• Builder asking for transfer charges for NOC

Builder has handed over the flat possession of redevelopment project, without OC. He stopped giving rentals for 11 months from April 2021 - Feb 2022 citing pandemic and financial issues.He got indemnity signed as pretext for Mhada NOC documentation purpose. Indemnity mentioned that i have taken possession without OC and flat as per my expectations and I can't go to any authority for any complaints. Now the OC and CC have come in Feb 2022.

Society is formed by registrar in month of Jan 2022 and secretary/chairman and managing committee is formed. 

Builder has not initiated handover to society and old tenants are also following up. 

Queries:
1. By when the builder initiates the handover 
2. Is there any conveyance back to society to be done by builder and what are the timelines it has to be completed
3. Builder is asking Rs. 1000/- per sqft as transfer charges for NOC. Since OC is received is it possible for society to issue NOC with no encumberences / no dues certificate. As society has not handover, they may refuse issuing NOC. Is mandatory for society to issue NOC.
Asked 4 years ago in Property Law
Religion: Hindu

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10 Answers

If this is MHADA property then take issue to MHADA office. And secondly if property belongs to MHADA then how come builder is involved in this project. 

 

Still you can stop redevelopment of the building, if you're staying there then do not vacate nor give possession to builder for redevelopment.

Ganesh Kadam
Advocate, Pune
13008 Answers
267 Consultations

It's better you approach consumer court for remedy for all aforesaid issues

Prashant Nayak
Advocate, Mumbai
34515 Answers
249 Consultations

You don’t have to pay any transfer charges to builder 

 

once society is formed you need society noc for transfer of flat 

 

 

After OC is issued builder initiates handover to society 

Ajay Sethi
Advocate, Mumbai
99782 Answers
8145 Consultations

Society is owner of land and has merely given development rights to develop the plot 

 

conveyance is not required from builder 

Ajay Sethi
Advocate, Mumbai
99782 Answers
8145 Consultations

1. Since the society has been formed, the society has to take up the matter with the builder to handover the building, and give a time limit to the builder for the same, failing which the society can drag the builder to the court

2. the legal documents needed for a handover

  1. All legal documents signed between the builder and the landowner have to be handed over to the society;
  2. Deed of conveyance and sale of ownership for every member along with Share Certificate Copies should be duly passed on to the society's office-bearers;

. The society can take legal action agaisnt the builder for this illegal demand

T Kalaiselvan
Advocate, Vellore
89984 Answers
2492 Consultations

BUILDER'S SOCIETY HANDOVER PROCESS:- The date of handover from builder to the registered owners association is an important day for new apartment owners and all residents. It has to be taken seriously and detailed due diligence must be done when interacting with the builders during this handover process.

NOC Certificate:  A No Objection Certificate (NOC) is issued where there is no objection to the covenants of the certificate. A builder has to compulsory submit an NOC from the fire safety, water, and pollution departments to the RWA (Residents Welfare Association)

Make a note of the below-mentioned documents as well as they are also a mandatory requirement in a handover –

• Original registration documents

• Audited accounts documents

• Tax-related documents

• Property Insurance details

• Conveyance of property

• Handover of the Corpus fund

• Contracts with vendors

• Approved floor plans

• Car parking allocation record

• Clearance to operate Elevators

• Invoices and Warranties (Pumps, Generator, Transformer, Pool and Gym Equipment, Lift, etc.)

• Architectural and Structural Drawings (Electrical wiring, water piping, etc.)

• AMC Documents (Lift, Generator, Transformer, etc.)

• Maintenance schedule for all the assets

• Staff schedule

• List of amenities offered

List of services offered post the handover

T Kalaiselvan
Advocate, Vellore
89984 Answers
2492 Consultations

Conveyance is required. Society has to do it but sometimes builder does it using his influence as he wants redevelopment fast

Prashant Nayak
Advocate, Mumbai
34515 Answers
249 Consultations

Yes builder gives corpus but there is no such law to bind him for the same. It's mutual understanding between builder and redevelopment society

Prashant Nayak
Advocate, Mumbai
34515 Answers
249 Consultations

You can file a suit for recovery of arrears of rent if the same is there in the agreement as a condition for redevelopment. 

The builder has to handover the corpus amount to the society. 

It is civil matter hence you can approach civil court. 

T Kalaiselvan
Advocate, Vellore
89984 Answers
2492 Consultations

Issue legal notice builder to pay arrears of rent and corpus amount of RS 5 lakhs 

 

2) if he fails to pay file complaint against builder before consumer forum or RERA 

Ajay Sethi
Advocate, Mumbai
99782 Answers
8145 Consultations

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