FORFEITURE AND WITHDRAWAL FROM AGREEMENT TO BUY A FLAT
BLANKET CONSENT An agreement with the builder includes pre-printed clauses that secure the interests of the promoter or builder. In a way it’s a business because the promoter is investing huge sums of money, and he wants its security. Godrej Projects Development Limited vs Anil Karlekar on 3 February, 2025 A question arose in the matter of Godrej Properties at Gurgaon, Haryana. Mr. A books a flat and pays a sum of Rs.51 lakhs approx. But upon issuing letter of allotment, the buyer instead of taking possession of the flat agreed he opted for cancellation of the Agreement. He cited the recession in the real estate industry and sought a full refund of the money. A legal notice was served and subsequently flat buyer filed a consumer complaint. The NCDRC disposed of the Consumer Complaint by directing the Appellant to deduct only 10% of the BSP ( Base Sale Price) only towards cancellation of the Complainants’ Apartment and refund the balance amount Rs.34 lakhs along with simple interest @ 6% per annum from the date of each payment till the date of refund within three months. The standard clause in the purchase agreement was : Agreement entered into between the Parties, which read thus: “2.6 It has been specifically agreed between the Parties that, 20% of the Basic Sale Price, shall be considered and treated as earnest money under this Agreement (“Earnest Money”), to ensure the performance, compliance and fulfillment of the obligations and responsibilities of the Buyer under this Agreement. It has been made clear by the Developer and the Buyer has understood that the Sale Consideration and Statutory Charges as mentioned in Schedule VI hereto have been computed on the basis of Super Built Up Area of the Apartment. The Buyer agrees that the calculation of Super Built Up Area in respect of the Apartment is tentative at this stage and subject to variations till the Completion of Construction. In case such variations are beyond +/- 5%, then the Developer shall take prior consent of the Buyer. 8.4 On and from the date of such termination on account of Buyer’s Event of Default as mentioned above (“Termination Date”), the Parties mutually agree that- (i) The Developer shall, out of the entire amounts paid by the Buyer to the Developer till the Termination Date, forfeit the entire Earnest Money and any other dues payable by the Buyer including interest on delayed payments as specified in this Agreement. (ii) After the said forfeiture, the Developer shall refund the balance amount to the Buyer or to his banker/financial institution, as the case may be, without any interest; (iii) On and from the Termination Date, the Buyer shall be left with no right, title, interest, claim, lien, authority whatsoever either in respect of the Apartment or under this Agreement and the Developer shall be released and discharged of all its liabilities and obligations under this Agreement. (iv) On and from the Termination Date, the Developer shall be entitled, without any claim or interference of the Buyer, to convey, sell, transfer and/or assign the Apartment in favour of third party(ies) or otherwise deal […]
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ARE LAWS CAUSING THE DESTRUCTION OF THE FAMILY NUCLEUS THREAD?
#BREAKING Union Law Minister Arjun Ram Meghwal confirmed a review of BNS Sections 85 and 86, replicating the repealed IPC Section 498A, due to misuse and inadequate safeguards for men. This is the first review of the new Indian criminal codes, aimed at preventing frivolous complaints while protecting women under domestic violence laws ( 9th January 2025) HINDU MARRIAGES AND LAW – A BRIEF ANALYSIS Why we are discussing this point. Has emotional, civic, cultural and aesthetic moral, values and responsibilities ruptured? Girls are pregnant from illicit or unauthenticated relationship and then when man is not ready to marry, she does two things apply for abortion and FIR for rape. The sense of responsibility towards parents has evaporated? Let’s discuss the various issues. Oyo, a hotel chain has made policy to not to permit couples unless they show marriage certificate. This shows the hotel chain doesn’t want to get involved in criminal and other consequential legal trouble. It says that we are not running a brothel. Hotel authorities are right. But do youngsters understand what path they have chosen? Whether girls understand what matrimonial responsibilities she is objecting is much better than having unauthenticated relationships. In such unauthenticated relation she does not get more than stress, insecurity and no legal rights, sometimes even cut into pieces and thrown in jungle. Misuse of freedom and education will in long run reverse entire process and in future again women will be arrested to household and early marriage. You may say that there is advancement in science but there is no change in biological science. Hindu marriage rituals contains two main ceremony. One is Kanyadaan and another is phera. Marriage has four basic vows. Pious institution of marriage is taken over by physical need. Girls were married at 16 may become right ritual if the trend of unauthenticated relations continue to play real havoc. There are questions asked on social media platforms that does school criminalize love? Those who are involved in school always get married? . All such incidents are not forceful. First phera: The couple prays for nourishment and prosperity, and promises to support each other’s needs and establish a stable home Second phera: The couple prays for strength and courage, and promises to support each other through challenges Third phera: The couple prays for wealth, and asks for the strength to share happiness and pain together Fourth phera: The couple prays for increased love and respect for each other and their families Fifth phera: The couple prays for noble children Sixth phera: The couple prays for a long and peaceful life together Seventh phera: The couple prays for companionship, togetherness, loyalty, and understanding Nowadays youngsters have multiple heart breaks and relationships. Which ultimately leads to mental disorders. Sundown parties and unaccountability take a toll of beautiful life song. Divorces are common and courts also promote by reducing waiting time of six months for mutual divorces. Demand for alimony and maintenance is the main fighting point for which multiple FIRs are filed as per legal advice against husband and his family members. The irresponsibility towards children before coming to conclusion […]
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CAN WE TRANSFER A FLAT IN A HOUSING SOCIETY WITHOUT OBTAINING A PROBATE? IF YES HOW?
