The Real Estate (Regulation &amp

/ 
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31'mtmTJ1 
EXTRAORDINARY 
\JTll D-~ l 
PART 11- Section I 
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PUBLISHED BY AUTHORITY 
~ ~. ~. ~ 26, 2016/ ~ 6, 1938 ('ffi'i) 
NEW DELJil , SATURDAY, MARCH 26, 2016/CHAITRA 6, 1938 (SAKA) 
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Separate paging is given to this Part in order that it may be filed as a separate ~ompilation. 
MINISTRY OF LAW AND JUSTICE 
(Legislative Department ) 
New Delhi, 1he 261'1 March, 20 I 6/Chai1ra 6. 1938 (Saka) 
The following Act or Parliament received the assent of the President on the 
25th March.2016. and is hereby published for general information:-
THE REAL ESTATE (REGULATION AND DEVELOPMENT) ACT, 2016 
No. 16 OF 2016 
[25th March, 2016.) 
An Act to establish the Real Estate Regulato1y Authority for regulation and 
promotion of the real estate sector and to ensure sale of plot, apartment or 
building, as the case may be. or sale of real estate project, in an efficient and 
transparent manner and to protect Lhe interest of consumers in the real estate 
sector and to establish an adjudicating mechanism for speedy dispute redressal 
and also to establish the Appellate Tribunal to hear appeals from the decisions, 
directions or orders of the Real Estate Regulatory Authority and the adjudicating 
officer and for matters connected therewith or incidental thereto. 
BE it enacted by Parliament in the Sixty-seventh Year of the Republic of India as 
follows:-
CHAPTERI 
PRELIM INARY 
I. (I) This Act may be called the Real Estate (Regulation and Development) Act, 2016. 
(2) It extends 10 the whole of India except the State of Jammu and Kashmir. 
(J) It shall come into force on such date as the Central Government may. by notification 
in the Official Gazette, appoint: 
Shon title. 
extent and 
commence­
mem. 
Delini1ious. 
2 THE GAZETTE OF INDIA EXTRAORDINARY [PART II-
Provided that different dates may be appointed for different provisions of this Act and 
any reference in any such provision 10 lhe commencement or this Act sh al I be construed as 
a reference 10 the coming into force of that provision. 
2. In this Act. unles~ the context otherwise requires,-
(a) "adjudicating officer" means the adjudicating orlicer appointed under 
sub-section ( /) of section 7 1; 
(b) "advenisemenL" means any document descnbed or issued as advertisement 
through any medium and includes any notice, circular or other documents or publicity 
~ in any form, infonning persons about a real estate project, or offering for sale of a plot, 
building or apanmenL or inviting persons 10 purchase in any manner such plot. building 
or apartment or to make advances or deposits for such purposes; 
(c) "agreemenL for sale" means an agreement entered imo between the promoter 
and the allottee; 
(d) "allottee" in relation to a real estate project, means the person LO whom a plot. 
apanmenL or building, as the case may be, has been al lotted, sold (whether as freehold 
or leasehold) or otherwise transferred by the promoter, and includes the person who 
subsequently acquires the said allotment through sale, transfer or otherwise but does 
not include a person to whom such plot, apartment or building, as the case may be, is 
given on rent; 
(e) "apartment" whether called block, chamber, dwelling unit, flat. office, 
showroom. shop, godown, premises, suit, tenement. unit or by any other name, means 
a separate and self-contained part of any immovable property, including one or more 
·rooms or enclosed spaces, located on one or more floors or any part thereof. in a 
building oron a plot of land, used or intended to be used for any residential or commercial 
use such as residence, office, shop, showroom or godown or for carrying on any 
business. occupation, profession or trade, or for any other type of use ancillary to the 
purpose specified; 
(j) "Appellate Tribunal " means the Real Estate Appellate Tribunal established 
under section 43; 
(g) "appropriate Government" means in respect of matters relating to,-
(i) the Union territory without Legislature, the Central Government; 
(it) the Union territory of Puducherry, the Union territory Government; 
(ii,) the Union territory of Delhi, the Central Ministry of Urban Development; 
(iv) the State, the State Government; 
(/,) "architect" means a person registered as an architect under the provisions of 
the Architects Act, 1972; 
(i) "Authority" means the Real Estate Regulatory Authority established under 
sub-section (/) of section 20; 
(J) "building" includes any structure or erection or part of a structure or erection 
. which is intended to be used for residemial, commercial or for the purpose of any 
business, occupation. profession or trade. or for any other related purposes; 
(k) "carpet area" means the net usable floor area of an apartment, excluding the 
area covered by the external walls, areas under services shafts, exclusive balcony or 
verandah area and exclusive open terrace area, but includes the area covered by the 
internal partition walls of the apartment. 
