The Tamil Nadu Apartment Ownership Act, 1994 (1994)

What the Act governs

The Tamil Nadu Apartment Ownership Act, 1994 governs ownership of individual apartments and the associated undivided interests in common areas and facilities. It applies to apartments in qualifying buildings constructed before or after commencement in the relevant area.

A qualifying building must:

• Contain five or more apartments, or have three or more floors.
• Have been constructed in accordance with a planning permit.
• Have a building plan duly sanctioned by the appropriate authority under the applicable law.

An apartment may be intended for a residence, office, professional practice, occupation, trade, business or another independent use. It must have direct access to a public street, road or highway, or to a common area leading to one.

Who is affected

The Tamil Nadu Apartment Ownership Act, 1994 affects apartment owners, including outright purchasers and hire purchase allottees. Its arrangement also covers societies or associations of apartment owners, tenants, vendors and persons responsible for common expenses.

An Association of Apartment Owners means all apartment owners acting as a group in accordance with its by-laws. A society may be registered under the Tamil Nadu Co-operative Societies Act, 1983 or the Tamil Nadu Societies Registration Act, 1975.

Ownership and transfer rights

The Tamil Nadu Apartment Ownership Act, 1994 provides that:

• Each apartment, with its specified undivided interest in common and limited common areas, is immovable property that can be inherited and transferred.
• An owner may transfer the apartment and associated interest by sale, mortgage, lease, gift, exchange or another lawful method.
• An owner may bequeath the apartment under laws governing succession to immovable property.
• Exclusive ownership and possession of an apartment depend on a Deed of Apartment executed and registered under the Act.
• Each owner's percentage in common areas is specified in the Deed of Apartment and calculated using the apartment's plinth area compared with the building's total apartment plinth area.

Common property and administration

Common areas generally include the land, structural components, corridors, stairs, terraces, parking areas, gardens, water and drainage connections, lifts, tanks, pumps, fire alarms and other installations for common use, unless the Deed of Apartment provides otherwise. The Act's listed subjects also include registration of the Deed of Apartment and floor plan, by-laws, insurance, maintenance, common profits, common expenses, separate assessment and liability for unpaid common expenses.