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IN THE HIGH COURT OF JUDICATURE AT MADRAS
J. NISHA BANU, R.KALAIMATHI
Army Welfare Housing Organisation(AWHO) – Appellant
Versus
Nagarajan Vasudeva Rao – Respondent
JUDGMENT :
J. Nisha Banu, J
The above appeals in C.M.S.A.Nos.23 to 25 of 2024 and 30 & 31 of 2023 have been filed by the Army Welfare Housing Organisation (AWHO) under Section 58 of the Real Estate (Regulation & Development) Act, 2016 (hereinafter referred to as "the Act"), read with Section 100 of the CIVIL PROCEDURE CODE , challenging the impugned orders dated 20.12.2023 and 21.04.2023 passed in Appeal Nos. 12, 13 & 51 to 53 of 2023, on the file of the Tamil Nadu Real Estate Appellate Tribunal, Chennai (hereinafter referred to as "the Tribunal"). These orders confirmed the common orders dated 21.11.2022 and 21.12.2022 passed in Complaint Nos. 291, 293 & 294 of 2019 and 193 & 300 of 2021, respectively, by the Tamil Nadu Real Estate Regulatory Authority, Chennai (for brevity, "the Authority").
2. Before embarking on the main issue, the facts of the case is set out as under:-
(a) The appellants herein are the promoters/developers of the residential project "Dinesh Vihar", situated at Thazhambur village, Chengalpaet District, while the Respondents herein are the purchasers/Complainants.
(b) The undisputed facts are that the appellants are engaged in the business of construction of dwellin
A 'No Profit No Loss' organization must comply with the Real Estate Act's provisions, including registration and liability for compensation due to delays.
Enforcement of Act, 2016, comes under the purview of ‘promoter’, as defined under Section 2(zk) of Act, 2016, and necessary compliance of pre-deposit, as enshrined under Section 43(5) of Act, 2016
Complaints under RERA can only be filed for projects capable of registration; lack of necessary permissions renders a project unregistrable, barring complaints.
The court established that a project with delays in completion falls under RERA's provisions, and mere local authority certifications do not suffice as valid completion certificates.
The Real Estate (Regulation and Development) Act does not grant promoters the right to claim compensation from allottees, and such claims must be pursued in civil court.
The court affirmed that ongoing real estate projects must be registered under RERA to protect allottee interests, regardless of title transfer.
The Real Estate (Regulation and Development) Act does not provide promoters with a substantive right to claim compensation from allottees; claims must be pursued in civil courts.
The Real Estate (Regulation and Development) Act mandates registration for ongoing projects, where completion certificates are absent, emphasizing consumer protection in real estate transactions.
The definition of 'promoter' under RERA allows for developers without land ownership to register projects, and failure by UPRERA to act within statutory timeframes results in deemed registration.
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