E.xpla11atio11.-For the purpose of this clause, the expression "exclusive balcony 
or verandah area" means the area of the balcony or verandah, as the case may be, 
20 of 1972. 
18 of W13. 
Sec. 11 THE GAZETTE OF INDIA EXTRAORDINARY 3 
which 1s appurtenant to the net usable Ooor area or an apartment. meant forthe exclusive 
use of the allouee: and "e,clusive open terrace area" mean~ the area or open terrace 
11 hrch 1s appurtenant to the net usable noor area or an apartment. meant for the exclusive 
use of the allottee: 
(/) "Chairperson" means the Chairperson of the Real Estate Regulat0ry Authority 
appointed under section 21: 
(111) "commencement certificate" means the commencement certilicate or the 
building permll or the construcllon permll, by whatever name called issued by the 
competent authority to allo" or pe1T111t the promoter 10 bcg111 development works on an 
immovable property, as per the sanctioned plan: 
(11) "common areas" mean-
(i) the entire land for the real estate proJect or where the project is developed 
in phases and registration under this Act is sought for a phase. the entire land for 
that phase; 
(it) the stair cases. lifts, staircase and lift lobb1es, lir escapes. and common 
entrances and exits of buildings: 
(iii) the common basements. terraces, parks, play areas, open parking areas 
and common storage spaces; 
(iv) the premises for the lodging of persons employed for the management 
of the property including accommodation for watch and ward staffs or for the 
lodging of community service personnel: 
(v) installations of central services such as electncity, gas. water and 
sanitation, air-conditioning and incinerating, system for water conservation and 
renewable energy; 
(vi) the water tanks, sumps, motors. fans, compressors. ducts and all 
apparatus connected with installations for common use: 
(vii) all community and commercial facilities as provided in the real estate 
project; 
(viii) all other portion of the project necessary or convenient for its 
maintenance, safety, etc., and in common use; 
(o) "company" means a company incorpo rated and registered under the 
Companies Act. 2013 and includes,-
(i) a corporation established by or under any Central Act or State Act: 
(i1) a development authonty or any public authority established by the 
Government in this behalf under any law for the time being in force; 
(p) "competent authority" means the local authority or any authority created or 
established under any law for the time berng in force by the appropriate Government 
which exercises authority over land under its jurisdiction. and has powers to give 
permission for development of such immovable property; 
(q) "completion certificate" means the completion certilicate, or such Olher 
certificate, by whatever name called. issued by the competent authority certifying that 
the real estate project has been developed according to the sanctioned plan. layout 
plan and specifications. as approved by the competent authority under the local laws; 
(r) "day" means the workmg day. in the concerned State or Union tenitory, as the 
case may be, notified by the appropriate Government from time to time; 
T Hl:: GAZE17'EOF I\DIAEXTRAO RDI 1AR\ ' [P.~,n II-
Cs) "de\ clopmcnt" \\ ilh 1t, grammat,cal \'anauons and cognate C.\prcss1on~. mean, 
carrying out the de\·clopmenl of ,mmo\'able propert). engineering or other operation, 
in, on. over or under the land or the making of an) material change in any immovable 
propert) or land and includes re-development: 
(I) "development works" means the external de\'elopment works and internal 
development works on immovable propeny: 
(11) "engineer" means a person who possesses a bachelor's degree or equivalent 
from an instituuon recog111sed by the All India Council of Technical Education or any 
University or any institution recognised under a law or is registered as an engineer 
under any law for the lime being in force; 
(1•) "estimated cost of real estate project" means the total cost involved in 
developing the real estate project and includes the land cost. taxes. cess. development 
and other charges; 
(w) "external development works" includes roads and road systems landscaping, 
water supply, seweage and drainage systems. electricity suply transformer. sub-station. 
solid waste management and disposal or any other work which may have to be executed 
in the periphery of. or outside, a project for its benefit, as may be provided under the 
local laws; 
(x) "family" includes husband, wife, minor son and unmarried daughter wholly 
dependent on a person; 
(y) "garage" means a place within a project having a roof and walls on three sides 
for parking any vehicle, but does not include an unenclosed or uncovered parking 
space such as open parking areas; 
(z) "immovable propeny" includes land. buildings. rights of ways. lights or any 
other benefit arising out of land and things attached to the earth or permanently 
fastened to anything which is attached to the eanh, but not standing timber, standing 
crops or grass; 
(;:a) "interest" means the rates of interest payable by the promoter or the allottee. 
as the case may be. 
