Real Estate Regulation Bill, 2011 to protect home buyers from fly-by-night developers soon

The much-awaited Real Estate Regulation Bill, 2011, which seeks to protect home-buyers from fly-by-night developers, is under process of consultation by various ministries. “The draft Bill is almost being finalised. We have sent the Bill to Law Ministry for their approval and subsequently we will sending it to other ministries for approval,” Ministry of Housing and Urban Poverty Alleviation joint secretary SK Singh said today.

Singh, who was speaking to reporters on the sidelines of a RICS event here, said the Bill would go to the Cabinet for approval after all the ministries have vetted it, but declined to give a timeline for placing it in Parliament.

The Bill, which has been drafted taking into account the interests of all stakeholders and real estate developers, would set the tone for reforms in the housing sector.

“The Bill will not cover the pricing of property as the intention is not to strangulate the sector but to make real estate properties easily available,” Singh said.

The Bill is in the making for more than three years now. Sources in the Housing and Poverty Alleviation Ministry said since land is a state subject and there are many issues involved in the enactment of the Bill.

The Centre can only enact a model Bill which can be referred to the state government for their consideration.

There is a demand-supply gap for low cost houses and the purpose of the Bill is to protect the interest of consumers while also taking into account the concerns of stakeholders. .

Singh was speaking at the book launch of UK-based self- regulatory body for qualifications and standards, Royal Institution of Chartered Surveyors (RICS).

RICS on Friday launched the India edition of the ‘Red Book’ which lays down mandatory rules for its members.

“The book would provide guidance on valuation of real estate properties under the current Accounting Standards and would help valuers in different ways, including mergers and acquisitions,” RICS India Country Head Sachin Sandhir said.

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One Comment on “Real Estate Regulation Bill, 2011 to protect home buyers from fly-by-night developers soon”

  • B.K.Arora wrote on 3 July, 2011, 22:48

    I am producing below a copy of the agreement received from a builder which reveals how helpless the consumers are vis-a vis builders. This shows the dire and urgent need of legislating Real Estate Regulatory Authority on urgent basis.

