Status as on 18/06/2019
On the occasion of completing 2 years of RERA, Centrik having solved more than 6700 cases, wishes to extend its experience and help to provide 1st consultation FREE OF COST to the aggrieved parties.
Our experience with RERA Journey so far-
As you are aware that the Real Estate (Regulation & Development) Act, 2016 which was first set of laws to regulate the Real Estate Sector and provide time bound grievance redressal, was made effective from 01/05/2017. After the many high-value and renowned real estate frauds and failures, these laws was a big relief and hope for aggrieved home buyers. Now it has completed 2 years of its implementation.
We, at Centrik has tracked and been with RERA since its 1st day of implementation. During these 2 years of journey, the RERA Deptt of Centrik has resolved more than 6700 assignment relating to RERA and Insolvency laws on different issues. Having a presence in major of the States, our RERA team of more than 30 professionals has dealt with the issues in almost in every State. Let’s share a brief of RERA journey so far;
- As per the RERA Act, all the States were required to constitute the RERA Rules by 01/10/2016 but most of the States have failed and issued Rules only in May 2017 or later.
- As per the RERA Act, All the States were required to constitute the RERA Authority and RERA Tribunal by 01/05/2017, however, maximum of the States constituted only Interim Authorities/tribunals and Final set-up has only been constituted in last 1 year like Rajasthan, UP, Karnataka, Andhra Pradesh, Uttrakhand etc.
- As per section 18, for the delay in possession, the aggrieved buyers can either (i) claim a refund of money paid with interest or (ii) possession with interest. However, the maximum of authorities is confused about the relief which should be provided. Some of them has passed verious controversial orders.
- In grievance redressal i.e. RERA litigation, our experience is as under;
- Generally, 3-6 months are being taken to give final order except for Rajasthan where the hearings have just recommenced.
- In the maximum of States, Adjudicating officer has been appointed to adjudicate the compensation, however, very few cases are being filed for compensation.
- The States of Maharashtra, Madhya Pradesh, Uttar Pradesh, Haryana, Punjab, Uttrakhand, Himachal Pradesh are leading in passing the RERA orders.
- The States of Maharashtra has solved more than 10000 cases while Uttar Pradesh has solved more than 12000 cases.
- Most of the States have introduced an online facility to publish registered projects and filing the case.
- The execution of RERA orders has become a huge hurdle in final relief. As per section 40 of RERA Act, for execution, the RERA authority may issue RC to respective Magistrate to recover the amount under the Land Revenue Act.
Summary given below-
- 1st of all, the maximum of the authorities have not started the execution process to issue Recovery Certificate (RC).
- Where the RC’s are being issued, then the issue is which jurisdiction magistrate the RC should be referred to whether where the project is situated or where the promoter company is situated.
- Even if RC is issued then, RC is first referred to respective Magistrate, then to respective Tehsil, etc. for final recovery.
We believe that in the last 2 years, everyone was learning as to how RERA should be implemented to achieve its objectives. Further, since there were a lot many issues before RERA which are being addressed by the Regulatory authorities, the process is being developed slowly.
We hope that now this revolutionary law would speed up to provide more and more relief to aggrieved parties and regulate the real estate sector in a transparent and efficient way.
Note: The above article is based on the personal experience and interpretation of respective laws which may differ from person to person. the readers are expected to get advise from the expert before placing any reliance. For any issue/clarification, the reader can be reached at firstname.lastname@example.org. For more information please check our website at www.centrik.in