Issue of legal notice
Venkat Iyer
(Querist) 23 November 2015
This query is : Resolved
Dear Sir,
Our Society in Mumbai has recd all permissions from BMC authorities for the redevelopment of our Society & the Developer has started the process of Registration of Individual Agreement with the office of Registrars.In the process 70% members have registered their flats & 20% members are under the process of registration leaving 10% members who have a dispute with the Developer regarding allotment of the new flats. The allotment of the new flats were done by a lottery system.Now the Developer has written a letter to the Society stating that he intends to serve legal notice on the aggrieved members.Till date the Developer has not given vacation notice (VcN)to the members who have registered their new flats stating that he will issue VcN after 100% members register their flats.
My query is,
1.whether the Developer is right in issuing legal notice without issuance of VcN.
2.Whether 70% of members registering their new flats holds good for issue of VcN.
Pl advice.
Venkat Iyer
T. Kalaiselvan, Advocate
(Expert) 02 December 2015
f you reside in an old building, located in a prime area, it is likely builders have come up with a flood of offers to redevelop your society. Redevelopment is usually seen in metro cities and developing tier-II cities, where demand for real estate is high and supply doesn't match demand.
Developers offer incentives to occupants in the form of added facilities, extra flat area, compensation, etc. when the society decides to opt for redevelopment, it should be cautious in striking a deal with a developer.
Experts say there are many ways in which a developer could dupe customers. A fraudulent builder might demolish the building, without building another. Also, he might redevelop the property but not abide by the design/layout of the building. Some might not even pay rent to occupants or give a smaller area than what was promised.
Society members should agree to vacate their homes only after the builder has secured the necessary legal approvals and permits (city-specific or eg: approvals from Brihanmumbai Municipal Corporation) to redevelop that space. It is important that the rights of an original occupant remain unchanged after the new building comes up.
A settled law related to your question can be found in the judgment by high court of judicature of Bombay i Notice of Motion 707/2010 in suit lodging 229/2010 in the matter between M/s Jasmina constructions pvt ltd and Mandapeshwar cooperative housing society and others dated 5 Mar 2010,
it was decided that the developer shall address the grievances of the unwilling members and pay and accommodate their problems and then only he can proceed with the development.