    Project “Lumbini Terrace Homes” proposed to be developed by Brisk Infrastructure & Developers Private Limited
    (the ‘Company’) on a parcel land situated at Sector 109, Gurgaon, Haryana (“Project”).
    I/We agree to sign and execute, as and when required, the Agreement to Sell containing the terms & conditions of
    allotment of the Apartment and other related documents on the format provided by the company.
    I/We also agree to abide by the Terms & Conditions for registration of provisional allotment of Apartment in ‘Lumbini
    Terrace Homes’ which I/We have read and completely understood.
    I/We further understand that the expression ‘Allotment’, wherever used herein shall always mean provisional
    allotment and will remain so till such time a formal Sale Deed is executed in Favour of the Intending Applicant(s).
    1. SOLE/ FIRST APPLICANT
    (Compulsory to fill all the details along with a passport size photograph)
    Mr./Ms.
    S/o / D/o Age
    Mailing Address:
    House No. Street City
    State Country Pin
    E-mail Tel No Fax No
    Mobile No Income Tax Permanent Account No
    Nomination Details:
    Name
    Relation with applicant
    Age
    House No. Street City
    State Country Pin
    Email Tel No Fax No
    Mobile No Income Tax Permanent Account No
    2. SECOND/ JOINT APPLICANT
    Mr./Ms.
    S/o / D/o Age
    Mailing Address:
    House No. Street City
    State Country Pin
    E-mail Tel No Fax No
    Mobile No Income Tax Permanent Account No
    4
    Nomination Details:
    Name
    Relation with applicant
    Age
    House No. Street City
    State Country Pin
    Email Tel No Fax No
    Mobile No Income Tax Permanent Account No
    3. DETAILS OF APARTMENT REQUIRED
    Type
    (3 Bedroom / 3 Bedroom + Store / 4 Bedroom)
    Super Area of Apartment (Approx)
    No. of covered car parking No. of open car parking
    4. SALE PRICE OF SUPER AREA
    a. Basic Consideration Price
    (including cost of Car Parking)
    b. External Development Charges / Internal Development Work
    c. Preferential Location Charges (If Applicable)
    d. Interest Free Maintenance Security Deposit
    e. Club Charges
    f. Other Chargers, if any
    Total:
    5. PAYMENT DETAILS
    I, hereby remit Registration Amount as under:
    Cheque/ Demand Draft/ Pay order No…………………..…Dated………………………………….. Issued by
    (Bankers)………………………………………………Branch………………………………….. Rs…………………../-
    (Rupees in words)…………………………………………………………………… ……………………………………
    ………………………………………………………………………….. (Being ……..% of Basic Sales Price “BSP”/
    Earnest Money Deposit) in favour of “Brisk-Lumbini” payable at Delhi. Forwarded to: 1B-1C, Second Floor, The
    Plaza Mall, M G Road, Gurgaon (Haryana)- 1220021
    6. PAYMENT PLAN OPTED
    DOWN PAYMENT PLAN CONSTRUCTION LINKED PLAN
    I/We, the applicant(s), do hereby declare that my/our registration of provisional allotment of the area of a unit by
    the Company is irrevocable and that the above particulars/ information/ details given by me/us are true and correct
    nothing has been concealed there from. In case of any false or misleading information provided by the Applicant(s),
    the Company shall be entitled to forfeit the amount deposited by the Applicant(s).
    Date: Place:
    (Signatures of 1st Applicant) (Signature of 2nd Applicant)
    5
    Note
    Cheques/ Demand drafts to be made in favour of “Brisk-Lumbini” payable at Delhi.
    In case, the cheques comprising BSP/Earnest Money Deposit is dishonoured due to any reason, the Company
    reserves the right to cancel the application without giving notice to the applicant(s).
    All amounts received from Applicant(s) other than Resident Indian shall be NRE/ NRO/ Foreign Currency Account
    only.
    Total Price does not include stamp duty, registration and incidental charges as well as expenses of the property
    buyer’s agreement and conveyance deed etc. which shall be borne and paid by the applicants to the Company.
    The total Price does not include Taxes.
    The total Price does not include the maintenance charges, property tax, municipal tax, govt. rate tax on land, fees
    or levies of all and any kind by whatever name called.
    The total price does not include any other charges that maybe payable by the applicants as per the apartment
    Buyer Agreement as demanded by the Company.
    Specifications and price can be changed at the sole discretion of the Company.
    I/We have thoroughly read and clearly understood that this application does not constitute an Agreement to Sell
    and I/We do not become entitled to the provisional and/or final allotment of Residential Apartment in the Project
    notwithstanding the fact that M/s. Brisk Infrastructure & Developers Private Limited (“Company”) may have issued
    a receipt in acknowledgement of the Earnest Money tendered with the application & encashed the same. It is only
    after I/We sign and execute the Agreement to Sell on the Company’s standard format thereby agreeing to abide by
    the terms and conditions laid down therein that the allotment shall become final and binding upon the Company. If,
    however, I/We withdraw/cancel this application or I/We fail to execute and return the Agreement to Sell within thirty
    (30) days from the date of its dispatch by the Company then the Company may at its sole discretion treat my/our
    application as cancelled and the Earnest Money paid by me/us shall stand forfeited.
    I/We have clearly understood and agreed that this application form will be processed by the Company only after
    encashment of the cheque submitted by me/us i.e. for BSP / Earnest Money together with application form
    complete in all respects otherwise application shall be liable for rejection and amount(s) paid by me/us upto the
    extent of Earnest Money shall automatically stand forfeited without any further notice in this regard.
    In the event of the Company agreeing to provisionally allot Residential Apartment, I/We agree to execute agreement
    to sell on company’s standard format within stipulated period and to pay further Installments of sale price and other
    dues as stipulated in this application form and the Agreement to Sell and payment plan as explained to me/us by
    the Company’s Sales Organizer/executive and understood by me/us.
    6
    BROAD TERMS AND CONDITIONS FOR REGISTRATION AND ALLOTMENT OF APARTMENTS
    AT LUMBINI TERRACE HOMES, GURGAON, HARYANA
    The following terms and conditions for allotment of a residential apartment in “Lumbini Terrace Homes” (“Apartment”),
    being developed by Brisk Infrastructure and Developers Private Limited (“Company”) at Sector 109, Gurgaon,
    Haryana are indicative in nature with a view to acquaint the applicant(s) (“Applicant”) with some of the key terms and
    conditions, as more will be comprehensively set out in the proposed Apartment Buyer’s Agreement (“Agreement”):-
    1 The Applicant has requested for allotment of the Apartment in Lumbini Terrace Homes, being developed in
