Flat-purchasers Can't Be Left at Mercy of Builders: SC Notice to Centre
IANS 04 October 2021
The Supreme Court (SC) on Monday issued a notice on a plea seeking direction to the Centre to frame a 'model builder agreement' and agent-buyer agreement in the real estate sector to infuse transparency and fairness, restraining builders and agents from indulging into unfair and restrictive trade practices.
A bench comprising justices DY Chandrachud and BV Nagarathna said: "This is an important issue on the protection of buyers". It further added, "often (this issue) is put on back foot by clauses in agreements made by builders."
The bench noted that a uniform builder-buyer agreement is required to be framed by the Centre to protect the interests of lakhs of home-buyers. It observed the plea raises the grievance that in the absence of model agreement, flat purchasers are left at the mercy of developers regarding the terms and conditions.
The bench pointed out once the model buyer-builder agreement is framed by the Centre, then it may direct the state governments to follow it. It further emphasised that it is an important issue of consumer protection and often builders get away by putting any clause. "This purpose has to be achieved in the country," it observed.
The Supreme Court was hearing a plea filed by advocate Ashwini Upadhyay who was represented by senior advocate Vikas Singh. During the hearing, Mr Singh submitted that the Centre should give guidance at least, and emphasised on the importance of a model builder-buyer agreement.
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10 months ago
A initiative that sounds nice, but is utterly frivolous . It will increase litigation manifold.
10 months ago
Very important suggestions and shoud be implemented with time bound limit.imlementation will have blessings of millions property buyers
10 months ago
SC notice to Centre to bring in model agreement for buyers and sellers in real estate is most welcome. I hope the Central Government will soon frame the laws to put an end to difficulties and loss faced by the buyers.
10 months ago
i sincerely hope that a model agreement between the buyer ans developer and likewise between an agent is done quickly .
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