (Technical Member), has held the construction firm liable for the misapplication of consideration money by the erstwhile partner. The consideration money of Rs. 22 lakh was paid by the homebuyers to the erstwhile partner of the construction firm to book a flat.

Uttar Pradesh Real Estate Regulatory Authority (UPRERA)

UP-RERA Introduces Digitally Signed QR-Coded Project Registration Certificate

The Uttar Pradesh Real Estate Regulatory Authority (UPRERA) has introduced digitally signed QR-coded project registration certificates and directed builders to prominently display these certificates featuring QR codes at both corporate and project site offices.

Maharashtra Real Estate Regulatory Authority (MahaRERA)

MahaRERA Releases Discussion Paper On Maintenance And Operation Of Bank Accounts For Registered Projects, Invites Suggestions And Objections

The Maharashtra Real Estate Regulatory Authority (MahaRERA) has released a discussion paper addressing the maintenance and operation of bank accounts for registered real estate projects. This initiative aligns with Section 4(2)(l)(D) of the Real Estate (Regulation and Development) Act, 2016, which mandates that seventy percent (70%) of the funds collected for real estate projects from allottees must be deposited in a separate account maintained by a scheduled bank.

Haryana Real Estate Regulatory Authority

Haryana RERA Granted The Homebuyer Permission To Withdraw From The Project Due To The Delayed Possession

Haryana Real Estate Regulatory Authority (Authority) bench comprising of Justice Ashok Sangwan (Member) has granted the homebuyer permission to withdraw from the real estate project due to delayed possession. Accordingly, the Authority directed the builder to refund the entire amount paid by the homebuyer, along with interest.

Maharashtra Real Estate Regulatory Authority (MahaRERA)

MahaRERA Orders Deregistration Of 'Nishuvi Rehab Phase' From RERA

The Maharashtra Real Estate Regulatory Authority (MahaRERA) bench comprising of Justice Ajay Mehta (Chairperson), Mahesh Pathak (Member - I) and Ravindra Deshpande (Member - II), has ordered the deregistration of Nishuvi Rehab Phase from RERA after the builder failed to continue with the construction of the project.

Himachal Real Estate Regulatory Authority (HPRERA)

Himachal RERA Orders Full Refund , Rejecting Builder's Contention Of Deducting 10% Of The Flat's Cost As A Booking Charge

The Himachal Real Estate Regulatory Authority (HPRERA) bench comprising of Justice Rajeev Verma, has granted the homebuyer a full refund of their investment by rejecting the builder's contention of deducting 10% of the flat's cost as a booking charge.

Uttar Pradesh Real Estate Regulatory Authority (UPRERA)

U.P. RERA Makes It Mandatory For Promoters To Prove Their Title of Project Land

Uttar Pradesh Real Estate Regulatory Authority (UPRERA) has issued office order directing the promoters to ensure that they have legal title over the land on which they are applying for registration of the project. In case, the project land is not in the ownership of the promoter but in the ownership of some other person or persons, the promoter must have the consent of such landowner for the development of the proposed project and must have a registered joint development agreement to this effect with the landowner. RERA has also directed the promoters to file an affidavit to the effect that the project land is free from encumbrances and to disclose the same if there is any encumbrance on the land of the project.

Telangana Real Estate Regulatory Authority (TSRERA or Authority)

Telangana RERA: Only The Aggrieved Party Can Approach RERA

The Telangana Real Estate Regulatory Authority (TSRERA or Authority) bench comprising of Justice Dr. N. Satyanarayana (Chairperson), K. Srinivasa Rao (Member), and Laxmi Narayana Jannu (Member) rejected the complaint of a person who was neither an allottee, a real estate agent, nor a landowner, holding that only the aggrieved party can approach RERA under section 31 of the Real Estate (Regulation and Development) Act, 2016.

Rajasthan Real Estate Regulatory Authority (RJRERA)

Rajasthan RERA Rejects Homebuyer's Complaint For The Basement Parking Facility, Holding That It Was Never Part Of The Approved Construction Plan

The Rajasthan Real Estate Regulatory Authority (RJRERA) consisting of Justice RS Kulhari (Adjudicating Officer) rejected the homebuyer's complaint for basement parking facility, holding that it was never part of the approved construction plan, while hearing the seven complaint matter against the builder.