£xpla11ario11.-For the purpose of this clause-
(i) the rate of interest chargeable from the allonee by the promoter, in case 
of default, shall be equal to the rate of interest which the promoter shall be liable 
to pay the allouee. in case of default; 
(ii) the interest payable by the promoter to the allouee shall be from the 
date the promoter received the amount or any pan thereof till the date the amount 
or part thereof and interest thereon is refunded, and the interest payable by the 
allottee to the promoter shall be from the date the allonee defaults in payment to 
the promoter till the date it is paid; 
(:.b) "internal development works" means roads, footpaths, water supply, sewers. 
drains. parks, tree planting, street lighting, provision for community buildings and for 
treatment and disposal of sewage and sullage water, solid waste management and 
disposal, water conservation. energy management. fire protection and fire safety 
requirements, social infrastructure such as educational health and other public amenities 
or any other work in a project for its benefit, as per sanctioned plans; 
(::c) "local authority" means the Municipal Corporation or Municipality or 
Panchayats or any other Local Body constituted under any law for the time being in 
force for providing municipal services or basic services, as the case may be, in respect 
of areas under its jurisdication: 
9 of 1932. 
6 of 2009. 
SEC. 11 THE GAZETTE OF INDIA EXTRAORDl"-JARY 5 
(:::d) "Member" means the member or the Real Estate Regulatory Authority 
appointed under !:.Cction 21 and 111clude. the Chai person: 
(::e) "notification" means a notilication published in the Official Gazette and the 
expression "noti fy" shall be construed accord1ngl): 
(if) "occupancy certificate" means the occupancy cen iricate. or such other 
cenilica te by whatever name called. issued by the competent authority permitting 
occupation of any building, as provided under local laws, which has provision for civic 
infrastructure such as water, sanitation and electricity: 
(~g) "Person" includes,­
(1) an individual; 
(ii) a Hindu undivided family; 
(iii) a company; 
(iv) a firm under the Indian Partnership Act, 1932 or the Limited Liability 
Partnership Act, 2008. as the case may be; 
(v) a competent authority; 
(vi) an association of persons or a body of individuals whether incorporated 
or not; 
(vii) a co-operative society registered under any law relating to co-operative 
societies; 
(viii) any such other entity as the appropriate Government may, by 
notification, specify in this behalf; 
(zh) "planning area" means a planning area or a development area or a local 
planning area or a regional development plan area, by whatever name called, or any 
other area specified as such by the appropriate Government or any competent authority 
and includes any area designated by the appropriate Government or the competent 
authority to be a planning area for future planned development, under the law relating 
to Town and Country Planning for the time being in force and as revised from time to 
time; 
(:zt) "prescribed" means prescribed by rules made under this Act; 
(ZJ) "project" means the real estate project as defined in cluase (m): 
(zk) "promoter" means,-
(i) a person who constructs or causes to be constructed an independent 
building or a building consisting of apartments. or converts an existing building 
or a pan thereof into apartments. for the purpose of selling all or some of the 
apartments to other persons and includes his assignees; or 
(ii) a person who develops land into a project, whether or not the person 
also constructs structures on any of the plots, for the purpose of selling to other 
persons all or some of the plots in the said project. whether with or without 
structures thereon; or 
(iit) any development authority or any other public body in respect of 
allottees of-
(a) buildings or apartments, as the case may be, constructed by 
such authority or body on lands owned by them or placed at their disposal 
by the Government; or 
6 THE GAZETTE OF IND IA EXTRAORDI ARY IPARl II-
(bl plot, O\\ ncd h) such authont) or hod) or placed at their tl,~posal 
h) the Gn,emmcnt. 
for the purpose ol selling all or some or the apartments or plots: or 
(fr) an apex State level co-opera11ve housing linance society and a primary 
co-operauve housing soc1et) '"hich constructs apartments or buildings for Jts 
Members or 10 respect of the allottees or such apanmems or buildings: or 
(1') any other person who acts h1 msel r as a builder. colo01scr. contractor. 
developer, estate developer or by any other name or claims to be acting as the 
holder of a power of attorney from the owner of the land on which the building or 
apartment is constructed or plot is developed for sale; or 
(vi) such other person who constructs any building or apartment for sale 
to the general public. 