    Sector 109, Gurgaon, Haryana (“Project”) by the Company with full knowledge of and subject to all laws,
    notifications and rules applicable to the area in general and the Project in particular and all queries regarding the
    same have been answered by the Company to the complete satisfaction of the Applicant.
    The application for the request for allotment of the Apartment shall be processed and accepted by the Company
    only if this application form is filed along with the requisite cheques/draft for the amount of Earnest Money
    …….%. Also the application form shall be processed by the Company only after cheques tendered by the
    Applicant along with this application form are fully encashed. If the cheque(s) submitted by the Applicant along
    with this Application gets dishonoured, for any reason whatsoever, then the Application will be rejected by the
    Company and the Company will not be under any obligation to inform the Applicant about such dishonour of
    the cheque or rejection of the Application. The Applicant will not be entitled to tender a new cheque in place of
    dishonoured cheque, in such case.
    2 This Application is a request by the Applicant for the allotment of the Apartment in the Project and the Company
    reserves the right to accept or refuse the allotment of Apartment at its sole discretion.
    3 This Application will be screened by the screening committee appointed for this purpose. The Application will
    be considered by the screening committee for shortlisting only if it is complete in all respects and subject to the
    tendering up and encashment of applicable payment of earnest money / installments in full together with requisite
    supporting documents such as Income Proof, PAN no, email id, Photo Identity, Address proof and photograph
    of Applicant etc and other relevant documents desired by the Company and acceptance and signing of this
    Application as per norms and conditions and payment plan annexed to this application form. Decision of the
    screening committee regarding acceptance/rejections of the Application and allocation of the Apartment will be
    final and binding on the Applicant. The Applicant shall have no objection to the allotment procedure and norms
    fixed up by the screening committee and shall not raise any objection in case his Application is not considered
    for allotment of the Apartment due to any reason whatsoever notwithstanding the fact that Applicant might have
    tendered earnest money in full or in part and which has also been encashed by the Company.
    4 In case this Application is rejected by the screening committee or the Company is unable to accept/consider
    this Application for any reason whatsoever, the Company will refund the Earnest Money without any interest by
    an account payee cheque to the Applicant. Such refund shall be made by the Company through Speed post or
    registered AD within 90 days of such rejection. Refund of Earnest Money by the Company to the Applicant shall
    constitute complete discharge of its liabilities and its obligations under this Application and the Applicant shall
    have no right, claim or interest of whatsoever nature or kind in the Apartment/Project thereafter.
    5 In case this Application is accepted by the Company, the Company will intimate the Applicant in writing subject
    to his acceptance of the terms and conditions provided hereunder. Such written intimation will be made to the
    Applicant within 30 days of acceptance of this Application.
    6 It has been agreed and understood by the Applicant that the Company shall issue only a single notice to the
    Applicant at the address provided by the Applicant through any of modes available and it shall be the duty of the
    Applicant to receive the notice issued by the Company at the address so provided. It has also been understood
    that the responsibility of the Company ends at the time of posting of the notice by it to the Applicant and no further
    responsibility of whatsoever kind or nature rests upon the Company. And no claim of any sort shall be entertained
    in this regard.
    7
    7 The Applicant has satisfied itself/himself/herself about the right, title and interest of the Company to sell and
    market the Apartments and the right and title of the Company in the land on which the Project is being developed
    and the licence which has been issued in favour of the Company by the competent authority for development of
    the Project on the land. The Applicant has understood all limitations and obligations in respect thereof. Having
    carried out its independent investigations, the Applicant agrees that after signing of this Agreement, it shall not
    raise any dispute nor raise any objection in this respect. Applicant understands and agrees that the Project falls
    within the new Master Plan of Gurgaon and the site of the Project may not have the infrastructure in place as
    on the date of booking or at handing over of possession as the same is to be provided by the Government/
    nominated government agency. Since this is beyond the control of the Company, therefore the Applicant shall
    not claim any compensation for delay/non-provision of infrastructure facilities and / or consequent delay in
    handing over the possession of the allotted Apartment.
    8 The Applicant has examined and accepted the plans, designs and other specifications of the Apartment, being
    submitted to the competent authorities, which are tentative and are subject to change/modification/alteration/
    deletion according to the advise of such competent authorities or architect. The Company shall have the right
    to effect suitable and necessary alterations in the layout plan and/or specifications, as and when required due
    to revision of building plans, technical, site conditions or any other reasons, which may involve all or any of the
    changes, such as, change in the position of the Apartment, increase / decrease in size, change in floor plan,
    layout, change in its number etc. in pursuit for excellence & in tune with the global trends and / or environment
    requirements. The applicant(s)/intending allottee(s) shall have no objection and shall accept the improvements
    done by the company for betterment of apartments and shall willingly pay for the additional facility, specification
    or improvement provided that improvement cost is less than 5% of total cost of apartment.
    9 The Applicant has made the application for allotment of the Apartment with all knowledge that some mandatory
    approvals are still pending to be taken from the competent authority and that in case the same are not sanctioned
    or are cancelled or revoked at any time during the construction or thereafter, the Company shall refund the
    money received from the Applicant without any interest and after such refund the Applicant shall have no right,
