What If the Builder Has Not Given Conveyance to the Housing Society?
You may have been living in your apartment for several years, but if the builder has not executed the conveyance deed to transfer the property title to the housing society, you may be facing significant concerns regarding the ownership and rights of the society and its members. This scenario raises essential questions: What does this mean for your rights as a homeowner? Can the society take action? What if the builder refuses to cooperate?
In Maharashtra, the conveyance of the land and building from the builder to the housing society is a crucial legal step that impacts the members greatly. If the builder has not given conveyance, the society is likely dealing with ownership uncertainties, potential disputes over possession, and limitations on its rights. This article clarifies these issues, outlines the legal framework governing conveyance in Maharashtra, and provides actionable guidance on what steps you can take next.
Quick Answer
If the builder has not given conveyance to the housing society, the society can take legal action to obtain it under the Maharashtra Co-operative Societies Act, the Maharashtra Ownership of Flats Act (MOFA), and provisions of RERA. Members of the society, collectively, can seek deemed conveyance through a legal process if the builder is uncooperative.
It is essential to gather relevant documents, understand your rights, and consider consulting a lawyer specializing in property disputes. Your approach will depend on the specific facts surrounding your society's situation, including any agreements made with the builder and the response from the society members.
Legal Framework
Maharashtra Co-operative Societies Act, 1960
This act governs the registration, regulation, and management of co-operative societies in Maharashtra. A housing society must have a proper conveyance to enjoy full ownership rights over the property.
Maharashtra Ownership of Flats Act, 1963 (MOFA)
Under Section 11 of MOFA, builders are mandated to convey the title of the property to the society upon completion of the project. The failure to execute a conveyance deed may provide grounds for action against the builder.
Relevant Court Decisions
Several court rulings emphasize the builder's obligation to convey property. Courts have upheld that housing societies have a right to seek conveyance if builders delay or refuse to execute the deed.
Detailed Legal Analysis
Rights of Housing Society Members
As a member of the housing society, you have the following rights if the builder has not given conveyance:
Right to Ownership: Without the conveyance, members do not have full ownership rights over the property.
Right to Demand Conveyance: You and other members can collectively demand the builder execute the conveyance.
Right to Legal Action: If the builder refuses to comply, the society can initiate legal action for a deemed conveyance or compel the builder to perform their obligation.
Actions the Society Can Take
The housing society can take the following actions:
Negotiation: Engage in discussions with the builder to resolve the matter amicably and ensure conveyance is executed.
Legal Notice: Send a formal legal notice to the builder demanding conveyance, which sets a legal basis for future actions.
Deemed Conveyance Application: If negotiations fail, the society may apply for deemed conveyance under MOFA to obtain ownership. This process includes submitting necessary documents to the local authority.
Steps Members Can Take
As a member of the society, you can:
Collect Relevant Information: Gather information about the property purchase history, payment records, and agreements made with the builder.
Consult with the Society Committee: Engage the committee to understand their actions regarding the conveyance.
Check Society Resolutions: Review resolutions passed regarding builder negotiations and conveyance.
What If the Builder Objects?
The builder may argue various reasons for the delay or refusal to provide conveyance, including:
Technical reasons for the delay, such as pending approvals from local authorities.
Financial disputes regarding payments or claims about construction quality.
Pending obligations that the society has not fulfilled.
The society must be prepared to counter these arguments by providing evidence of compliance with legal obligations.
Legal Remedies
The society has several legal remedies available:
Legal Notice to Builder: Initiate with a formal notice demanding conveyance.
Deemed Conveyance Application: Apply for deemed conveyance under MOFA.
Civil Suit: If the builder refuses to cooperate, file a civil suit against the builder in the appropriate court of law.
Important Documentation
To strengthen your case, gather the following documents:
Society Registration Certificate
Minutes from AGMs/SGMs
Resolutions regarding conveyance
Correspondence with the builder
Payment records or receipts
Exhibit of the builder's failure to cooperate
FAQs
What is a conveyance deed? A conveyance deed is a legal document transferring ownership rights from the builder to the housing society.
How long does the conveyance process take? It varies depending on builder cooperation and legal proceedings; however, it should ideally be executed soon after completion.
Can I sue the builder for not giving conveyance? Yes, if they refuse after reasonable requests, legal action can be pursued.
What is a deemed conveyance? A deemed conveyance is a legal process through which a housing society can obtain ownership of the property if the builder fails to provide conveyance within a stipulated time.
When should I consult a lawyer? You should seek legal assistance if you receive a legal notice from the builder, if the builder is unresponsive to requests for conveyance, or if the society is unable to reach a consensus on taking legal action.
Conclusion
The conveyance process is a critical legal requirement for housing societies in Maharashtra. If the builder has not given conveyance, it is essential for the society and its members to take prompt action to protect their rights and interests. Engaging with the builder, understanding the legal framework, and seeking deemed conveyance through the appropriate authorities will be key steps towards ensuring ownership of the property.