£xpla11atio11.- For the purposes of this clause, where the person who 
constructs or converts a building into apartments or develops a plot for sale and 
the persons who sells apartments or plots are different persons, both of them 
shall be deemed to be the promoters and shall be jointly liable as such for the 
functions and responsibiliue s specified. under this Act or the rules and 
regulations made thereunder: 
(:./) "prospectus" means any document described or issued as a prospectus or 
any notice, circular, or other document offering for sale or any real estate project or 
inviting any person to make advances or deposits for such purposes; 
(vn) "real estate agent" means any person. who negmiates or acts on behalf of 
one person in a transaction of transfer of his plot, apanment or building, as the case 
may be, in a real estate project, by way of sale, wilh another person or transfer of plot, 
apartment or buiJding, as the case may be, of any other person to him and receives 
remuneration or fees or any other charges for his services whether as commission or 
otherwise and includes a person who introduces, through any medium. prospective 
buyers and sellers to each other for negotiation for sale or purchase of plot. apartment 
or building, as the case may be, and includes property dealers, brokers, middlemen by 
whatever name called; 
(:.n) "real estate project" means the development of a building or a building 
consisting of apanments, or converting an existing building or a part thereof into 
apartments, or the development of land into plots or apartment, as the case may be. for 
the purpose of selling all or some of the said apartments or plots or building, as the 
case may be, and includes the common areas, the development works, all improvements 
and structures thereon, and all easement, rights and appurtenances belonging thereto; 
(:.o) "regulations" means the regulations made by the Authority under this Act; 
(:p) "rule" means the rules made under this Act by the appropriate Government; 
(zq) "sanctioned plan" means the site plan. building plan, service plan, parking 
and circulation plan, landscape plan. layout plan, zoning plan and such other plan and 
includes structuraJ designs, if applicable, permissions such as environment permission 
and such other permissions, which are approved by the competent authority prior to 
· start of a real estate project; 
(:.r) words and expressions used herein but not defined in this Act and defined in 
any law for the time being in force or in the municipal laws or such other relevant laws 
of the appropriate Government shall have the same meanings respectively assigned to 
them in those laws. 
SEC. 11 THE GAZETTE OF l'\DI A EXTRAORDI AR'\ 7 
CHAPTER II 
R EGISTl<.\TIO:\ or RI.AL ESTATT PROJEC7 ·\ ,o REGISTR .\TIO' 0 1 RF ·\I. ESTATE AGE,,S 
3. (/) No promoter shall advenise, market. book. sell or offer for sale. or m,ne person~ 
to purchase in any manner any plot. apanment or building, as the case may be. in an) real 
esLate project or part or IL, m any planning area, \\ ithout registering the real estate proJeCL 
with the Real Estate Regulatory Authority established under this Act: 
Prior 
reg1strJ11on 
of real estate 
proJeCt Wllh 
Real Estate 
Regula1ory 
Provided that projects that are ongoing on the date of commencement of this Act and Au1hori1) 
for which the completion cenificate has not been issued. the promoter shall make an application 
to the Aµthority for registration of the said proJect wllhm a period of three months from the 
date of commencement of this Act: 
Provided funher that if the Authority thinks necessary, in the interest of allonees. for 
projects which are developed beyond the planning area but w1Lh the requisite permission of 
the local authority, it may. by order. direct the promoter of such proJect to register with the 
Authority, and the provisions of this Act or the rules and regulations made thereunder, shall 
apply LO such projects from that stage of registration. 
(2) Notwithstanding anything contained in sub-section(/), no registration of the real 
estate project shall be required-
(a) where the area of land proposed Lo be developed does not exceed five hundred 
square meters or the number of apanments proposed to be developed does not exceed 
eight inclusive of all phases: 
Provided that, if the appropriate Government considers it necessary, it may, 
reduce the threshold below five hundred square meters or eight apartments, as the 
case may be, inclusive of a,ll phases, for exemption from registration under this Act; 
(b) where the promoter has received completion cenificate for a real estate project 
prior to commencement of this Act: 
(c) for the purpose of renovation or repair or re-development which does not 
involve marketing, advertising selling or new allotment of any apanment, plot or 
building, as the case may be. under the real estate project. 
Expla11atio11.- For the purpose of this section, where the real estate project is to 
be developed in phases, every such phase shall be considered a stand alone real estate 
project. and the promoter shall obtain registration under this Act for each phase 
separately. 
4. (I) Every promoter shall make an application to the Authority for registration of the 
real estate project in such form, manner, within such time and accompanied by such fee as 
may be specified by the regulations made by the Authority. 
(2) The promoter shall enclose the following documents along with the application 
referred to in sub-section (/), namely:-
( a) a brief details of his enterprise including its name. registered address, type of 
enterprise (proprietorship. societies, pannership, companies, competent authority), 
and the paniculars of registration, and the names and photographs of the promoter; 
(b) a brief detail of the projecLS launched by him. in the past five years, whether 
already completed or being developed, as the case may be, including the current status 
of the said projects. any delay in its completion. details of cases pending. details of 
type of land and payments pending; 
Applicauon 
for 
registration 
of reul estate 
projects . 