Maharashtra Real Estate Regulatory Authority (MahaRERA)

Maharashtra RERA Grants Fourth Extension To Bhumiraj Builders To Complete Project

The Maharashtra Real Estate Regulatory Authority (MahaRERA) bench, comprising of Ajoy Mehta (Chairperson), granted a 4-year extension to Builder Bhumiraj Builders Pvt. Ltd for its project, which includes 4 towers namely Bhumiraj Hills Tower 1, 2, 3, & 4, for the fourth time. Previous three extensions were granted by MahaRERA on the grounds of COVID-19.

West Bengal Real Estate Regulatory Authority (WBRERA)

West Bengal RERA Mandates Clear Display Of Registration Details In Real Estate Advertisements And Promotional Materials

The West Bengal Real Estate Regulatory Authority (WBRERA) has issued an office order addressing the mandatory display of registration details and website addresses in advertisements and other promotional material of registered projects by builders. The order emphasizes the requirements stipulated under Section 11(2) of the Real Estate (Regulation and Development) Act, 2016, which mandates builders to prominently display the WBRERA Registration Number and website address in all project-related advertisements and prospectuses.

Haryana Real Estate Regulatory Authority (HARERA)

Haryana RERA Holds Builder Liable For Charging Amount Based Super Built-Up Area Instead Of Carpet Area, Orders Refund

Haryana Real Estate Regulatory Authority (HARERA) comprising of Justice Ashok Sangwan (Member) orders builder to refund the amount with interest to the complainant and holds him liable for wrongly calculating the total price of the unit based on its super built-up area instead of its carpet area.

Maharashtra Real Estate Appellate Tribunal

MahaREAT: Rights Of Allottees Under Section 18 Is Unconditional & Absolute, Regardless Of Unforeseen Events Beyond Control Of Promoter

Case: Neelkamal Realtors Suburban Pvt. Ltd vs Mrs. Regina D'Costa

Maharashtra Real Estate Appellate Tribunal ('Tribunal') bench comprising of Justice Shriram R. Jagtap (Judicial Member) and DR. K. Shivaji (Technical Member) has held that rights of allottees under Section 18 to seek refund/ claim interest for delay is unconditional & absolute, regardless of unforeseen events and factors beyond control of Promotor.

Maharashtra Real Estate Appellate Tribunal (Tribunal)

MahaREAT: Section 18 Of RERA Applies Even If There Is No Written Express Agreement For Sale Between The Allottee And Promotor

Case: Sachin Tomar And Shivaji Tomar Vs Ensaara Metropark Luxora Infrastructure Pvt, Ltd.

The Maharashtra Real Estate Appellate Tribunal (Tribunal) bench, comprising Justice Shriram R. Jagtap (Judicial Member) and Dr. K. Shivaji (Technical Member), has held that a written expressed agreement for sale is not a requirement for the allottee to avail the rights stipulated under Section 18 of the RERA. Instead, what matters more is the intention of the parties, not the nomenclature of the document.

Maharashtra Real Estate Appellate Tribunal (Tribunal)

MahaREAT: Despite The Allotment Letter Issued During The MOFA Regime, The Registered Project Will Still Be Covered Under RERA

Case: Sachin Tomar And Shivaji Tomar Vs Ensaara Metropark Luxora Infrastructure Pvt, Ltd.

The Maharashtra Real Estate Appellate Tribunal (Tribunal) bench, comprising Justice Shriram R. Jagtap (Judicial Member) and Dr. K. Shivaji (Technical Member), has held that even if the allotment letter has been issued to allottees under the Maharashtra Ownership Flats (Regulation of the promotion of construction, sale, management, and transfer) Act, 1963 (MOFA), the real estate project will still be covered under the Real Estate (Regulation and Development) Act, 2016 (RERA) if the real estate project has been registered under RERA.

Maharashtra Real Estate Appellate Tribunal

MahaREAT: The Pre-RERA Agreement For Sale Falls Within The Purview Of The Real Estate (Regulation And Development) Act

Case: Neelkamal Realtors Suburban Pvt. Ltd vs Mrs. Regina D'Costa

Maharashtra Real Estate Appellate Tribunal ('Tribunal') bench comprising of Justice Shriram R. Jagtap (Judicial Member) and DR. K. Shivaji (Technical Member) has held, that provisions of the RERA, 2016, are prospective in nature and applicable to all agreements for sale executed prior to the enactment of the act, or under any previous legislation in force at that time.