    claims whatsoever against the Company and the Company shall fully stand discharged and released from all its
    obligations and liabilities under the Project towards the Applicant.
    10 It has offered to and has been agreed by the Applicant that he/she/it shall be at liberty to inspect the sanctioned
    plan at the site office of the Company with prior appointment and incase he/she/it fails to inspect the sanctioned
    plan at the appropriate time, in such event the Applicant shall not be entitled to raise any dispute qua the
    plan and/or the allotment of the unit or any dispute relating thereto consequent upon any change from the
    specifications/area/location etc as provided at the time of booking.
    11 The Applicant, if resident outside India or having Non Resident Indian (NRI) status, shall solely be responsible for
    complying with the necessary formalities as laid down in Foreign Exchange Management Act ( FEMA), Reserve
    Bank of India (RBI) Act and rules/guidelines made / issued thereunder and all other applicable laws including
    that of remittance of payments, acquisition/sale, transfer of immovable properties in India and provide the
    Company with such permissions, approvals which would enable the Company to fulfill its obligations under this
    Application. In case any such permission is ever refused or subsequent found lacking by any Statutory Authority/
    the Company, the amount paid towards booking and further consideration will be returned by the Company as
    per rules without interest and the allotment (if made) shall stand cancelled forthwith and the Company will not
    be liable in any manner on such account. Also the Applicant shall indemnify the Company from all the damages
    suffered by it due to such non compliance by him/her/it.
    12 The Company has made it clear and the Applicant(s) has agreed that the sale price (“Sale Consideration”) of the
    Apartment shall be calculated on the basis of its Super Area (i.e. area equivalent to the sum of total covered area
    of the Apartment and the pro-rata share of the total common area of the building) and that the Super Area stated
    in this Agreement is tentative and subject to change till the construction of the Building gets completed. The
    final Super Area of the Apartment shall be confirmed by the Company only after the construction of the Building
    is complete and occupation certificate is granted by the competent authority(ies). The total price payable for
    8
    the Apartment shall be recalculated after confirmation by the Company of the final Super Area of the Apartment
    and any increase or reduction in the Super Area of the Apartment shall be payable or refundable, without any
    interest, at the same rate per sq.ft/mtr as provided in the application form or the Agreement. If there shall be an
    increase in Super Area, the applicant(s) agrees and undertakes to pay for the increase in super area immediately
    on demand by the Company and if there shall be a reduction in the Super Area, then the refundable amount due
    to the Applicant shall be adjusted by the Company from the final installment as set forth in the payment plan.
    13 There will be Preferential Location Charges (“PLC”) in case any better location is preferred by the Applicant
    for the Apartment in the Project and the same shall be payable by the Applicant, as per the demand of the
    Company in a manner and within the time as stated in the payment plan. However, the Applicant has specifically
    agreed that if due to any change in the layout/ building plan, the said Apartment ceases to be preferentially
    located, the Company shall be liable to refund only the amount of PLC paid by the Applicant and such refund
    shall be adjusted in the last installment as stated in the payment plan. On the other hand, if his/her Apartment
    in the Project becomes preferentially located due to the aforesaid changes in the layout/building plan, then the
    Applicant shall be liable and agrees to pay, as demanded by the Company, additional PLC as stated in the
    payment plan.
    14 The Applicant shall make all payments of the agreed sale consideration of the Apartment as per the Payment
    Plan, along with the other applicable charges as mentioned or stipulated therein vis-à-vis Basic Sale Price,
    External Development Charges (“EDC”), Infrastructure Development Charges (“IDC”), PLC (for superior location,
    floors etc.), Maintenance Charges, and Security Deposits and all other charges as may be communicated from
    time to time. The Applicant shall further be liable to pay any enhanced EDC, IDC or any other tax/charges
    including any fresh incidence of tax as may be levied by the Government of Haryana/Competent Authority/
    Central Government, even if it is retrospective in effect as and when demanded by the Company. The Applicant
    shall further make payment of any other third party/statutory taxes/fees including without limitation, registration
    charges, stamp duty and other incidental expenses as and when demanded by the Company.
    15 The Applicant shall also pay, as and when demanded by the Company the prorated share of any Value Added
    Tax (VAT), Service Tax, GST or any other third party/statutory taxes, duties, charges, cess, fees, levies, etc., as
    may be found applicable to the present transaction or the Apartment.
    16 All drafts/cheques (except for EDC/IDC amount) are to be made in favour of “BRISK-LUMBINI”, payable at
    Delhi/Gurgaon/New Delhi. All Drafts/Cheques for EDC amount are to be made in favour of “BRISK-LUMBINI
    EDC”, payable at Delhi/ New Delhi. In case the Applicant make the payment by an outstation cheque, then his/
    her payment would be deemed to have been received on the date on which the cheque will get credited into
    the bank account of the Company by the Bank and the bank charges for the outstation clearing will be charged
    from the Applicant.
    17 The Applicant shall be liable to pay interest on every delayed payment at the compounded rate of 15% per annum
    with quarterly rests from the date on which it is due for payment till the date of actual payment thereof. In case
    the Applicant defaults in making payment of the due installment (including partial default) beyond a period of 30
    days from the due date, the Company shall be entitled to cancel the allotment and terminate this Agreement any
    time thereafter in accordance herewith. However, the Company may alternatively, in its sole discretion, instead
    decide to waive its right to terminate this Agreement and enforce the payment of all its dues from the Applicant
    by seeking specific performance of this Agreement. Further, in every such case of delayed payment, irrespective
    of the type of payment plan, the subsequent credit of such delayed installment(s)/payments along with delayed
    interest in the account of the Company shall not however constitute waiver of the right of termination reserved
