Liabilities of Developer under RERA: An observation by the Court


Liabilities of Developer under RERA:  An observation by the Court

By a landmark judgment the Hon’ble MahaRERA held that:
a) Developer who advertises, markets, books, sells or invites persons to purchase a flat/units without registring the real estate project with RERA, shall be liable to penalty which extends up to 10% of the estimated cost of the real estate project.
b) Right to get one covered car parking space is recognized by the Authority.
c) It is the responsibility on the Developer to form the association or society or co-operative society, as the case may be of the allottees. If the Developer contravenes the same, he shall be liable to a penalty which may extend upto 5% of the estimated cost of the real estate project.
d) Developer cannot add costs in disguised manner and earn the profits unethically.
e) It is the liability of the Developer to develop the project and complete it in accordance with the sanctioned plans/ layout plans and the specifications as approved by the competent authority.
f) For the lesser area of flat provided by the Developer, than what was agreed under the Agreement for Sale, the Developer is bound to refund the proportinate consideration with interest.
g) It is an obligation on the Developer to obtain completion certificate, occupancy certificate and execute conveyance deed.