Real Estate RERA Lawyers Advocates India | Mohali Law Firm

1. Overview of Real Estate Law in India

Real estate law in India governs transactions related to land, property, and real estate contracts. The laws provide a legal framework for property transactions, including buying, selling, leasing, and developing property. The RERA Act (Real Estate (Regulation and Development) Act, 2016) was introduced to regulate the real estate sector, ensure transparency, protect the rights of homebuyers, and promote fair practices within the industry.

The RERA Act mandates registration of real estate projects and agents, and its primary objective is to promote accountability among builders and developers. RERA aims to protect homebuyers from fraud and ensure timely delivery of projects.

2. Types of Real Estate and RERA Cases in India

Real estate and RERA-related cases can arise in a variety of situations. These cases are generally filed in civil courts or High Courts, depending on the nature of the dispute. Below are the key types of real estate and RERA cases typically filed in Indian courts and High Courts:

2.1 Builder-Buyer Disputes

Builder-buyer disputes are among the most common types of real estate cases in India. These disputes often arise when builders fail to deliver properties as per the agreement or delay the possession of flats or homes. The key issues involved in builder-buyer disputes include:

• Delay in Possession: Cases are filed when builders delay the handover of possession of the property beyond the stipulated time frame.
• Non-Compliance with Approved Plans: Buyers may file cases if the property is not constructed according to the approved plans, leading to structural issues or violations of building regulations.
• Quality of Construction: Buyers may approach courts if the quality of construction does not meet the agreed-upon standards, resulting in defects or damages to the property.
• Refund of Money: If a buyer has paid an advance or full amount but the builder fails to deliver the property, they may file a case for a refund along with interest.

2.2 Property Disputes

Property disputes often occur due to issues related to land ownership, boundaries, and rights to property. Such disputes may involve issues of inheritance, partition of property, or unauthorized occupation of property. Common property-related cases include:

• Ownership Disputes: Disputes arise when there are competing claims over the ownership of a property, especially in cases of inheritance or sale of ancestral land.
• Boundary Disputes: Cases are filed when there are disagreements over property boundaries or encroachments by neighboring parties.
• Land Acquisition Disputes: Farmers and landowners may file cases challenging the acquisition of their land by the government or developers for public projects.
• Possession Disputes: Property owners may file cases to reclaim possession of their property from unauthorized occupants or tenants who have overstayed.

2.3 RERA Violations

RERA (Real Estate Regulatory Authority) was introduced to ensure transparency and protect the interests of homebuyers. Violations of the provisions of the RERA Act can lead to legal proceedings. Common RERA-related cases include:

• Failure to Register Projects: Developers are required to register their projects with RERA. Homebuyers can file complaints if the project is not registered or if the developer fails to meet RERA's obligations.
• Delay in Project Completion: Homebuyers can file complaints with RERA or in courts if the builder fails to complete the project or deliver possession on time.
• Non-Compliance with RERA Regulations: Builders may face legal action for failing to adhere to the regulations set by RERA, such as not providing accurate project details or violating safety norms.
• Failure to Adhere to Payment Schedules: Cases can arise if developers demand payments from buyers without fulfilling contractual obligations, or if they delay delivery without offering compensation.

2.4 Lease and Rent Disputes

Lease and rent disputes are common in the real estate sector, particularly between landlords and tenants. Disputes may involve unpaid rent, eviction, or breach of lease agreements. Key lease and rent dispute cases include:

• Eviction Cases: Landlords can file eviction cases in courts if tenants refuse to vacate the premises after the lease period ends or if they violate the terms of the lease agreement.
• Security Deposit Disputes: Tenants and landlords often dispute the refund of security deposits after the end of a lease. Courts adjudicate these matters if the landlord wrongfully retains the deposit.
• Non-Payment of Rent: Landlords can file cases if tenants fail to pay rent as per the lease agreement, or if tenants dispute the rent amount.
• Breach of Lease Agreement: Cases are filed when either party fails to comply with the terms and conditions of the lease agreement.

2.5 Title and Ownership Disputes

Title disputes often arise when there is ambiguity over the ownership of land or property. These cases may involve claims of fraud, mistaken ownership, or forgery of property documents. Types of title and ownership disputes include:

• Fraudulent Transfers: Cases are filed when property is transferred or sold without the consent of the rightful owner, or through forged documents.
• Title Claims: Legal action is taken by individuals who claim ownership over a property due to inheritance or other valid legal grounds.
• Adverse Possession: Disputes arise when an individual claims ownership of a property due to continuous, open, and uninterrupted use over a prescribed period.

2.6 Mortgage and Foreclosure Cases

Mortgage and foreclosure cases involve disputes between lenders (usually banks or financial institutions) and property owners. These cases typically arise when borrowers default on loan payments. Common cases include:

• Default in Mortgage Payments: Lenders file cases for the recovery of loan amounts from property owners who fail to repay the mortgage.
• Foreclosure Proceedings: Lenders initiate foreclosure proceedings when property owners default on loan payments for an extended period, and the property is taken over by the lender.
• Disputes Over Property Valuation: Borrowers may dispute the valuation of the property used as collateral in a mortgage agreement.

2.7 Land Use and Zoning Disputes

Land use and zoning disputes arise when there are conflicts over how land can be used for certain purposes. Such cases may involve violations of zoning laws or the conversion of agricultural land for non-agricultural use. Key issues include:

• Land Conversion Disputes: Legal cases are filed when agricultural land is converted into residential or commercial property without proper permissions.
• Zoning Violations: Developers or property owners may face legal action if they violate zoning laws by constructing buildings in restricted areas.
• Encroachments on Public Land: Government authorities can file cases against individuals or developers who encroach upon public land for construction or other activities.

3. Real Estate Case Procedure in India

The procedure for filing real estate and RERA cases in India generally involves the following steps:

• Filing of Complaint or Petition: The aggrieved party files a complaint in the relevant court or RERA authority.
• Notice to Defendants: A notice is issued to the defendant, informing them of the legal action and requiring them to respond.
• Preliminary Hearing: The court conducts a preliminary hearing to assess whether the case has merit.
• Final Hearing: The final hearing involves submission of evidence, witness statements, and legal arguments before the judge issues a ruling.
• Appeal Process: If dissatisfied with the judgment, the aggrieved party may appeal the decision to a higher court.

4. Conclusion

Real estate and RERA cases in India are critical in ensuring transparency, accountability, and protection for homebuyers, property owners, and developers. These legal disputes can be complex and require thorough knowledge of the laws governing property transactions, construction, and real estate development. Legal representation is crucial to navigate the complexities of real estate and RERA cases in India.