The Maharashtra Real Estate Regulatory Authority(MahaRERA) has set up a 12 members committee comprising members of the authority, legal consultant and other private builders in a bid to prepare model agreement for sale for commercial/residential units/plots.
The intention is to minimize litigation, which is usaully caused due to one sided agreement for sale prepared by the builder.
Dr. Vijay Satbir Singh (member MahaRERA) will be the chairman of the said committee. The members of the committee will advise and give recommendations in the Draft Agreement for Sale and Draft for Allotment letter.
Singh explained, "We have found out that mostly the agreement for sale remain to be a one sided document -- heavily titled in favour of the builders and many clauses are in their advantage and in a way unfair to the buyers. Therefore we want to remove this anomaly. As in most of the complaints we see that the parties do not stick to the provisions of the agreement made/some clauses in the agreement turned out to be unfair to the buyer, which were not seen by the buyer while purchasing the flat in the respective project. Similarly, we also found that the date of possession is not clear, it remains ambiguous and that also becomes a contentious issue. All such factors can be avoided if the agreement for sale is designed properly."
The allotment letter is given when a perspective hombuyer books a property. Later on after the payment of the minimum 10 per cent of the agreed amount, the developer of the project has to register the agreement of sale with the buyer. Interestingly, in coming days there will be a model agreement based on which the agreement of sale would be signed.
The 12-member committee is expected to prepare the model agreement within one to two months time period.