8 THE GAZETTE OF INDIA EXTRAORD I 1A RY IPART II-
(c) an authenticated cop) of the appnwal, and commencement ceruf1cate from 
the competent authont) obtained 111 accordance wnh the law~ a, may he applicable for 
the real e~tatc pr0Jec1 menuoncd 111 the applicauon. and ,1 here the proJeCI 1s propm.ed 
LO be de,·elopcd in phase, . an authenticated cop) oi'the approvals and commencement 
cenilicate from the competent au1horny for each or such phases: 
(d) the sanctioned plan. layout plan and specilkat ion~ of the proposed proJeCl 
or the phase thereof. and the whole project as sanctioned by the competent authonly: 
(e) the plan of development works to be executed in the proposed project and 
the proposed facilities to be provided thereof including lire lighting facilities, drinking 
water facilities. emergency evacuation services, use of renewable energy; 
(j) the location details of the project, with clear demarcation of land dedicated for 
the project along with its boundaries including the latitude and longitude of the end 
points of the project; 
(g) profonna of the allotment letter. agreement for sale, and the conveyance deed 
proposed to be signed with the allottees; 
(h) the number, type and the carpet area of apartments for sale in the project 
along with the area of the exclusive balcony or verandah areas and the exclusive open 
terrace areas apanment with the apartment, if any; 
(i) the number and areas of garage for sale in the project; 
(j) the names and addresses of his real estate agents. if any. for the proposed 
project; 
(k) the names and addresses of the contractors. architect, structural engineer, if 
any and other persons concerned with the development of the proposed project; 
(I) a declaration, supported by an aflidavit, which shall be signed by the promoter 
or any person authorised by the promoter, stating:-
(AJ that he has a legal title to the land on which the development is proposed 
along with legally valid documents with authentication of such title, if such land 
is owned by another person; 
(BJ that the land is free from all encumbrances, or as the case may be 
details of the encumbrances on such land including any rights, title, interest or 
name of any party in or over such land along with details; 
(CJ the time period within which he undertakes to complete the project or 
phase thereof, as the case may be; 
( DJ that seventy per cent. of the amounts realised for the real estate project 
from the allonees, from time to time, shall be deposited in a separate account to 
be maintained in a scheduled bank to cover the cost of construction and the land 
cost and shall be used only for that purpose: 
Provided that the promoter shall withdraw the amounts from the separate 
account, to cover the cost of the project, in proponion to the percentage of 
completion of the project: 
Provided funher that the amounts from the separate account shall be 
withdrawn by the promoter after it is cenilied by an engineer, an architect and a 
chanered accountant in practice that the withdrawal is in proportion to the 
percentage of completion of the project: 
Provided also that the promoter shall get his accounts audited within six 
months after the end of every financial year by a chartered accountant in practice, 
and shall produce a statement of accounts duly certified and signed by such 
~ of 193-l. 
Su. I) TH E GAZETTE OF INDI A EXTRAORDINARY 9 
chartered accountam and ll shall be ,0eri fied during the audit that the amount~ 
collected for a particular project have been utilised for the proJect and the 
withdrawal has been in compliance with the proportion to the percentage of 
compleuon of the proJect. 
Expla11a1io11.- For the purpose of this clause, the term "schedule bank" 
means a bank included in the Second Schduled to the Reserve Bank of India 
Act, 1934; 
(£) that he shall Lake all the pending approvals on time. from the competent 
authorities; 
( F) that he has furnished such other documents as may be prescribed by 
the rules or regulations made under this Act; and 
(111) such other information and documents as may be prescribed. 
(J) The Authority shall operationalise a web based online system for submiuing 
applications for registration of projects within a period of one year from the date of its 
establishment. 
5. (/ ) On recipt of the application under sub-section (/) of section 4, the Authority Grant of 
shall within a period of thirty days. registra 1ion. 
(a) grant registration subject to the provisions of this Act and the rules and 
regulations made thereunder, and provide a registration number, including a Login Id 
and password to the applicant for accessing the website of the Authority and to create 
his web page and to fill therein the details of the proposed project; or 
(b) reject the application for reasons to be recorded in writing.if such application 
does not conform to the provisions of this Act or the rules or regulations made 
thereunder: 
Provided that no application shall be rejected unless the applicant has been given an 
opportunity of being heard in the matter. 
(2) If the Authority fails to grant the registration or reject the application, as the case 
may be. as provided under sub-section (/),the project shall be deemed to have been registered. 
and the Authority shall within a period of seven days of the expiry of the said period of thirty 
days specified under sub-section (/), provide a registration number and a Login Id and 
password to the promoter for accessing the website of the Authority and to create his web 
page and to fi ll therein the details of the proposed project. 
(J) The registration granted under this section shall be valid for a period declared by 
the promoter under sub-clause (C) of clause(/) of sub-section (2) of section 4 for completion 
of the project or phase thereof. as the case may be. 
6. The registration granted under section 5 may be extended by the Authority on an Extension or 
application made by the promoter due to force majeure, in such form and on payment of such registrat ion . 
fee as may be specified by regulations made by the Authority: 
Provided that the Authority may in reasonable circumstances, without default on the 
part of the promoter, based on the facts of each case, and for reasons to be recorded in 
writing, extend the registration granted to a project for such time as it considers necessary. 
which shall, in aggregate, not exceed a period of one year: 
Provided further that no application for extension of registration shall be rejected 
unless the applicant has been given an opportunity of being heard in the matter. 