    herein and shall always be without prejudice to the rights of the Company to terminate this Agreement.
    18 The Company shall adjust all the amounts received from the Applicant first towards interest on overdue
    installments and only thereafter towards the overdue installments or any other outstanding demand payable to
    the Company and finally the balance, if any, would be adjusted towards the current installment or current dues
    for which the payment is tendered.
    9
    19 Performance of all the obligations under this Agreement by the Applicant and more specifically the timely
    payment of the Sale Consideration and other charges under the payment plan agreed by the Applicant shall
    be of the essence for these terms and conditions and the Agreement. If the Applicant neglects, omits, ignores,
    or fails in the timely performance of its obligations agreed or stipulated herein for any reason whatsoever or
    to pay in time to the Company any of the installments or other amounts and charges due and payable by
    the Applicant by respective due dates, the Company shall be entitled to cancel the allotment, terminate the
    Agreement and forfeit the Earnest Money. It is clearly agreed and understood by the Applicant that it shall not
    be obligatory on the part of the Company to send demand notice/reminders regarding the payments to be
    made by the Applicant as per the payment plan or obligations to be performed by the Applicant under these
    terms and conditions of the Application, the Agreement or any further document signed by the Applicant with
    the Company. The Applicant hereby also covenants to observe and perform all the terms and conditions of the
    Application, the Agreement and Conveyance Deed to keep the Company and its agents and representatives,
    estates and effects indemnified and harmless against the said payments and observance and performance of
    the said terms and conditions and also against any loss or damages that the Company may suffer as a result of
    non-payment, non-observance, or non-performance of the said terms and conditions by the Applicant.
    20 The prices of Apartments are free of escalation to the extent of increase in prices of inputs by 10% and the same
    would be absorbed by the Company but in case the prices of inputs increases higher than 10%, the same shall
    be added to the cost of the Apartment(s) as per the input price index of construction material on pro rata basis.
    The decision of the Company in this behalf shall be final, conclusive and binding on the Applicant.
    21 The Applicant agrees to pay additional sum for Car Parking space for exclusive use in the said complex, but
    it shall not have any ownership rights over the parking space allotted to him. The Car Parking space whether
    covered or open would be used exclusively for parking of light motorized vehicles and would not be used as
    storage or put to any other use under any circumstances, inclusive of housing pets, cattle, animals etc. The
    Car Parking right is integral part of the Apartment and cannot be detached from the Apartment and shall stand
    automatically transferred along with the transfer of the Apartment.
    22 The Applicant, if being allotted the Apartment, shall pay, as and when demanded, the maintenance including
    security deposit for providing, maintaining and up-keeping the Apartment and the various services therein, as may
    be determined by the Company or the maintenance agency appointed for this purpose (“Maintenance Agency”),
    as the case may be. It is further agreed by the Applicant that the Company shall not be liable to maintenance and
    other charges for unsold Apartments in the complex till the time Apartments are sold or leased or occupied and
    maintenance and other charges shall be payable only by the purchaser/lessee/occupant of the Apartments in
    the Project.
    23 The scavenging of the common areas will be carried out by the Maintenance Agency but those inside the
    Apartment will be carried out by the Applicant only, who will ensure that all dirt, refuge and waste is properly
    transported out in covered cans/bags as biodegradable & non biodegradable waste.
    24 Pursuant to the provisions of section 14 of the Haryana Apartment Ownership Act, 1983 (“Act”), the Applicant
    expressly agrees, confirms, acknowledges and gives his unqualified consent for removal of the Property/
    Building/Tower from the provisions of the Act. The Applicant voluntarily elects that the maintenance and
    upkeep of the Property/Tower/Building and its common areas, facilities, services and amenities be entrusted to
    Company/its Maintenance Agency until an elected body/society/association of all the apartment owners of the
    specific property/Tower/Building is formed, lawfully constituted and registered as per Declaration in Form A to
    be submitted by the Company to the competent authority under the Act. The Declaration besides other details
    shall specify the details pertaining to (a) Description of the limited common areas and facilities, (b) Description
    of the limited common area and facilities, if any, stating to which apartments their use is reserved, etc., upon
    transfer/assignment of the upkeep and maintenance of the building and its common areas, facilities, services
    and amenities to the body/association/society as mentioned herein, the Tripartite Maintenance Agreement in
    respect of the Project building shall become null and void and rescinded. The Company/Maintenance Agency
    10
    and the Applicants shall be relegated to their respective positions as per the Act and status quo mentioned as
    per the said Act and Rules framed there under.
    25 It is expressly agreed to and understood by the Applicant that notwithstanding the fact that a portion of the
    common areas of the Building has been taken into consideration for the purpose of calculation of the Super
    Area of the Apartment, yet it is only the area within the four walls of the Apartment that has been agreed to be
    sold to the Applicant. The inclusion of the common area of the Project building in computation of super area of
    the Apartment does not and would not create any specified or independent interest in favour of the Applicant in
    the open spaces and all or any of the common areas such as lobbies, lifts, corridors, terraces and roof etc. of
    the Project building.
    26 It is expressly agreed and understood by the Applicant that the right of the Applicant under this Agreement is
    confined and restricted to that Project building in which the Apartment of the Applicant is located and to the
    common areas and facilities in respect of the same and would not extend to the common areas and facilities
    in any other building or in the club building, sports complex, park, open spaces, shopping arcade, green belt,
