RERA

Question 1

define advertisement and real estate agent and allottee

Answer 1

Advertisement = - means any document described or issued as advertisement through any medium including any notice or circular or docsw for publicity informing persons abt a real estate project, or offering for sale of a plot building or apt or inviting persons to purchase or to make advances or deposits for such purposes

Real Estate Agent= Any person, who negotiates on behalf of one person in a transaction of transfer of his plot, apartment or building - by way of sale - with another person and recieves remuneration or fee or wtv as a commission or otherwise in return for their service. includes property dealer, brokers, middlemen or by whatv name they are called

Allottee - in relation to a real estate project - means the person to whom a plot, apartment or building - has been allotted, sold or
otherwise transferred by the promoter, and including the person who subsequently acquires the said allotment through sale, transfer or
otherwise but does not include a person on rent;

Question 2

carpet area, building, apartment, garage

Answer 2

Carpet area - means the net usable floor area of an apartment, excluding the area covered by the external walls, areas under services shafts, exclusive balcony or verandah area and exclusive open terrace area, but includes the area covered by the internal partition walls of the apartment.

Building - includes any structure or erection or part thereof - which is intended to be used for residential, commercial or for the purpose
of any business, occupation, profession or trade, or for any other related purposes.

Apartment - whether called block, chamber, dwelling unit, flat, office, unit or by
any other name - means a separate and self-contained part of any immovable property

Garage - means a place within a project having a roof and walls on three sides for parking any vehicle, but does not include an unenclosed or uncovered parking space such as open parking areas;

Question 3

Section 3: Requirement for Real Estate Project Registration with Regulatory Authority

Answer 3

Section 3: Requirement for Real Estate Project Registration with Regulatory Authority

1. Registration Requirement: No promoter may advertise, market, book, sell, or offer any plot, apartment, or building in a real estate project within a planning area without first registering the project with the Real Estate Regulatory Authority.
2. Ongoing Projects: If an ongoing project lacks a completion certificate at the start of this Act, the promoter must apply for registration within 3 months.
3. Exemptions from Registration (3(2)):
   • Registration is not required if:
     
     • The land to be developed is 500 sq. meters or less. OR
     • There are 8 or fewer apartments in all development phases. Each phase is considered a separate project for registration purposes, and the state government may reduce these thresholds.
   • Completion Certificate: If received before this Act commenced, no registration is needed.
   • Renovation, Repair, or Redevelopment: Registration is not required if no new marketing, selling, advertising, or allotment is involved.

Question 4

Neelkamal Realtors Suburban Pvt. Ltd. and Anr. Vs. Union of India

Answer 4

Neelkamal Realtors Suburban Pvt. Ltd. and Anr. Vs. Union of India
Constitutional Validity Challenged ▪ Held Constitutional / Valid and Legal.
These provisions cannot be said to be violative of Articles 14, 19(1)(g), 20(1) and 300-A of the
Constitution of India. These provisions cannot be construed as penal in nature. They impose
reasonable restrictions on the promoter in larger public interest. At the cost of repetition, it has
to be reiterated that there is no total prohibition on the promoters carrying on their business

Question 5

Lavasa Corporation Ltd v Manju Narendra Joshi

Answer 5

When the Legislature has stated in the de nition of the term ‘Allottee’ that it does not include
the person, to whomthe plot, apartment or building is “given on rent”, the intention of the Legislature was only to exclude pure ‘Agreements of Lease’ or the ‘rent’, as the Lessees therein have not invested the substantial amount.

the intention of the Legislature was to
protect those persons like Respondents, who have invested substantial amounts in the real estate projects. Hence, they are required to be called as ‘Consumers’ or ‘Allottees’. if they are excluded from definition of allottee and thereby not under protection of the act, they object of the act would stand frustrated

Question 6

Geetanjali Aman Constructions v. Hrishikesh Ramesh Paranjpee

the and or connundrum under section 3 of rera

Answer 6

MahaRera clarifies: ▪ Real Estate Projects where the area of land proposed to be developed is less or equal to five hundred square meters shall not require MahaRERA Project Registration - irrespective whether the
numbers of apartments proposed to develop is less than or more than eight.
* 2) Real Estate Projects where number of apartments/units proposed
to be developed is less or equal to eight apartments / units inclusive
of all phases shall not require MahaRERA Project Registration
irrespective whether the area of the land proposed to be developed is less than or more than five hundred square meters.

