• Club house ownership

Hi, 

I have book a flat in Bangalore in pre-launch. At the time of booking, the builder did not mention that the club ownership will be with a builder and not with owners association. Only after they gave the sale agreement its mentioned that it will be with the builder. 

My question is that should the clubhouse belong to owners association or builder legally. Also note that they  initially told we need to pay clubhouse charges and later in SA I learnt that the ownership of belongs to the builder and not the apartment owners.Please advise legally that the ownership of the open areas and clubhouse after the sale of an apartment will remain with builders ? or should it be transferred to apartment owners ? 

I have not yet signed the Sale agreement, but they are sending the demand notice for the first installment, so if I do not pay it on time will the late payment charges be applicable without signing the SA, please ?

Regards
Padma
Asked 11 months ago in Property Law from Bangalore, Karnataka
Religion: Hindu
the right to use of the club house remains with the purchasers of the flat and residents of the apartment complex only. Ownership of the club house always remains with the builder and will not be transferred in favour of the apartment owners welfare association.
if the builder did not mention this it is his mistake, he ought to have explained this while you booked the flat itself.
Just as long as you use the club house facilities, you are bound to pay the maintenance charges.
Kiran N. Murthy
Advocate, Bangalore
810 Answers
55 Consultations
5.0 on 5.0
1) club house would be with builder 

2) once  the buildings have been completed builder would execute deed of conveyance in favour of the society formed of the land on which the building and club house is constructed 

3) you would be liable to pay the late payment charges for delay in making payment 
Ajay Sethi
Advocate, Mumbai
26014 Answers
1415 Consultations
5.0 on 5.0
1) once the terms and conditions of application form have been accepted by you the terms are binding 

2) builder can charge you penalty for delayed payment as per said terms 
Ajay Sethi
Advocate, Mumbai
26014 Answers
1415 Consultations
5.0 on 5.0
Once the agreement to sell is signed it will bind both parties, and will be the charter of their rights and liabilities. Late payment charges are applicable only after the agreement is signed, not before it, but if the application form had a mention to the contrary then you are bound by the terms thereof. 
Ashish Davessar
Advocate, Jaipur
19108 Answers
484 Consultations
5.0 on 5.0
My question is that should the clubhouse belong to owners association or builder legally. Also note that they  initially told we need to pay clubhouse charges and later in SA I learnt that the ownership of belongs to the builder and not the apartment owners.Please advise legally that the ownership of the open areas and clubhouse after the sale of an apartment will remain with builders ? or should it be transferred to apartment owners ? 

The conditions in sale agreement will only apply till the end and not any oral assurance.  If you do not want to continue with the purchase of the property, you may not sign the agreement and dont hv to pay the further instalments, you may communicate that you are canceling the booking owing to the reasons you are concerned about it. You may seek the refund of your deposit amount.

The common areas and the other facilities shall be handed over by the builder to the apartments association at a later stage. 
T Kalaiselvan
Advocate, Vellore
16373 Answers
153 Consultations
5.0 on 5.0
Since they have not clarified all my queries and I have also not signed the agreement, does the builder have the rights to charge the penalty? However, they had given an application form to be filled before  we paid our 20% amount, in that application as terms and conditions it's mentioned the there will be the penalty for late payment. Will that be applicable ? Please clarify.
Since you are required to pay the first instalment on the due date and if not paid the penalty applicable for late payment has to be made by you.  
If you do not want to sign the sale agreement you can cancel the booking and ask for refund, nobody can stop you from doing this.
T Kalaiselvan
Advocate, Vellore
16373 Answers
153 Consultations
5.0 on 5.0

Ask a Lawyer

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

Property Lawyers

Ajay Sethi
Advocate, Mumbai
26014 Answers
1415 Consultations
5.0 on 5.0
T Kalaiselvan
Advocate, Vellore
16373 Answers
153 Consultations
5.0 on 5.0
Ashish Davessar
Advocate, Jaipur
19108 Answers
484 Consultations
5.0 on 5.0
Krishna Kishore Ganguly
Advocate, Kolkata
13167 Answers
280 Consultations
5.0 on 5.0
Devajyoti Barman
Advocate, Kolkata
6442 Answers
71 Consultations
4.9 on 5.0
Shivendra Pratap Singh
Advocate, Lucknow
2969 Answers
45 Consultations
4.9 on 5.0
Rajgopalan Sripathi
Advocate, Hyderabad
944 Answers
64 Consultations
5.0 on 5.0
Ajay N S
Advocate, Ernakulam
1986 Answers
23 Consultations
5.0 on 5.0
Thresiamma G. Mathew
Advocate, Mumbai
1353 Answers
93 Consultations
5.0 on 5.0
Kiran N. Murthy
Advocate, Bangalore
810 Answers
55 Consultations
5.0 on 5.0