• Builder Plot dues pending & Society registration

Dear Sir/Madam,

We need your proper suggestions on society registration query.
1) As per BMC, Builder not paid their property (Open plot) tax till date since 2012.
2) Flat wise taxation not completed through BMC ward yet, it’s under process now.
3) Builder asked in written letter for society registration.	
4) We got the position from Builder June -2017, Building CC approved December -2011.
5) Its under SRA but Sell property not Rehab.
6) it's not under RERA.

Now pls advise can we proceed with society registration process or we needs to wait till builder not clear his plot dues.
Shall we ask builder or BMC for NOC to proceed with society registration?
Or we should go through consumer court permission because we don't know builder will be clear their dues or not-? 
Because our members appointed someone to proceed with registration.. If we done the registration now then there has any chances of any legal action done through BMC ward or Any other authorities against our society instead of builder about pending dues. 

Pls give ur accurate guidance on my email id - [deleted]

Pls your suggestions is helpful for us..
Asked 6 years ago in Property Law
Religion: Hindu

First answer received in 30 minutes.

Lawyers are available now to answer your questions.

9 Answers

It is Builder responsibility to form cooperative housing society of all flat owners 

 

2) 

under Maharashtra Flat Ownership Act, 1963, a builder must form a society within four months of selling 60% of the flats.

 

 

3) if builder has failed to form society file complaint against builder before consumer forum and seek orders to direct builder to form society of  flat owners 

 

4) builder is liable to pay property taxes till possession of flat is delivered to flat owners after issue of OC 

Ajay Sethi
Advocate, Mumbai
100050 Answers
8169 Consultations

1. prior to handing over possession of the land and building to the society, the builder is obligated to clear all the dues of the land like property tax etc

2. even if society is formed by the flat purchasers, the builder will continue to remain liable

3. the flat buyers certainly do not need any NOC from builder since it is the statutory duty of builder to form a society after the requisite number of flat purchasers have bought flats in the building

4. the society can certainly be registered and the society will have to file a suit against the builder for clearing all his dues

Yusuf Rampurawala
Advocate, Mumbai
7931 Answers
79 Consultations

See society can be registered pending the dues. 

For society registration NOC from the builder is required.

See register the society and then after either builder will clear dues if he fails then society can file to recover the amount. 

 

Shubham Jhajharia
Advocate, Ahmedabad
25513 Answers
179 Consultations

Society registration has nothing to do with tax clearance. Share certificate will transfer on the basis of sale deed.

Against builder approach consumer court s that at least tax dues get clear.

No legal action.

 

Yogendra Singh Rajawat
Advocate, Jaipur
23085 Answers
31 Consultations

 do you need any requirement from the society e register to get your society registered as per the Maharashtra Apartment Act this is the responsibility of the Builder to get the society registered along with some subscribers from the so that the society can be transferred to the residents later on the BMC rules which is payable by the Builder is not your responsibility as the property is not going to be transferred to you till the outstanding of BMC is not cleared by builder a letter on as soon as the outstanding is cleared by the Builder then you can get the society transferred in the name of society

Vimlesh Prasad Mishra
Advocate, Lucknow
6851 Answers
23 Consultations

The builder may also be statutorily obligated to form a society. 

You can go ahead without the NOC from the Builder and register the society. You have to intimate the builder via Letter and give him a particular time period to form the society and if he fails to respond, then you can form a Deemed Society.

The builder must pay all the taxes including property tax until the property is conveyed to the Buyer. Builder cannot transfer the liability to pay the taxes to the Buyer.

Mohammed Mujeeb
Advocate, Hyderabad
19384 Answers
32 Consultations

The best remedy is proceed to consumer court and file a complaint and seek the aforesaid direction in the same

Prashant Nayak
Advocate, Mumbai
34721 Answers
250 Consultations

You should ask builder to clear previous dues before registration of society.

Yes you need NOC from BMC regarding previous dues. 

You can make complaint in consumer court against builder for clearance of previous dues of property tax.

 

Mohit Kapoor
Advocate, Rohtak
10686 Answers
7 Consultations

Since the builder has not cleared all the dues, it may fall on the shoulders of the society, however registration of society has nothing to do with the payment of arrears of taxes.

BMC has nothing to with the NOC, hence it may not give any such things especially when there is a pending taxes to be paid.

If the burden falls on the society then the society may issue a legal notice to the builder and instruct him to pay the same immediately and inform government body by endorsing a copy of this notice.

 

T Kalaiselvan
Advocate, Vellore
90253 Answers
2509 Consultations

Ask a Lawyer

Get legal answers from lawyers in 1 hour. It's quick, easy, and anonymous!
  Ask a lawyer