The Supreme Court on Friday upheld the retroactive application of the Real Estate (Regulation and Development) Act, 2016, to real estate projects which were ongoing at the commencement of the Act and in respect to which completion certificate has not been issued. But the RERA Act does not apply to projects already completed or to which the completion certificate has been granted at the commencement of the Act. The ruling was given by a bench comprising Justices Uday Umesh Lalit, Ajay Rastogi and Aniruddha Bose.
Taking note of the statutory provisions, especially Section 3 of the RERA, the court observed: "It manifests that the legislative intent is to make the Act applicable not only to the projects which were yet to commence after the Act became operational but also to bring under its fold the ongoing projects and to protect from its inception the inter se rights of the stake holders, including allottees/home buyers, promoters and real estate agents while imposing certain duties and responsibilities on each of them and to regulate, administer and supervise the unregulated real estate sector within the fold of the real estate authority."
