UP RERA to oversee builder-buyer transactions

23 Feb 2024 CW Team

This month, UP-Rera released a set of guidelines aimed at closely monitoring mutual settlements between homebuyers and developers, as announced by officials. Officials stated that the real estate regulatory authority had observed numerous instances where parties failed to adhere to the existing norms.

An official revealed during the adjudication of complaints or execution of orders, promoters and allottees frequently submit mutual settlements, seeking the resolution of the matter. UP-Rera noted that these parties often deviate from established norms, and in some cases, they even deny such settlements at a later stage.

Consequently, the authority issued comprehensive guidelines on February 2. As per the new regulations, mutual settlements must now be executed on non-judicial stamp paper worth Rs 100. The document must be notarized and signed by the director, managing director, or CEO of the promoter, and the allottee must also sign it.

The official further explained, "It shall bear the signatures of one witness each of the parties. The terms and conditions of the settlement must be unambiguously laid down and must not be contrary to the provisions of applicable laws or existing public policies."

Settlements submitted by promoters will be uploaded to the authority's web portal, and UP-Rera will ensure verification through its benches or offices.

"If any of the parties does not appear for physical verification, then they will need to verify through e-mail. Only after that can further proceedings be conducted. If a party does not submit its reply to the e-mail within the stipulated time, it will be deemed that the party has consented to the settlement on its free will," stated the official.

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