A person generates wealth for his survival, comfort and luxury. He earns wealth for growth of his family and children. When becomes old same children start talking of inheritance of his wealth while he is living. There are various provisions of law to bequeath property : a. after death of a person, which is WILL or Vasiyat. When you make a WILL your inheritance is governed by Indian Succession Act 1925. This is very common practice and people always make WILL during their lifetime. This WILL or Vasiyat operates or say becomes live after death of make of WILL. This is where entire drawback or lacuna lies. Court even permits registered WILL in a way rewrites last wish of the deceased. Is it correct to do that? Once challenge to the WILL is permitted the Probate application is converted into Suit. Which takes decades to come up for hearing. Resultant the parties to avoid litigation and waste of time settle the claim in most of the matters. The question arises is whether this was the last wish of the deceased? Answer is No. But it happens. b. Next is inheritance governed by personal law. i. For Hindus its Hindu Succession Act 1956. There are two school of thoughts Dayabhaga which is prevalent in West Bengal where son gets inheritance in fathers property only on death of the father. While in rest of India Mitakshara School of Law is followed. In this a child in the womb gets coparcenary rights in the family property. c. Hindu WILL requires to be probated. ii. Islamic Law 1. The Holy Quran 2. The Sunna – that is, the practice of the Prophet 3. The Ijma – that is, the consensus of the learned men of the community on what should be the decision on a particular point 4. The Qiya – that is, an analogical deduction of what is right and just in accordance with the good principles laid down by God. Muslim law recognizes two types of heirs, Sharers and Residuary. Sharers are the ones who are entitled to a certain share in the deceased’s property and Residuary would take up the share in the property that is left over after the sharers have taken their part. A will executed by a Muslim testator is not subject to the compulsory probate requirements under law. This would be a subject matter of Mohammedan personal law (which differs in its application among Shias and Sunnis). However they do file for probate for transfer of plot of land and other properties in Mumbai. d. In case of a Parsi section 213 (2) of the Indian Succession Act 1925 states that in case of a Parsi dying after the commencement of the Act, a probate is necessary if the WILL in question is made or the property bequeathed under the WILL is situated within the “ordinary original civil jurisdiction” of the Bombay high court. e. For WILL made by a Christian probate is not mandatory under Indian Succession Act 1956. COMMENTS: To obtain probate it takes long-time. Now a days 3-4 years even if not contested. So, […]
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Collectors Land in Mumbai and Transfers
An interesting question was asked on Twitter on collectors’ land. The question was whether it is legal to ask for transfer charges by Collector Mumbai for issuing NOC of flats in Society standing on land belonging to Collector? In Mumbai Collector owns nearly 1282 properties on which development is permitted and sanctioned on Lease. As per the latest data available about 517 properties’ Lease has been expired and in Mumbai leases of about 149 properties have been expired. The government has given this land on meager yearly lease rent. So the Government prescribed a policy for the increase in ground rent on 5th October 1999. Which was challenged and directions were given to give a hearing to those whose lease has been expired and also give an opportunity to convert occupancy to Class II occupants on one-time payments as specified in the Circular. The lease of land for purposes other than Agriculture is granted under provisions inter-alia of the Maharashtra Land Revenue Code, 1966 (“ Said Code” ) and the Maharashtra Land Revenue (Disposal of Government Lands) Rules, 1971 ( Said “ Rules”) . The Said Rule B-26 -27 empowers Collector to Grant Land for Residential use. It reads as under B. Grant of land for residential use 26. Disposal of building sites :- (1) Except as otherwise provided in these rules, the occupancy rights in building sites shall be disposed of by the Collector under Section 20 read with Section 31 by publication to the highest bidder, unless for reasons to be recorded in writing, the Collector thinks that in any particular case, there is reason for granting the land without auction. (2) Where a building site is to be disposed of without auction under sub-rule(1), the Collector shall dispose of the site in occupancy right under Section 20 read with Section 31 on inalienable tenure [If the occupancy price determined under sub-rule(3) does not exceed Rs. 25,000 and with sanction of the Commissioner, if the occupancy price exceeds Rs. 25,000 but does not exceeds Rs. 1,00,000 and with the sanction of the State Government, in other cases.] (3) The Collector shall determine the occupancy price of the site, regard being had to the following factors that is to say, (a) the sale prices of similar lands in the locality; (b) the situation of the building site; (c) the availability of, and demand for, similar lands; (d) factors which are taken into account in determining the value of land under the Land Acquisition Act, 1894. 27. Grant of land housing schemes :-Building plots may be granted by the State Government for various housing schemes undertaken by any housing board, local authority or co-operative housing society constituted under any law for the time being in force, in occupancy rights under Section 40 on inalienable and impartible tenure on payment of such concessional occupancy price as the State Government may, from time to time fix, regard being had to the nature of the scheme, and in the case of a co-operative housing society, to the income of the members, thereof, such income being ascertained after making such inquiries […]
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