In a significant legal victory, Shrivision Towers Private Limited, a prominent real estate developer, has emerged successful in its appeal against an order issued by the Karnataka Real Estate Regulatory Authority (RERA). The case, marked as Appeal No. (K-REAT)38/2023, involved a dispute between Shrivision Towers and an allottee regarding a delay in the completion of the "SHRIRAM GREENFIELD PHASE I" project. This article provides an in-depth analysis of the case, the appeal process, and the implications of the judgment.
Background and Parties Involved:
The appellant, Shrivision Towers Private Limited, is a well-established real estate company incorporated under the provisions of the Companies Act, 1956. The company is represented by its authorized signatory, Mr. Bharat Jumrani. The respondent parties include the Karnataka Real Estate Regulatory Authority (RERA) and Mr. Atul Kumar Aggarwal, the allottee who entered into an Agreement for Sale and Construction Agreement with Shrivision Towers.
This Appeal is filed under Section 44 of the Real Estate (Regulation and Development) Act, 2016, before this Tribunal praying to call for the records and set aside the order dated 28th November 2022 passed by the 1st Respondent- Authority, in CMP/200702/0006106.
The Allegations and RERA's Order:
The dispute arose due to the delay in project completion and possession of a specific flat, B-702, Tower B, Seventh Floor, as agreed upon in the contractual agreement. Consequently, the allottee filed a complaint with RERA, seeking compensation for the delay period. After hearing both parties, examining the records, and considering the relevant documents, RERA issued an order in favor of the allottee.
The order, dated November 28, 2022, directed Shrivision Towers to pay a sum of Rs. 6,48,410/- (Rupees Six Lakh Seventy Forty Eight Thousand Four Hundred and Ten Only) as delay period interest to the complainant within 60 days from the date of the order. It also required the allottee to pay the balance amount due to the promoter and execute/register the Sale Deed promptly. Additionally, interest was imposed on the balance amount due to the promoter.
The Appeal Process:
Aggrieved by the order, Shrivision Towers promptly filed an appeal, citing Section 44 of the Real Estate (Regulation and Development) Act, 2016, before the Karnataka Real Estate Appellate Tribunal. The appeal, marked as Appeal No. (K-REAT)38/2023, challenged the validity and implications of the RERA order in CMP/200702/0006106.
The Amicable Settlement:
During the appeal proceedings, the appellant and the allottee engaged in extensive discussions and negotiations to find a resolution. As a result, they reached an amicable settlement, which was documented in a Joint Memo. The terms of the settlement were presented to the Tribunal, with both parties affirming their agreement on their own free will and volition, without any force, misrepresentation, fraud, undue influence, or coercion.
The Tribunal's Decision and Order:
Considering the settlement between the parties, the Karnataka Real Estate Appellate Tribunal disposed of the appeal in accordance with the terms of the Joint Memo. The Tribunal ordered the Joint Memo to be treated as part of the official order. It directed the Registry to release the amount deposited by Shrivision Towers at the time of filing the appeal, along with any accrued interest, in compliance with the provisions of the Act. Both parties were instructed to fulfill their respective obligations as outlined in the Joint Memo to avoid any future litigation.
The recent judgment by the Karnataka Real Estate Appellate Tribunal in Appeal No. (K-REAT)38/2023, wherein Shrivision Towers Private Limited successfully appealed against the RERA order, signifies the importance of the appellate process in resolving real estate disputes. The amicable settlement reached between the appellant and the allottee highlights the efficacy of alternative dispute resolution methods. This case serves as a precedent for promoting fairness and justice in the real estate sector while safeguarding the rights of both developers and allottees.
Note: The information provided in this article about Karnataka Real Estate Regulatory Authority (KRERA) is for informational purposes only. It is not intended as legal or professional advice and readers should consult qualified professionals for advice specific to their circumstances. The information provided in this article is based on the APPEAL NO. (K-REAT)38/2023 before the Karnataka Real Estate Regulatory Authority
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