LCI Learning
New LIVE Course: Toxicology and Law. Batch begins 21st July. Register Now!

Share on Facebook

Share on Twitter

Share on LinkedIn

Share on Email

Share More

Dhiraj   09 December 2015

Deemed conveyance

I have purchased a flat in 2008 and possession was received in 2010. Builder has formed an Apartment Condominium in Mar 2015 and have registered Deed of Declaration. The builder is not ready to register Deed of Apartment (DOA) of the members who haven't not paid VAT. Since, this VAT pertains to 2006-10 period and we strongly believe that it is not payable by flat owners, we are exploring option of going for Deemed Conveyance (Deemed DOA). Pls let me know if this is possible.



 2 Replies

Dhiraj   09 December 2015

The flat is in Pune.

T. Kalaiselvan, Advocate (Advocate)     19 December 2015

To have future benefits attached with the land like additional FSI, Development rights etc. the builders delay the Conveyance of land and building in favour of the Societies and sometimes with the ignorance of the proper procedure and legal remedies the office bearers also delay in taking appropriate legal actions to have early conveyance and proper title of the property for which the full and final payments have been made. There are legal remedies provided in Maharashtra Ownership Flats Act, 1963(MOFA)  to get the conveyance of land and building such as filing a case in the consumer court, civil court or criminal court. Since the litigation was taking more time, on the representations received from many societies, the Government has made a provision of deemed conveyance and accordingly amended the MOFA and also framed the requires rules to give effect to the provisions of deemed conveyance.

 

MOFA provided for statutory rights to the flat purchasers like the Agreement for sale has to be registered on payment of 20% advance for flat booking, Occupation certificate to be provided after completing all the legal formalities, societies /company / condominium to be formed within 4 months of sale of minimum flats required to register the same and then convey the land and building to legal body within 4 months of  its formation.  In case the above statutory obligations are not made by the builder, he will be considered to have committed criminal offence and he may be prosecuted and remedies can be done including the deemed conveyance procedure.

 

The government has amended the Maharashtra Ownership Flats Act, 1963 (MOFA) and provided for the deemed conveyance in favour of the legal bodies. Under the provision, deemed conveyance means after the expiry of 4 months of formation of the legal body, the land and building is deemed to have been conveyed to the legal body. In order to bring the name of the society/legal body in the revenue record, a Competent Authority has been designated i.e District Deputy Registrar, who will hear the parties on the basis of applications received from the aggrieved party and decide the matter. In case the Competent Authority is satisfied that the society/legal body is entitled to get the conveyance of land and building, an appropriate order in favour of the society/legal body will be passed. After getting the favourable order from the Competent Authority, the society/legal body should prepare an unilateral conveyance deed along with deemed conveyance order and get the same registered with the sub-registrar of assurance after paying appropriate stamp duty.  Getting the title of land and building by adopting the above procedure is known as deemed conveyance.



 


Leave a reply

Your are not logged in . Please login to post replies

Click here to Login / Register