    community centre, facilities, basements, plant rooms in the Project. However, the Applicant shall have the right
    to use the common areas and facilities in the Project only for peaceful ingress and egress in the manner and
    to the extent identified by the Company in its sole discretion and such identification by the Company in its/their
    plans now or in future shall be final, conclusive and binding on the Buyer.
    27 The Company shall have the absolute right to make additional construction anywhere in the Project, whether
    on account of increase in Floor Area Ratio (FAR) or better utilization of the said land or for any other reason
    whatsoever to the extent permissible by the government or Director General, Town and Country Planning,
    Chandigarh, Haryana (DGTCP). The Company shall have the absolute and unfettered right to transfer such
    additionally constructed areas in any manner whatsoever as the Company may in its absolute discretion think
    fit. The Company and the transferees of such additional construction shall have the same rights as the Applicant
    including the right to be member of the society of apartment owners to be formed and an equal right to use of
    the common areas and other common amenities of the Project.
    28 The Applicant understands and agrees that it shall not have any right to transfer/assign this Agreement in favour
    of any other Person and any such transfer by the Applicant without seeking the permission of the Company shall
    be illegal and not binding upon Company and the Applicant shall continue to be liable to the company under the
    terms of this Agreement.
    29 Notwithstanding the restriction on transfer, the Company may at its sole discretion permit such assignment/
    transfer of this Agreement in favour of a nominee on a case to case basis subject to condition that such transfer
    shall not be allowed under any circumstances, prior to allotment of flat by the Company having taken place,
    in favour of the Applicant and is further always subject to payment of the administrative and other charges as
    decided by the Company as well as the execution of appropriate collateral documentation by the Applicant and
    the proposed assignee(s)/transferee(s) to the complete satisfaction of the Company in the format finalized by it.
    It is however made clear that the Applicant does not have any enforceable right to demand assignment/transfer
    of its rights under this Agreement, the sole discretion of which rests with the Company and the Applicant agrees
    and consents that the Company is not bound to permit the requested assignment/transfer, even though it may
    have done so in any other person’s case previously or may do so subsequently. In the event that any such
    request for assignment/transfer of rights under this Agreement is permitted by the Company, it shall always be
    subject to the applicable laws, rules, regulations and the directions of the Government. The Applicant hereby
    indemnifies and undertakes to keep the Company saved, indemnified and harmless at all times from any legal,
    monetary (including liability for any tax, penalty or duties, etc.), or other adverse consequence whatsoever on
    account of such permission being accorded by the Company on the request of the Applicant.
    30 The Applicant agrees and undertakes that it shall not modify any structure or raise any illegal construction in the
    Apartment allotted nor encroach upon or occupy any area falling outside the said Apartment. The Apartment
    shall solely be used for residential purpose alone and for no other purpose and furthermore the Applicant shall
    11
    not conduct any illegal or immoral activities from or in the said Apartment. The Applicant further undertakes
    not to carry on any activity from and in the said Apartment, which creates nuisance or is illegal, obnoxious or
    contrary to public policy or contrary to the common interest of the collective owners/ occupants of the Project.
    The Applicant shall also not change the colour scheme of the outer walls and painting of exterior side of the door
    and windows and shall also not carry out any change in the exterior elevation and design and shall not erect any
    fencing/hedging/grills without the prior permission of the Company.
    31 The Applicant understand and agrees that incase the Applicant makes any change in the original structure or
    the exterior of the project or cause any repairs in the unit in such a situation the Applicant shall be liable to pay
    the costs and make good any loss caused due to such restoration of the project to its original condition.
    32 The Applicant understands and agrees that he/she/it shall be liable for upkeep and maintenance of the unit
    upon its allotment by the Company and incase of any negligence in upkeep and due repairs, as and when the
    need for the same arises, in such case the Applicant shall be liable to pay all losses which may be caused to the
    Company and/or to the owners of the adjoining units.
    33 The Applicant shall not sub divide the Apartment.
    34 The Applicant understands and agrees that under no circumstances shall, the payments made under this
    Agreement, be construed or deemed to create, in any manner whatsoever, a lien on the said Apartment in
    favour of the Applicant. The Applicant clearly understands that the ultimate conveyance of the said Apartment
    in favour of the Applicant is contingent on the payment of the complete Sale Consideration and all outstanding
    dues and the due, timely and faithful performance by the Applicant of all its obligations agreed and undertaken
    herein.
    35 The Applicant understand and agrees that for no reason whatsoever, the Applicant shall stop making payments
    to the Company under the payment terms as agreed and incase the payments as demanded by the Company
    remain unpaid within the reasonable period for such payment the Company shall be entitled to cancel the
    booking and forfeit earnest money without any further notice in this regard. It has also been agreed that in case
    the Applicant raises any dispute on any aspect of the project or the payment terms or rates etc, the same shall
    not be a ground for not making payments to the Company under the payment terms.
    36 The Applicant shall indemnify and undertakes to keep the Company, its assignees and nominees saved,
    indemnified and harmless from and against all consequences resulting from the breach by the Applicant of any
    law or its representations, warranties and undertakings found to be untrue.
    37 The Applicant hereby authorizes and permits the Company to raise finance/loan from any Financial Institution/
    Bank by way of mortgage/charge/securitization of receivables of his/her Apartment subject to the Apartment
    being free of any encumbrance at the time of execution of Conveyance Deed. The Company/Financial Institution/
