• Purchasing apartment in a joint development - Chennai

I (along with my wife) have signed a sale(for UDS) and construction agreement to purchase a flat in Chennai. The total number of flats in the project are 4 and land area is 2760 sq.ft. The landowner resides at France currently. The builder has a registered GPA from the landlord. The builder did not register the Joint Development Agreement yet. Sale agreement for UDS has been signed by the builder being the POA of the landlord. I would like to know what are the factors that I need to be careful. 

1. Is there any problem if the JDA not registered ?
2. Is there anything to be careful as the landlord does not seem a resident indian 

I heard any sale of immovable property through GPA (if the GPA holder is not a blood relation) is invalid after Oct 2011. In such case can builder sell the UDS as the GPA of the landlord.
Asked 7 years ago in Property Law
Religion: Hindu

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5 Answers

Landowner can execute registered POA in favour of builder to develop his property

2) builder as POA of landowner can sell ell the flats

3) The SC judgment does not bar execution of POA in favour of builder for Development of the plot

4) it is advisable to register JDA

Ajay Sethi
Advocate, Mumbai
96760 Answers
7804 Consultations

Don't make any payment unless JDA is registered . If it is registered netigenr builder or landowner can dispute terms and conditions of agreement .

2) if landowner is not resident Indian it would be difficult to sue him and recover your money in case of dispute between builder and landowner resulting in termination of agreement

3) since you have signed construction and sale agreement if you back out builder would forfeit your advance money paid

Ajay Sethi
Advocate, Mumbai
96760 Answers
7804 Consultations

Sir, as per GPA clauses( if mentoned specifically) the builder can construct, and sell the property on behalf of owner..however it is more advisable and precautions if they have a JDA registered for the project .. You can back out , but to recover your money you may have to file civil suit

Hemant Chaudhary
Advocate, Gurgaon
4630 Answers
67 Consultations

The JDA in such matters need not be registered

Even otherwise it is a problem between the land owner and builder.

You have to be worried about the construction of the building/flat as per approved plan.

You may take a legal opinion about the property before buying it

T Kalaiselvan
Advocate, Vellore
86958 Answers
2334 Consultations

Don't insist on registration of JDA

It is not mandatory to register JDA

A NRI can sell his property in India.

There is no legal infirmity in it.

You can obtain proper legal opinion on this before buying it, that will save your money, time and energy

T Kalaiselvan
Advocate, Vellore
86958 Answers
2334 Consultations

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