Expla11ario11.- For the purpose of this section. the expression "force majeure" shall 
mean a case of war, flood, drought, fire, cyclone, earthquake or any other calamity caused by 
nature affecting the regular development of the real estate project. 
Re, ocJt1on 
of 
reg,~trJll(III 
10 Tl IE GAZEn'E OF INDIA EXTRAORD INARY !PART II-
7. (/) The Authorit) ma). on receipt of a comr lai11t or rn,,,,10,11 in this behal r or on the 
recommendation of the competelll authont~. re\'okc the reg1wauon granted under secuon 5. 
after being satisfied that-
(a) the rromoter makes default 111 doing anything required h) or under thi& Act or 
the rules or the regulauons made thereunder; 
(b) the r romoter violates any of the terms or conditions of the approval given by 
the competent authority: 
(c) the promoter ts involved in any kind of unfair practice or irregularities. 
£xplc11w1io11.- For the purposes of this clause. the term "unfair practice means" a 
pr::.ctice which, for the purpose of promoting the sale or development of any real estate 
project adopts any unfair method or unfairordecep uve practice including any of the following 
practices, namely:-
(A) the practice of making any statement, whether in wriung or by visible 
representation which,-
(1) falsely represents that the services are of a panicular standard or grade; 
(ii) represents that the promoter has approval or affiliation which such 
promoter does not have; 
(iii) makes a false or misleading representation concerning the services; 
(8) the promoter permits the publication of any advertisement or prospectus 
whether in any newspaper or otherwise of services that are not intended to be offered; 
(d) the promoter indulges in any fraudulent practices. 
(2) The registration granted to the promoter under section 5 shall not be revoked 
unless the Authority has given to the promoter not less than thirty days notice, in writing, 
stating the grounds on which it is proposed to revoke the registraton, and has considered 
any cause shown by the promoter within the period of that notice against the proposed 
revocation. 
(J) The Authority may, instead of revoking the registration under sub-section (1). 
permit it to remain in force subject to such further terms and conditions as it thinks lit to 
impose in the interest of the allottees, and any such terms and conditions so imposed shall be 
binding upon the promoter. 
(4) The Authority, upon the revocation of the registration.-
(a) shall debar the promoter from accessing its website in relation 10 that project 
and specify his name in the list of defaulters and display his photograph on its website 
and also inform the other Real Estate Regulatory Authority in other States and Union 
territories about such revocation or registration; 
(b) shall facilitate the remaining development works to be carried out in accordance 
with the provisions of section 8; 
(c) shall direct the bank holding the project back account, specified under sub­
clause (D) of clause (/) of sub-section (2) of section 4. to freeze the account, and 
thereafter take such further necessary actions, including consequent de-freezing of 
the said account, towards facilitating the remaining development works in accordance 
with the provisions of section 8; 
(d) may, to protect the interest of allouees or in the public interest, issue such 
directions as it may deem necessary. 
SEC. I) TIIE GAZETTE or l'JDIA f-XTRAORDINA RY 11 
8. Upon lap,c of the regiMrauon or on re,ocat1on of the rcgi~trat1on under Lim. Act. the 
Authont). ma) consult the appropnate Go\'emment to take ~uch actwn as 11 ma) deem ht 
including the carrying out or the rematning development\\ ork~ by competent authority or by 
the association of allouees or tn any other manner, as ma~ be determmed b) the Authority: 
Pro, ided that no direction. decision or order of the Authority under this section shall 
take effect until the expiry of the penod of appeal provided under the prov1s1ons of this Act: 
Provided funher that in case of revocation of reg1stralion of a proJeCt under this Act. 
the association of allottees shall have the lirst right of refusal for carry mg out of the remaining 
development works. 
9. (/) No real estate agent shall fac1l11ate the sale or purchase of or act on behalf of any 
person to facilitate the sale or purchase of any plot. apanment or building. as the case may 
be, in a real estate proJect or pan of 11. betng the part of the real estate project registered under 
section 3. being sold by the promoter in any planning area, without obtaining registration 
under this section. 
(2) Every real estate agent shall make an application to the Authority for registration in 
such form, manner, within such time and accompanied by such fee and documents as may be 
prescribed. 
(3) The Authority shall, within such period. in such manner and upon satisfymg itself 
of the fulfillment of such conditions, as may be prescribed-
(a) grant a single registration to the real estate agent for the entire State of Union 
territory. as the case may be; 
(b) reject the application for reasons to be recorded in writing. if such application 
does not conform to the provisions of the Act or the rules or regulations made 
thereunder: 
Provided that no application shall be rejected unless the applicant has been given an 
opportunity of being heard in the matter. 
(4) Whereon the completion of the period specified under sub-section (3), if the 
applicant does not receive any communication about the deficiencies in his application or 
the rejection of his application, he shall be deemed to have been registered. 