    Bank shall always have the first lien/charge on the said Apartment for all dues and other sums payable by the
    Applicant or in respect of the loan granted for the purpose of the construction of the Apartment/Building/
    Complex. In case of the Applicant who have opted for long term payment plan arrangement with any Financial
    Institutions/Banks, the conveyance of the Apartment in favour of the Applicant shall be executed only upon the
    Company receiving No Objection Certificate from such Financial institutions/Banks.
    38 The Applicant hereby agrees to comply with all the laws of the land at all times, as may be applicable to the said
    apartment but not limited to the provisions of Environment (Protection) Act, 1986, Water (Prevention and Control
    of Pollution) Act, 1974 and Air (Prevention and Control of Pollution) Act, 1981 and their rules, notifications etc.
    in respect of his said Apartment and the Applicant shall always remain solely responsible for the consequences
    of non-compliance of the aforesaid Acts/rules and laws of the land.
    39 The Company reserves the right to transfer ownership of the said Project in whole or in parts to any other entity,
    such as Partnership Firm, Body Corporate(s) whether incorporated or not, Association or Agency etc. by way
    12
    of sale/disposal or any other arrangement, as may be decided by the Company in its sole discretion without
    any intimation, written or otherwise to the Applicant and the Applicant agrees that he/she shall not raise any
    objection in this regard.
    40 The provisional and/or final allotment of the Apartment is entirely at the sole discretion of the Company and the
    Company has a right to reject any application, provisional or final allotment without assigning reasons thereof.
    41 The Company shall have the first lien and charge on the Apartment for all its dues and other sums payable by
    the Applicant to the Company.
    42 The Applicant shall not cause to do any act which may invalidate the insurance of his/her Apartment or of the
    region/Project.
    43 The Company shall be subject at all times to Force Majeure circumstances, and any event beyond the reasonable
    control of the Company by itself or in combination with other events or circumstances which cannot (i) by the
    exercise of reasonable diligence, or (ii) despite the adoption of reasonable precautions and/or alternative measures
    have been prevented, or caused to have been prevented, and which materially impairs or adversely affects the
    Company’s ability to perform its obligation under this Agreement, and which events and circumstances shall
    include but not be limited to acts of God, i.e. a) fire, drought, flood, earthquake, epidemics, natural disasters or
    deaths or disabilities; b) explosions or accidents, air crashes and shipwrecks; c) strikes or lock outs, industrial
    dispute; d) non-availability of cement, steel or other construction material due to strikes of manufactures,
    suppliers, transporters or other intermediaries; e) war and hostilities of war, riots or civil commotion; f) non-grant
    of any approval from any governmental authority or imposition of any adverse condition or obligation in any
    approvals from any governmental authority, including delay in issuance of the occupation certificate, completion
    certificate and/ or any other approvals/certificate as may be required; g) the promulgation of or amendment in
    any law, rule or regulation or the issue of any injunction, court order or direction from any governmental authority
    that prevents or restricts the Company from complying with any or all the terms and conditions as agreed in the
    Agreement; h) economic recession; i) any event or circumstances analogous to the foregoing. In the event of
    happening of any Force Majeure events, the Company shall be entitled to corresponding extension of time for
    performance of its obligations under the Agreement.
    44 Subject to Force Majeure, as defined hereunder and further subject to the Applicant having complied with all its
    obligations under the terms and conditions of this Application and this Agreement and the Applicant not being
    in default under any part of this Application and the Agreement including but not limited to the timely payment of
    the total Sale Consideration, stamp duty and other charges and also subject to the Applicant having complied
    with all formalities or documentation as prescribed by the Company, the Company proposes to hand over the
    possession of the said Apartment to the Applicant within a period of thirty six (36) months from the date of
    the approval of the Building Plans and/or any pre-conditions imposed thereunder (“Commitment Period”). The
    Applicant further agrees and understands that the Company shall additionally be entitled to a period of 180
    (One Hundred and Eighty) days (“Grace Period”), after the expiry of the said Commitment Period to allow for
    unforeseen delays in obtaining the Occupation Certificate etc., from the DGTCP under the Act in respect of the
    Project. Subject to the condition contained herein, if the Company fails to offer possession of the said Apartment
    to the Applicant by the end of the Grace Period, it shall be liable to pay to the Applicant compensation calculated
    at the rate of Rs. 7.5 /- (Rupees Seven and fifty paise only) per sq. ft. of Super Area (“Delay Compensation”)
    for every month of delay thereafter until the actual date fixed by the Company for handing over of possession
    of the said Apartment to the Applicant. The Applicant shall be entitled to payment/adjustment against such
    Delay Compensation only at the time of ‘Notice of Possession’ or at the time of payment of the final installment,
    whichever is earlier.
    45 Subject to the above, in the event of delay by the Company in handing over the possession of the said Apartment
    beyond a period of 12 months from the end of the Grace Period (such 12-month period hereinafter referred to
    as the “Extended Delay Period”), then the Applicant shall additionally become entitled to opt for termination of
    the Agreement and refund of the actual paid up installment paid by it against the said Apartment. It is clarified
    13
    that the Delay Compensation calculated for the fixed period of 12 months only shall be paid by the Company
    along with the installments refundable under this clause without any interest. This option may be exercised by
    the Applicant only up till dispatch of the Notice of Possession by the Company to the Applicant. No other claim,
    whatsoever, monetary or otherwise shall lie against the Company nor be raised otherwise or in any other manner
    by the Applicant.
    46 Notwithstanding any other provisions of this Application/Agreement, the Applicant agrees that if it fails, ignores
    or neglects to take the possession of the said Apartment in accordance with the Notice of Possession sent by
