Model Builder-Buyer Agreement : Supreme Court Asks States/UT's To Share Information Sought By Ministry Of Housing

The bench of Justices DY Chandrachud and Surya Kant in their order noted that only 5 states had responded to the communication dated March 2, 2022 issued by Secretary, Ministry. The Ministry has sought the following information:

1. Copy of Agreement for Sale Rules, 2016 notified by States/ UT under RERA
2. Comparison sheet of the State RERA Rules and the Rules framed by Union Ministry for UTs.

On February 14, 2022, the Top Court had asked Union Ministry of Housing to scrutinize the state rules, notified in pursuance of the Center's Real Estate (Regulation and Development) General Rules, 2016 and the Real Estate (Regulation and Development) Agreement for Sale Rules, 2016, and place a report on whether the former comply with the substratum of the Rules of 2016.

What Transpired In The Supreme Court Today?

When the matter was called for hearing, Advocate Devashish Bharuka (appointed as amicus curiae) submitted that pursuant to the Top Court's direction, the Ministry was in the process of preparing a comprehensive status report. 

He further submitted that for carrying out the exercise as directed by the Court on February 14, 2022, the Central Government had issued communications dated March 2, 2022 and email dated April 12, 2022 to the Chief Secretary of the States/Union Territories but had only received 5 responses.

The bench in its order said,

"On March 2, 2022, Secretary Ministry of Housing and Urban Poverty Alleviation of the Union Government addressed a communication to all Chief Secretary of the States/ Union Territories calling for information namely:

1. Copy of Agreement for Sale Rules, 2016 notified by States/ UT under RERA
2. Comparison sheet with the said rules and the rules framed by Union Ministry for UTs

Court has been apprised of the fact that 5 states have responded to the letter.

Following this comparison sheet was prepared by the Ministry which was circulated on April 12 to State/ UT's whose responses were requested.

To facilitate the exercise which has been carried out by HUDA, we direct all Chief Secretary of state/s UT's to positively respond to communication dated March 2, 202 and email dated April 12, 2022 by circulating the information to the Secretary of Ministry HUDA on or before May 15, 2022.

Ld ASG and Amicus have ensured that a report will be prepared after all the information is received and the report will be submitted to the Court."

Case Title: Ashwini Kumar Upadhyay V. Union Of India & Ors.| Writ Petition (Civil) No.1216/2020

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