(5) Every real estate agent who is registered as per the provisions of this Act or the 
rules and regulations made thereunder, shall be granted a registration number by the Authority, 
which shall be quoted by the real estate agent in every sale facilitated by him under this Act. 
(6) Every registration shall be valid for such period as may be prescribed, and shall be 
renewable for a period in such manner and on payment of such fee as may be prescribed. 
(7) Where any real estate agent who has been granted registration under this Act 
commits breach of any of the conditions thereof or any other terms and conditions specified 
under this Act or any rules or regulations made thereunder. or where the Authority is satisified 
that such registration has been secured by the real estate agent through misrepresentation 
or fraud, the Authority may, without preJudice to any other provisions under this Act, revoke 
the registration or suspend the same for such period as it thinks fit: 
Provided that no such revocation or suspension shall be made by the Authority unless 
an opportunity of being heard has been given to the real estate agent. 
Aulh0rll) 
con~equenl 
upon lapse ol 
or on 
revocation of 
registration 
Registration 
of rea I estate 
agents. 
10. Every real estate agent registered under section 9 shall- Functions of 
real estate 
(a) not facilitate the sale or purchase of any plot. apartment or building. as the agents. 
case may be, in a real estate project or part of it. being sold by the promoter in any 
planning area, which is not registered with the Authority; 
Functions and 
duties of 
promoter . 
12 THEGAZEn'EOr 11\/DIA EXTRAORD I ARY [PART II-
(bl maintain and prc~cn·c such book~ ol account. record~ and d~umcnt~ as 
ma) pre~cnbe<l; 
(c) not involve himsell in an) unfair trade practices, namely:-
(i) the pracuce of making an) statement, whether orally or in writing orby 
visible representallon which-
(A) falsely represents that the services are of a panicular standard or 
grade; 
(B) represents that the promoter or himself has approval or affiliation 
which such promoter or himself does not have: 
(C) makes a false or misleading representation concerning the 
services: 
(ii) permitting the publication of any adver11sement whether in any 
newspaper or otherwise of services that are not intended to be offered. 
(d) facilitate the possession of all the information and documents, as the allonee, 
is entitled 10, at the time of booking of any plot, apanment or building, as the case may 
be; 
(e) discharge such other functions as may be prescribed. 
CHAPTER III 
F UNCTIONS AND DU11ES OF PROMOTER 
11. (/) The promoter shall, upon receiving his Login Id and password under clause (a) 
of sub-section (/) or under sub-section (2) of section 5, as the case may be. create his web 
page on the website of the Authority and enter all details of the proposed project as provided 
under sub-section (2) of section 4, in all the fields as provided, for public viewing, including-
(a) details of the registration granted by the Authority; 
(b) quanerly up-to-date the list of number and types of apartments or plots, as 
the case may be. booked; 
(c) quanerly up-to-date the list of number of garages booked; 
(d) quanerly up-to-date the list of approvals taken and the approvals which are 
pending subsequent to commencement cenilicate; 
(e) quanerly up-to-date status of the project; and 
(J) such other information and documents as may be specified by the regulations 
made by the Authority. 
(2) The advenisement or prospectus issued or published by the promoter shall mention 
prominently the website address of the Authority. wherein all details of the registered project 
have been entered and include the registration number obtained from the Authority and such 
other matters incidental thereto. 
(J) The promoter at the time of the booking and issue of allotment letter shall be 
responsible to make avai I able to the allottee, the following information, namely:-
(a) sanctioned plans, layout plans, along with specifications, approved by the 
competent authority, by display at the site or such other place as may be specified by 
the regulations made by the Authority; 
(b) the stage wise time schedule of completion of the project. including the 
provisions for civic infrastructure like water, sanitation and electricity. 
'I 
. .. 
• • l 
.. 
_,. 
SEC. I) TH E GAZET TE OF INDIA EXTR AORD INA R'\ 13 
! .fl The promoter shall-
(a) be rc~pon,ihle for all obligauon~. respons1b1lt1e~ and functions under the 
provisions of this Act or the rule~ and regulauons made thereunder or to the allottees 
as per the agreement for sale. or to the assoc1at1on of allottees, as the case may be, till 
1he conveyance or all the apanments. plots or buildings. as the case may be. to the 
allottecs, orth e common areas to the association of allonees or the competent authority, 
as the case may be: 
Provided that the respons1 b1hty of 1he promoter. wuh respect to the structural 
defect or any other defect for such period as 1s referred to in sub-section (J) of 
5ection 14, shall continue even after the conveyance deed of all the apanments, plots 
or buildings, as the case may be. to the allonees are executed. 
