Dismissing a realty developer’s defence for unilateral cancellation of the allotment of houses to home buyers in February 2017, the Maharashtra Real Estate Regulatory Authority (MahaRERA) has ruled that the authority can still adjudicate complaints even if it happened before RERA came into force. The developer had argued that since the cancellation was executed prior to the real estate regulator’s coming into force on May 1, 2017, there was no cause of action. MahaRERA, however, ruled that it can still adjudicate the complaints since the developer has not refunded money to the home buyers yet. Though the said cancellations were executed prior to the said Act (RERA) came into force, this authority is of the view that with monies paid by the complainants still lying with the respondent (developer), this authority has jurisdiction to adjudicate the complaints,” said Gautam Chaterjee, chairperson, MahaRERA.
Eight home buyers had complained to the authority against realtor Surti Developers. The complainants had stated that they bought apartments in the builder’s project called Universal Paradise at Santacruz, Mumbai. They further alleged that Surti had unilaterally cancelled these agreements sometime in February 2017.
The complainants prayed that the authority declare the agreements for sale as valid, legal, subsisting and binding on the developer, the termination notice issued by the devel .. The authority, while disposing the matter, directed both the parties, if complainants wish to continue, to execute agreements for sale within 45 days of this order.