In India, especially in civil matters exceedingly large number
of cases are pending. To make system more effective and speed in functioning in
court proceeding and procedure there is need to have special courts to deal with
specific matters, special tribunals covers specific matters, issues, parties
under special jurisdiction. In India, there are already different issues
regarding property (land) with having same jurisdiction covered under District
courts.
In India real estate is getting bigger business and legal issues are
also arising from the same, to give special tribunal and jurisdiction under
these matters Real Estate (Regulation and Development) Act, 2016 [RERA Act] was
passed. Under RERA act appointment of Regulatory Authority has to be done by
every state. RERA Authority stands for Real Estate Regulating Authority formed
under RERA act.
This authority works as special tribunal to bring about
transparency and fairness in the working of the real estate sector. There are
three forums covered under RERA Act as- RERA Authority, RERA Adjudicating
Officer, RERA Appellate Tribunal. Every act has its own purpose and legislative
intent, this act was passed to achieve three main purposes as:
- Increase investment in real estate sector ( people will invest due to
security, fairness and transparency),
- Protect buyers,
- Regulate developers.
Under RERA act
there is provision to establish Regulating Authority having role of Adjudication
and Arbitration in real estate matters. Further discussing case laws and their
important judgements from tribunals of Haryana, Uttar Pradesh and Maharashtra.
Further discussed some case laws based on the issues as- Jurisdiction of RERA
Authority and Possession of homebuyers. Apart from this RERA complaint can be
filed for the issues like- 1) Delay in possession, 2) False Advertisement 3)
Advance Payment, 4) Improper Registration of Project, 5) No details about
Project, 6) Structural Defects, 7) Ownership Transfer.[i]
Starting with jurisdiction issues in RERA tribunals, where authorities are of
opinion that tribunal won't entertain any cases which are already pending
somewhere in other tribunal, court with the same parties with similar issue.
Referring to the case,
Sh. Sukhbir Singh Grewal Vs. M/s. MVL Ltd.[ii] where
buyer (complainant) filed a case against builder (respondent) for delay in
giving possession date prescribed in agreement, respondent submitted that cause
of delay was due to interim order passed by the SEBI, and complainant challenges
the order in the Security Appellate Authority (SAT). In this case present
tribunal where complaint has filed, Hon'ble authority ordered that this tribunal
cannot entertain this case as matter is already in SAT.
Similarly in the case,
Sh. Guru Prashad Chaudhary Vs. Assotech Ltd.[iii] where complainant filed
complaint in RERA tribunal but according to facts of the case previously same
complaint was filed in the National Consumer Disputes Redressal Commission (NCDRC).
Authority dismissed the complaint as it was held that:
Complaint can be
entertained by this Authority until it has been withdrawn from the NCDR.
Further dealing with the significant and often issue for which complainant
approaches the authority as –
Delay in giving possession to buyer.
In the
case,
Bindu R Jaisingh V/s Ekta Parksville Homes Pvt. Ltd.[iv] where complainant
was buyer whom was promised that will receive possession of flat by June, 2017.
But there was delay in giving possession occur, aggrieved by which complainant
filed complaint. Respondents put forth request for to allow them reasonable
timeline as cause for delay was beyond the control of the respondent.
Authority
ordered parties to execute and register agreement of sale after 45 days of order
( section 13 RERA Act), and respondent party was ordered and directed than to
complete and give possession before June, 2019 to complainant. Court further
ordered than failing to follow court direction will result to pay interest to
complainant from July 1, 2019 under Rule 18 of the Maharashtra Real Estate
(Regulation and Development) (Registration of Real Estate Projects, Registration
of Real Estate Agents, Rates of Interest and Disclosures on Website) Rules,
2017.
In cases where the issue is regarding the delay in possession, respondent
who is liable to give possession have to show that the reason of delay was not
controllable and beyond his assumption. In those cases court may give them
relief of specific period otherwise authority always passes order to give
possession along with the penalty of delayed period.
In the case,
Sh. Rochak
Bakshi Vs. M/s. Assotech Limited [v], where respondent delayed period of two
years to give possession. Aggrieved by complainant filed complainant, in this
case court ordered to give possession along with the penalty of delayed period
as there was no reasonable grounds for delay on behalf of the respondent.
Further it is always an issue of contention that:
Whether complainant can file
complainant even after possession/ Occupancy Certificate (OC) ?
In these
situations there is general rule of law in accordance with RERA Act that
complainant is allowed even after possession if complainant is filed for- 1) the
breach of agreement between complainant and respondent, 2) Complaint in
accordance to The Limitation Act, 1963. But it is not a blanket rule that to
entertain every complaint as there are some exceptions, In recent case before
Maha RERA Authority, complainant (homebuyer) filed complaint after possession of
flat in apartment.
The complaint was regarding- remaining work according to
brochure of the project. In this case Authority denied to entertain complaint as
possession was already given to homebuyers. Respondent put forth that all
amenities in apartment which were given homebuyers is already completed and
remaining will be completed in the reasonable remaining time. Maha RERA
Authority further ordered developers to complete remaining amenities as soon as
completing the project.[vi]
Conclusion- As mentioned above this is a very specific tribunal will help to
resolve specific issues and will work towards best probability to reduce work
load on the courts. In my opinion, there is competence of both the substantive
and procedural elements to deal with real estate issues as RERA act works on
rights of complainant and duties of registered developers whereas RERA Authority
works for thorough and quick resolve the disputes between parties.
End-Notes:
- https://www.myadvo.in/blog/file-a-case-under-rera/
- Sh. Sukhbir Singh Grewal Vs. M/s. MVL Ltd. (2018/GN/Centrik/1/HRERA)
- Sh. Guru Prashad Chaudhary Vs. Assotech Ltd., (2018/UP/Centrik/53/UPRERA)
- Bindu R Jaisingh V/s Ekta Parksville Homes Pvt. Ltd. (2018/MH/Centrik/44/MAHARERA)
- Sh. Rochak Bakshi Vs. M/s. Assotech Limited, (2018/UP/Centrik/48/UPRERA)
- https://economictimes.indiatimes.com/wealth/real-estate/wont-entertain-complaints-post-flat-possesion-maharera/articleshow/63583158.cms?from=mdr
Please Drop Your Comments