Delhi Real Estate Appellate Tribunal (REAT or Tribunal)

REAT Delhi: While Exercising Its Authority Through Suo-Motu Proceedings, RERA Must Inform The Concerned Party Of The Alleged Violations

While setting aside the order and penalty imposed by the Delhi Real Estate Regulatory Authority (RERA or Authority), the Delhi Real Estate Appellate Tribunal (REAT or Tribunal) bench comprising of Justice Chander Shekhar (Chairperson), Lorren Bamniyal (Judicial Member), and Sheo Pratap Singh (Technical Member), has held that RERA, while exercising its authority against a promoter or any real estate agent through suo-motu proceedings, must inform the concerned party of the alleged violations by providing specific details in the notice.

Uttar Pradesh Real Estate Regulatory Authority

UP RERA Mandates Real Estate Agents To Undergo Compulsory Training And Certification

In a significant step towards improving professionalism within the Real Estate Sector, the Uttar Pradesh Real Estate Regulatory Authority (UPRERA) has issued an office order mandating compulsory Training and Certification Courses for real estate agents. This order applies to both newly registering real estate agents and those already registered with UPRERA, requiring them to complete the Compulsory Training and Certification within one year. Failure to comply will result in the cancellation of registration for registered agents.

Gujarat Real Estate Regulatory Authority

Gujrat RERA Establishes An Internal Mechanism For Amicable Settlement Of Complaints

Gujarat RERA has released guidelines aimed at expediting the resolution of complaints under Section 31 before the authority by establishing an internal mechanism for amicable settlement. Designated officers, including Mr. P. R. Patel, Mr. D. D. Rajput, and Mr. V. C. Barot, have been appointed as Mediators. Additionally, representatives from industry bodies may be called upon if necessary.

Maharashtra Real Estate Regulatory Authority (MahaRERA)

MahaRERA To Start Grading Real Estate Projects On Four Parameters Every Six Months From April 2024

The Maharashtra Real Estate Regulatory Authority (MahaRERA) plans to implement a grading system for real estate projects starting from April 2024. All projects initiated from January 2023 onwards will undergo assessment by the regulatory body as part of this initiative, which is aimed at providing information about these parameters to homebuyers to assist them in making decisions.

Uttar Pradesh Real Estate Regulatory Authority (UPRERA)

UPRERA Issues Guidelines Outlining The Do's And Don'ts For Promoters To Adhere To When Advertising Projects

UPRERA Issues Guidelines Outlining The Do's And Don'ts For Promoters To Adhere To When Advertising Projects. The Uttar Pradesh Real Estate Regulatory Authority (UPRERA) has released guidelines in the form of do's and don'ts for promoters which they will have to mandatorily follow while advertising their projects. These guidelines aim to create widespread awareness among promoters, agents, and homebuyers.

Uttar Pradesh Real Estate Regulatory Authority (UPRERA)

UPRERA Issues New Standard Operating Procedure For Withdrawal Of Project Registration

Title: Letter 2809/UPRERA/ 2023-2024

Uttar Pradesh Real Estate Regulatory Authority (UPRERA) has released a new Standard Operating Procedure (SOP) for withdrawal of project registration. The SOP has been released to meet the demands of those promoters who fail to continue with real estate projects due to reasons such as lack of demand and financial crises.

Haryana Real Estate Appellate Tribunal

REAT Haryana: The Amended Affordable Housing Policy Cannot Be Applied Retrospectively To Alter The Pre-Existing Agreement

Case Title: Selvaraj Damiyon Raju & anr vs Forever Buildtech Pvt. Ltd.

Haryana Real Estate Appellate Tribunal ('Tribunal') bench comprising of Justice Rajan Gupta (Chairman) and Anil Kumar Gupta (Technical Member), has held that the Affordable Housing Policy (amendment) 2019 cannot be applied retrospectively to alter the financial obligations outlined in the pre-existing agreement. Accordingly, the tribunal has set aside the order dated 27.09.2022, issued by the Haryana Real Estate Regulatory Authority ('Authority').

Odisha Real Estate Regulatory Authority (RERA)

Odisha RERA To Provide The Details Of Past Real Estate Projects Of Promoters To Allottees

Order No.: 1704/ORERA

The Odisha Real Estate Regulatory Authority (RERA) has issued a directive under Section 37 of the RERA 2016, requiring promoters, builders, and developers to disclose details of their previous projects at the time of registering a new real estate project.