    the Company, the Applicant shall also be liable to pay charges equivalent to Rs. 10.00 /- (Rupees Ten only) per
    month per sq. ft. on the Super Area of the said Apartment (“Holding Charges”). The Holding Charges shall be a
    distinct charge in addition to the Maintenance Charges and not related to any other charges/consideration as
    provided in this Agreement. The Applicant shall also remit in advance one year maintenance charges at the time
    of possession.
    47 This Agreement may be terminated by the Company at its sole option by providing written notice (“Notice of
    Termination”) to the Applicant intimating to it the decision of the Company to terminate the Agreement and the
    grounds on which such action has been taken, in case any breach committed by the Applicant is incapable
    of rectification or is in the opinion of the Company unlikely to be rectified by the Applicant or is such where the
    breach is repeated or is continuing despite the Applicant being given an opportunity to rectify the same. In all
    other cases not covered under this clause, the Company shall give to the Applicant a notice calling upon it to
    rectify the breach set out in the said notice within the time given therein. In the event that the Applicant fails to
    establish to the satisfaction of the Company that the said breach has been rectified by it within the time specified
    in the said notice, the Company may terminate this Agreement in the manner set out above in this clause and to
    the same effect. For the removal of doubts, it is clarified that notwithstanding the fact that the refund cheque has
    not been dispatched by the Company, or if dispatched, it has not been received by the Applicant or if received,
    such refund cheque remains unencashed by the Applicant, the mere dispatch of the Notice of Termination by the
    Company would be deemed to sufficiently and by itself constitute termination of this Agreement and no further
    act on the part of the Company would be necessary for this purpose. It is further clarified that immediately on
    dispatch of the Notice of Termination, the Company shall be entitled to re-allot the said Apartment afresh to any
    other person and the Applicant agrees and undertakes that it shall not object thereto nor seek any legal relief so
    as to prevent such re-allotment. The Applicant understands, agrees and consents that upon such termination,
    the Company shall be under no obligation save and expect to refund the amounts already paid by the Applicant
    to the Company, without any interest, and after forfeiting and deducting the Earnest Money and other amounts
    due and payable to it including any interest accrued on delayed installments and late payment charges which
    shall be made only after resale of the said Apartment. Upon termination of this Agreement by the Company,
    save for the right to refund, if any to the extent agreed hereinabove, the Applicant shall have no further right or
    claim against the Company which, if any, and shall be deemed to have been waived and the Applicant hereby
    expressly consents thereto. The Company shall henceforth be free to deal with the said Apartment in any
    manner whatsoever, in its sole and absolute discretion and in the event that the Applicant has taken possession
    of the said Apartment, then the Company shall also be entitled to re-enter and resume possession of the said
    Apartment and everything whatsoever contained therein and in such event, the Applicant and/or any other
    person/occupant of the said Apartment shall immediately vacate the said Apartment and otherwise be liable to
    immediate ejectment as an unlawful occupant/trespasser. This is without prejudice to any other rights available
    to the Company against the Applicant.
    48 The Company shall also be entitled to and hereby reserves its right to cancel/terminate this Agreement in
    the manner described above, in case in the opinion of the Company, (a) the allotment of the said Apartment
    has been obtained through misrepresentation and concealment or suppression of any material fact, or (b) the
    Applicant has violated or violates any of the directions issued, rules and regulations framed by the Company or
    by any statutory body or Competent Authority, including DGTCP. The condition contained in this clause shall
    survive the conveyance of the Apartment and run with the Apartment within the meaning of Section 31 of the
    Transfer of Property Act 1882.
    14
    49 All or any disputes arising out of or touching upon or in relation to the terms of this Agreement or its termination
    including the interpretation and validity of the terms hereof and the respective rights and obligations of the
    Parties shall be settled amicably by mutual discussions failing which the same shall be settled through reference
    to a sole Arbitrator to be appointed by a Director of the Company, whose decision shall be final and binding
    upon the Parties. The Applicant hereby confirms that it shall have no objection to the appointment of such
    sole Arbitrator even if the person so appointed, is an employee or advocate of the Company or is otherwise
    connected to the Company and the Applicant hereby accepts and agrees this shall not constitute a ground for
    challenge to the independence or impartiality of the said sole Arbitrator to conduct the arbitration. The arbitration
    shall be governed by the Arbitration and Conciliation Act, 1996 or any statutory amendments/modifications
    thereto and shall be held at the Company’s offices or at a location designated by the said sole Arbitrator in
    Delhi. The language of the arbitration proceedings and the Award shall be English. The Party against whom the
    award shall be made by the Arbitrator shall pay the fees of the Arbitrator and bear other expenses in regard to
    the arbitration.
    50 The rights and obligations of the parties under or arising out of this Agreement shall be construed and enforced
    in accordance with the laws of India. Subject to the above Arbitration clause, the Courts at Delhi alone shall,
    have the exclusive jurisdiction in all matters arising out of/touching and/or concerning this Agreement, to the
    exclusion of all other locations, regardless of the place of execution or subject matter of this Agreement.
    51 The Applicant has understood and agreed that incase the Agreement cannot be enforced in full in such situation
    the Company shall be entitled to severe the clauses which could not be enforced and enforce select clauses at
    its discretion and without objection from the Applicant.
    Declaration by Applicant:
    I/We have read over and fully understood the terms and conditions as aforementioned and I/we undertake to be
    bound by the same and shall abide by the same.
    Applicant Co Applicant

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