New Delhi: Supreme court Issued notice to the Center on Monday seeking to prepare a model builder-buyer agreement and agent-buyer agreement in the real estate sector, as envisaged under Real Estate Regulatory Authority (Rera).
The top court said that it will help protect home/flat buyers from exploitation by builders.
“There is a need for a uniform builder-buyer agreement by the Center to protect the interests of lakhs of home buyers,” the Supreme Court said.
“This is a critical issue on the protection of buyers, which is often put on the backfoot by clauses in agreements entered into by builders,” a bench headed by Justice DY said. Chandrachud said.
Interestingly, Justice Chandrachud said that once the model buyer-builder agreement is in place by the Centre, the SC will direct the states to follow it.
The court was responding to a PIL (Public interest litigation) Seeking direction to the Center to prepare model agreements for builders and agent buyers to protect the customers and bring transparency in the realty sector in line with the RERA Act, 2016.
Public interest litigation of advocate and BJP leader Ashwini Upadhyay It has also sought directions to all states to implement ‘Model Builder Buyer Agreement’ and ‘Model Agent Buyer Agreement’ and to take steps to avoid ‘mental, physical and financial injury’ to the customers.
“Promoters, builders and agents apparently arbitrarily use unilateral agreements that do not put customers on an equal platform with them, which is in violation of Articles 14, 15, 21 of the Constitution. Willfully excessive in handing over possession There have been many cases of delays and customers register complaints but the police do not register an FIR citing arbitrary clauses of compromise.
“Builders repeatedly issue revised delivery schedules and arbitrarily adopt unreasonable restrictive business practices. It is all about criminal conspiracy, fraud, fraud, criminal breach of trust, abetment to dishonest delivery of property, dishonest misappropriation of property. and is in violation of corporate laws,” the petition said.
The PIL, filed through the counsel, contends that due to willful excessive delay in possession, the real estate customers are not only suffering from mental and financial injury, but their right to life and livelihood is also violated. Ashwini Kumar Dubey.
It argued that many developers across the country still follow a common practice of pre-launching a project without obtaining requisite approvals from the authorities and calling it “soft launch” or “pre-launch”, thus Openly violate the law, but no action has been taken till now action has been taken against any builder.
“It is necessary to state that the registration of the project with the regulatory authority is mandatory before it starts for sale and the basic pre-requisite for registration is that the developer should have all the necessary approvals.
“Thus the buyer is protected as the project is marred by irregularities of non-approval or delay in approval, which is one of the major reasons for delay for the project,” the petition said.
It has also sought directions to compensate the loss due to excessive delay on the part of the buyers. promoter-builder And to recover their money.
The top court said that it will help protect home/flat buyers from exploitation by builders.
“There is a need for a uniform builder-buyer agreement by the Center to protect the interests of lakhs of home buyers,” the Supreme Court said.
“This is a critical issue on the protection of buyers, which is often put on the backfoot by clauses in agreements entered into by builders,” a bench headed by Justice DY said. Chandrachud said.
Interestingly, Justice Chandrachud said that once the model buyer-builder agreement is in place by the Centre, the SC will direct the states to follow it.
The court was responding to a PIL (Public interest litigation) Seeking direction to the Center to prepare model agreements for builders and agent buyers to protect the customers and bring transparency in the realty sector in line with the RERA Act, 2016.
Public interest litigation of advocate and BJP leader Ashwini Upadhyay It has also sought directions to all states to implement ‘Model Builder Buyer Agreement’ and ‘Model Agent Buyer Agreement’ and to take steps to avoid ‘mental, physical and financial injury’ to the customers.
“Promoters, builders and agents apparently arbitrarily use unilateral agreements that do not put customers on an equal platform with them, which is in violation of Articles 14, 15, 21 of the Constitution. Willfully excessive in handing over possession There have been many cases of delays and customers register complaints but the police do not register an FIR citing arbitrary clauses of compromise.
“Builders repeatedly issue revised delivery schedules and arbitrarily adopt unreasonable restrictive business practices. It is all about criminal conspiracy, fraud, fraud, criminal breach of trust, abetment to dishonest delivery of property, dishonest misappropriation of property. and is in violation of corporate laws,” the petition said.
The PIL, filed through the counsel, contends that due to willful excessive delay in possession, the real estate customers are not only suffering from mental and financial injury, but their right to life and livelihood is also violated. Ashwini Kumar Dubey.
It argued that many developers across the country still follow a common practice of pre-launching a project without obtaining requisite approvals from the authorities and calling it “soft launch” or “pre-launch”, thus Openly violate the law, but no action has been taken till now action has been taken against any builder.
“It is necessary to state that the registration of the project with the regulatory authority is mandatory before it starts for sale and the basic pre-requisite for registration is that the developer should have all the necessary approvals.
“Thus the buyer is protected as the project is marred by irregularities of non-approval or delay in approval, which is one of the major reasons for delay for the project,” the petition said.
It has also sought directions to compensate the loss due to excessive delay on the part of the buyers. promoter-builder And to recover their money.
.