(b) be responsible to obtain the completion cenificate orthe occupancy cen1ficate . 
or both, as applicable, from the relevant competent authority as per local laws or other 
laws for the time being in force and to make it available to the allonees individually or 
to the association of allonees. as the case may be; 
(c) be responsible to obtain the lease cenificate, where the real estate proJeCt is 
developed on a leasehold land. specifying the period of lease, and cenifying that all 
dues and charges in regard to 1he leasehold land has been paid, and to make the lease 
cenificate available to the association of allonees: 
(d) be responsible for providing and maintaining the essential services, on 
reasonable charges, till the taking over of the maintenance of the project by the 
association of the allottees; 
(e) enable the formation of an association or society or co-operative society, as 
the case may be, of the allonees, or a federation of the same. under the laws applicable: 
Provided that in the absence of local laws, the association of allouees, by 
whatever name called, shall be formed within a period of three months oflhe majority 
of allottees having booked their plot or apanment or building, as the case may be. in 
the project; 
(j) execute a registered conveyance deed of the apanment, plot or building, as 
the case may be, in favour of the allonee along with the undivided proponionate title 
in the common areas to the association of allouees or competent authority. as the case 
may be. as provided under section 17 of this Act; 
(g) pay all outgoings until he transfers the physical possession of the real estate 
project to the allottee or the associations of allottees, as the case may be, which he has 
collected from the allottees, for the payment of outgoings (including land cost, ground 
rent, municipal or other local taxes, charges for water or electricity. maintenance charges, 
including mongage loan and interest on mongages or other encumbrances and such 
other liabilities payable to competent authorities. banks and financial institutions. 
which are related to the project): 
Provided that where any promoter fails to pay all or any of the outgoings collected 
by him from the allouees or any liability. mortgage loan and interest thereon before 
transferring the real estate project to such allouees. or the association of the allouees. 
as the case may be, the promoter shall continue 10 be liable, even after the transfer of 
the property, to pay such outgoings and penal charges. if any. to the authority or 
person to whom they are payable and be liable for the cost of any legal proceedings 
which may be taken therefor by such authority or person; 
(h) after he executes an agreement for sale for any apartment, plot or building, as 
the case may be, not mongage or create a charge on such apartment, plot or building, 
as the case may be, and if any such mortgage or charge is made or created then 
Obligations 
of promoter 
regarding 
veracity of 
the 
advenise mem 
or 
prospectus. 
No deposi I or 
advance to be 
taken by 
promoter 
without first 
entering into 
agreement for 
sale. 
Adherence 10 
sanctioned 
plans and 
proJect 
specifications 
by the 
promoter. 
14 THE GAZETTE OF I DIA EXTRAORDINARY [ PART II-
notwithstanding anythmg contained many other la\\ fort he time bcmg in force, it shall 
not affect the right and interest of the allouee \\ ho ha\ taken or agreed to take such 
apartment. plot or building. as the ca e may be: 
(5) The promoter may cancel the allotmenl only m terms of the agreement for sale: 
Provided that the allouee may approach the Authority for relief, if he is aggrieved by 
such cancellation and such cancellation is not in accordance with the terms of the agreement 
for sale, unilateral and without any sufficient cause. 
(6) The promoter shall prepare and maintain all such other details as may be specified, 
from time lo time, by regula11ons made by the Authority. 
12. Where any person makes an advance or a deposit on the basis of the information 
contained in the notice advertisement or prospectus, or on the basis of any model apartment, 
plot or building. as the case may be, and sustains any loss or damage by reason of any 
incorrect, false statement included therein, he shall be compensated by the promoter in the 
manner as provided under this Act: 
Provided that if the person affected by such incorrect, false statement contained in the 
notice, advertisement or prospectus, or the model apartment, plot or building, as the case 
may be, intends to withdraw from the proposed project, he shall be returned his entire 
investment along with interest at such rate as may be prescribed and the compensation in the 
manner provided under this Act. 
13. (1) A promoter shall not accept a sum more than ten per cent of the cost of the 
apartment, plot, or building as the case may be, as an advance payment or an application fee. 
from a person without first entering into a written agreement for sale with such person and 
register the said agreement for sale, under any law for the time being in force. 
(2) The agreement for sale referred to in sub-section(/ ) shall be in such form as may be 
prescribed and shall specify the particulars of development of the project including the 
construction of building and apartments, along with specifications and internal development 
works and external development works. the dates and the manner by which payments towards 
the cost of the apartment, plot or building. as the case may be. are to be made by the allouees 
and the date on which the possession of the apartment, plot or building is Lo be handed over, 
the rates of interest payable by the promoter to the allottee and the allouee to the promoter 
in case of default. and such other particulars. as may be prescribed. 
14. (/) The proposed project shall be developed and completed by the promoter in 
accordance with the sanctioned plans. layout plans and specifications as approved by the 
competent authorit

Excerpt shown. Open the full act in Lexace.

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