Hi We have an old building constructed around 1975 and back then it was registered under Maharashtra Apartment act. We have 268 Flats in total which are divided as building 1,2,3 & 4 and each building has 3-4 wings. We have been working on redevelopment but lot of people are hindering the process due to their wasted interest. I stay in building 3 and one of the member who claims he has lot of knowledge around property legal matters suggested that all 1,2,3,4 will never be on same page and agree to single builder for redevelopment so he suggested that we as building 3 should move out from Apartment act and register only building 3 as Society act. Per him, there were several constitutional amendments made in 2021 which allows this to happen. Below are some of my questions. 1 - Is it really possible for single building within a condominium to move out and register? Would we require NOC from other buildings ( 1,2,4)? 2 - Some of the members in my building do not have deed of apartment and only have agreement for sale 3 - We also have an ongoing case with a builder who has Power of attorney and development rights ( Initial builder gave this to new builder to construct building 5,6,7) so we filled a case to stop construction of new buildings and we have status quo from high court 4 - since this case was filed by condominium and it has status quo, can builder challenge that we breached status quo by starting the process of registering as society without his NOC. Thanks in advance
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You cannot register society as status quo order has been passed by court
2) your building is party of condominium that has filed the case
3) builder can take the plea that you have violated court others of status quo
Meeting had to be called for of all flat owners of condominium .resolution has to be passed for dissolution of condominium
only after condominium is dissolved can you register as society
Yes, it is possible for a single building within a larger condominium development to be registered separately under the Maharashtra Co-operative Societies Act (MCS Act). However, this is typically done under certain circumstances, such as when the developer wishes to create separate societies for each building or wing within a layout. The promoter would need to form and register a separate co-operative society for each building, and then form an Apex Body or Federation to manage common areas and facilities.
In your case there is a status quo order by high court hence you cannot get your building out of the condominium until the disposal of the case.
The members if not having a registered sale deed on their names then they cannot be included as a member into the society.
We were being told that its been more than 20 years since the status quo and neither condominium nor builder has fought case there after. Also one more question. The builder whom we are fighting against has offered us to redevelop entire building including 1,2,3,4 and his commercial offer is good but one point being raised is that builder has stated that he’ll give conveyance on society name only after the entire project is completed and some members insist that we should get it before the commencement of project. What is the standard practice in Mumbai when it comes to redeveloping buildings? Got to know that they give only after completion of project. Can we bind builder legally to protect our rights? In case he defaults, can we kick him out?
Edited We were being told that its been more than 20 years since the status quo and neither condominium nor builder has fought case there after so status quo has no value. Also one more question. The builder whom we are fighting against has offered us to redevelop entire building including 1,2,3,4 and his commercial offer is good but one point being raised is that builder has stated that he’ll give conveyance on society name only after the entire project is completed and some members insist that we should get it before the commencement of project. What is the standard practice in Mumbai when it comes to redeveloping buildings? Got to know that they give only after completion of project. Can we bind builder legally to protect our rights? In case he defaults, can we kick him out?
Builder should execute bank guarantee that he will complete project within 3 years
if he fails to do do you can encash his BG
conveyance is given after completion of project
There should be termination clause in development agreement with builder
Builder is refusing to give bank guarantee as well. Total project cost is almost 300-400Cr ( area is over 13000sq meters). He has assured that he’ll complete the rehab component in 3 to 4 years max. Can you please advise on my below point? We were being told that its been more than 20 years since the status quo and neither condominium nor builder has fought case there after so status quo has no value and even if builder files a plea about building violating status quo, court can rule out his plea as its been 20 years.
Status quo order has not been set aside
it is binding on parties
Yes it can be converted with consent of residents and proceedings with execution of deed for the same. The apartment act can be converted into society
In Mumbai, if a builder delays redevelopment and conveyance after completion, the affected parties can pursue several legal avenues. The Bombay High Court has ruled that developers cannot indefinitely delay conveyance. Builders are liable for compensation for delay in handing over possession, including potential penalties under the Consumer Protection Act and Maharashtra Ownership Flats Act.
Development agreements should include clauses for liquidated damages for delays in completion, payable to each member.
It's crucial to have detailed and comprehensive redevelopment agreements that include provisions for penalties for delays and other contingencies.
In a redevelopment project, the builder typically conveys the property to the association, not individual flat owners. While this is standard practice, you can negotiate with the builder for a bank guarantee or monthly rent payments for delays. These options are beneficial to ensure the project progresses as agreed and provide financial compensation for any setbacks.
When the validity of a government order or policy is challenged, courts may issue status quo orders to prevent its implementation until the legal issues are resolved. This ensures that no party is harmed by potentially unlawful administrative actions.
Disregarding the status quo order can have consequences, as it would be viewed as a breach of the court's order.
The status quo in laws is a critical component to guarantee fairness, forestall harm, and work with systematic official procedures by protecting the current circumstances until a final resolution is reached.
Therefore if you ignore the status quo order until it has been vacated by an order of the court and proceed with further aspects, then it may be considered as contempt of court also.
🔹 Legally possible but needs majority consent and likely NOC from other buildings to avoid disputes.
🔹 Risky without full Deed of Apartment for all members.
🔹 Even if 20 years old, status quo still exists unless officially vacated by court.
🔹 Builder may challenge your CHS registration citing breach.
🔹 Builder giving conveyance after project is common, but very risky for you.
🔹 Without conveyance upfront or strong agreement, you lose protection.
🔹 ❗ Big red flag. Strongly avoid without financial security.
Get court clarification on status quo first.
If redeveloping, sign strong registered agreement with:
Timelines
Penalty clauses
Right to terminate if builder defaults.
Prefer builder who gives bank guarantee or escrow.
