• Builder has not transferred land to residential owner

I have purchased a flat some 4 years back. It is a small building comprising 8 flats.
The  land on which the building is constructed is the name of one of the flat owner, and there was an agreement of that flat owner with the builder – a usual business practice.

I have few questions –
1.Is it mandatory to transfer ownership of land and building to the flat owners – say by apartment formation?
2. Is it mandatory for builder to form apartment?
3. Is it mandatory for all members to agree to form apartment? I mean can 6 members out of 8 can proceed with apartment formation?
4. What if it is not forming? I mean if forming apartment is mandatory then what action we can take if builder is not forming it?
Asked 3 years ago in Property Law from Pune, Maharashtra
1. No if a development agreement was executed between the builder and the land owner.
2. Forming of association of apartment owners in many states including in WB is optional both on the part of the builder and the flat owners.
3. Yes majority flat owners can proceed to form an' association' not ' apartment' which you have wrongly mentioned.
4. No offence is made if you did not form but do check your local alws.
Devajyoti Barman
Advocate, Kolkata
12800 Answers
165 Consultations

5.0 on 5.0

1) what is nature of agreement entered into between builder and flat owners ? 

2) generally there is provision in agreement that builder shall form a cooperative society or condominium  of all members .

3) if builder refuses to do then members can get together and form a cooperative society . 

4) builder is bound to  execute deed of conveyance in favour of the society . 

5) if builder refuses to form society / execute deed of conveyance you can file complaint before consumer forum for deficiency in service and seek necessary directions for builder to form society/execute conveyance deed . also seek compensation from the builder
Ajay Sethi
Advocate, Mumbai
45415 Answers
2667 Consultations

5.0 on 5.0

I agree with D.Barman.
Ravinder Pasula
Advocate, Hyderabad
397 Answers
96 Consultations

5.0 on 5.0

1. The ownership of the Flats are transferred by registering the sale deed alongwith the proportionate share of the land on which the building has been constreucted. Now the flat owners can form an association if they so desire duly following the peocedure. Thie may or may not be mentioned in the sale deeds but the flat owners are at liberty to form such an association,

2. It is not mandatory for the builder to form an association. He has to handover the management of the apartment to the association as soon as that is formed,

3. The remaining members can form the association and in the long run the rest will join since association is formed to manage the upkeepment of the building,

4. If the flat owners are not forming the association, the management of the building will be continued by the builder for some time or till he agrees to do it.
Krishna Kishore Ganguly
Advocate, Kolkata
18401 Answers
447 Consultations

5.0 on 5.0

Dear Client,
As soon as you purchased a flat, you have all the equal rights in the apartment. You have right in the undivided share of land also with common amenities. 
Q.1.Yes , the owner ship already transfered to you as soon as  you purchased the flat.
Q.2. Yes, it is mandatory for the builders and as soon as your purchased a single unit , it is called apartment under the apartment act.
Q.3 You have to inform the civic authority to issue occupancy certificate and you can form a welfare society of owners and get it registered with the registrar of societies.
Q.4  WRIT remedy is available to you against thebuilders and also civic authorities.
Mohammad Khaleel Ahmed
Advocate, Hyderabad
184 Answers
1 Consultation

4.5 on 5.0

Hi, as soon as builder sold the apartment it has to be register and sale deed has to be executed in favour of the apartment owner and it is compulsory   and otherwise apartment owner can't be owner and secondly it is mandatory for the builder to form an association and it is mandatory to become member of the association and you can file a complaint for deficiency of service.
Pradeep Bharathipura
Advocate, Bangalore
4551 Answers
203 Consultations

4.5 on 5.0

First of all, what is the nature of the agreement between the flat owner and builder?
Secondly, the builder can transfer the ownership of the apartment by a registered sale deed or Conveyance deed in your favour.
Further, usually, there is an provision in the agreement, wherein Builder agrees to form an  a cooperative society or condominium  of all member association . If the builder fails to form the he association, you can file a consumer complaint for deficiency of services.
Sudershani Ray
Advocate, New Delhi
192 Answers
42 Consultations

4.6 on 5.0

1)Yes.Once Association of flat owners is formed.
2)It not mandatory on the part of the builder to form Association but on individual flat owners.
3)Majority will prevail always.But check with your local laws that 6 members could form an Association of flat owners.
4)Not builder but individual flat owners is to take care of formation of Association of flat owners,then only your first question will be fulfilled in its fullest extent.
Thanking you,
Subash M R
Advocate, Bangalore
176 Answers
8 Consultations

4.4 on 5.0

You will become  a true owner of the flat only after the the conveyance has been provided to you by the builder.
One needs to peruse your document to understand the terms and conditions stipulated in the agreement.
On fact there ownership transfers to the purchaser only after the conveyance takes place.
Usually in the state of Maharashtra the builder initiates the formation of the society and hands it over to the newly elected office bearers to administer. If the builder fails to form the society the members can form the society themselves.
If he fails to give conveyance the option of deemed conveyance is available to you.
It is always advisable to form a Society to better protect your common interests.
S J Mathew
Advocate, Mumbai
2240 Answers
110 Consultations

5.0 on 5.0

Yes it needed to register a conveyance deed and agreement to sell with the flat owners and buyers without this it won't be legal issue a legal notice for trAnsfering the same and then file a cSe for deficiency of services in the consumer court and cheating case
Jeshma Mohandas KP
Advocate, Kozhikode
567 Answers
1 Consultation

4.5 on 5.0

If builder doesn't perform his agreement you can form a society in the apartment. You can approach consumer forum as a consumer for deficiency in service in the part builder.
Brijendra Kumar Vishwakarma
Advocate, Kanpur
117 Answers

4.5 on 5.0

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