Question 7

duty of promoter

Answer 7

Section 11: Duties and Responsibilities of the Promoter

1. Web Page & Public Disclosure: The promoter must create a web page with publicly accessible project details, including:
   
   • Registration details from the Authority.
   • Quarterly updates on booked apartments/garages/plots.
   • Quarterly updates on project status and approval progress.
2. Advertising & Allottee Information:
   
   • Ads and prospectuses must include the Authority’s website and registration number.
   • At booking, provide allottees with sanctioned plans, specifications, and a timeline for project completion, including civic infrastructure (water, sanitation, electricity).
3. Obligations to Allottees:
   
   • Fulfill all duties per the Act, rules, and agreements until conveyance of common areas to the allottees’ association or competent authority.
   • Address defects within five years; if unresolved within a month, compensation is required.
4. Certificates and Essential Services:
   
   • Obtain the completion and occupancy certificates.
   • Provide and maintain essential services at reasonable charges until the allottees’ association takes over maintenance.
5. Support for Allottees’ Association:
   
   • Facilitate the formation of an association (CHSL).
   • Execute a registered conveyance deed and transfer physical possession.
   • Pay all outgoings (e.g., taxes, maintenance) until possession is transferred, using funds collected from allottees for these outgoings.

PROVISO Proviso – If he fails - promoter shall continue to be liable, even after
the transfer of the property, to pay such outgoings / penal charges /
costs of legal proceeding.
- Promoter may cancel the allotment – on the terms agreed – AOS –
allotte may approach Authority – if unilateral – not in accordance with IOS.
- Not to create a mortgage– on any apartment– after executing am agreement for sale

Question 8

section 18

Answer 8

Section 18: Refund and Compensation to Allottees

1. Failure to Complete or Handover:
   
   • If the promoter fails to complete or deliver possession as per the sale agreement, or due to business discontinuation (e.g., suspension or revocation of registration), the allottee may:
     
     • Withdraw from the Project: The promoter must return the amount paid, with interest and compensation.
     • Stay in the Project: If the allottee chooses to stay, the promoter must pay monthly interest for each delay until possession is handed over.
2. Compensation for Defective Land Title:
   
   • The promoter is liable to compensate the allottee for any loss caused by a defective title, without any time limit for making claims.
3. Failure to Fulfill Obligations:
   
   • If the promoter fails to meet any requirements under the Act, Rules, Regulations, or the agreement terms, they must pay compensation to the allottee.

Question 9

S.19- Rights of an allottee

Answer 9

Section 19 – Rights of an Allotee:
* To obtain the information relating to sanctioned plans, layout plans approved by the competent authority.
* To know stage-wise time schedule of completion of the project / provisions for water, sanitation, electricity and other amenities and services as agreed to between the promoter and the allottee.
* To claim the possession apartment, plot or building - and the association of allottees shall be entitled to claim the possession of the common areas.
* To claim the refund of amount paid along with interest - rate as prescribed - and compensation - from the promoter - if the promoter fails to comply or is unable to give possession in accordance with the terms of agreement for sale.
* To have the necessary documents and plans - after handing over the physical possession by the promoter.
* Every allottee - shall be responsible to make necessary payments in the manner and within the time as specified in the agreement for sale – his share of the registration charges, municipal taxes, water and electricity charges, maintenance charges etc.
* The allottee shall be liable to pay interest – for any delay in payment towards any amount or charges - The obligations of the allottee - and
the liability towards interest - may be reduced when mutually agreed to between the promoter and such allottee.
* Every allottee shall participate towards the formation of an association or cooperative society of the allottees.
* Every allottee shall take physical possession - within a period of two months of the occupancy certificate issued.
* Every allottee shall participate towards registration of the conveyance deed.