Case law, Tamil Nadu land law
Common Order, Appeal Nos. 138 and 139 of 2021
The Tamil Nadu Real Estate Appellate Tribunal issued the common order in Appeal Numbers 138 and 139 of 2021 on 16 September 2022, reviewing complaints about undivided land shares, common amenities, project registration and corpus funds in Eden Park Phase II. The supplied text records that the sale agreement described each allottee’s 339 square feet undivided share as coming from 37.36 acres, while the promoter proposed conveying it from 12.82 acres, but the extract ends before the Tribunal’s final decision on the appeals.
What the appeals concern
The Tamil Nadu Real Estate Appellate Tribunal heard Appeal Numbers 138 and 139 of 2021 under the Real Estate (Regulation and Development) Act, 2016. M/s. L&T South City Projects Private Limited, now known as M/s. Pragnya South City Projects Private Limited, appealed against the Tamil Nadu Real Estate Regulatory Authority’s common order dated 10 June 2021 in Complaint Numbers 246 and 247 of 2019.
The disputes concern apartments in Eden Park Phase II at Siruseri. The agreements dated 20 August 2014 described each relevant apartment’s 339 square feet undivided share as an interest in land measuring 37 acres and 36 cents.
Issues affecting apartment owners
The allottees claimed that the promoter later proposed to convey the same 339 square feet undivided share from only 12.82 acres. They said this change was made without their consent or an approved formal subdivision.
Key concerns recorded by the Tamil Nadu Real Estate Appellate Tribunal include:
- Whether reducing the project area from 37.36 acres to 12.82 acres would affect the allottees’ enjoyment rights.
- Whether allottees and later owners would lose rights over common facilities located outside the proposed 12.82 acres.
- Whether the complaints were maintainable.
- Whether the appeals should be allowed.
The allottees stated that the clubhouse, sewage treatment plant and other common amenities were within the larger 37.36 acre project but outside the proposed 12.82 acre area.
Earlier regulatory directions
The Tamil Nadu Real Estate Regulatory Authority had directed the promoter to:
- Execute sale deeds conveying 339 square feet of undivided share from the full 37.36 acre project extent described in the agreement.
- Register the project with the Authority.
- Expedite completion of the clubhouse and swimming pool by 31 December 2021.
- Transfer the corpus fund to the welfare association by 31 December 2021.
The promoter disputed these directions and stated that there would be no reduction in the agreed extent of undivided share.
Limits of the supplied extract
The supplied text confirms that an earlier Tribunal judgment dated 8 December 2020 had already found the complaints maintainable. However, the extract ends while examining the land description and does not contain the final outcome of Appeal Numbers 138 and 139 of 2021. It therefore does not establish whether the earlier regulatory directions were upheld, changed or set aside.
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Common questions
Does the document say my 339 square feet undivided share must come from 37.36 acres?
The sale agreement reproduced in the document describes 339 square feet of undivided interest in the Schedule B land measuring 37 acres and 36 cents. The supplied extract does not include the Tribunal’s final decision on whether that description must govern the sale deed.
Could limiting the land to 12.82 acres affect access to common amenities?
The allottees argued that it could, because the clubhouse, sewage treatment plant and other amenities were outside the proposed 12.82 acres but within the larger 37.36 acre project. The Tribunal identified enjoyment of those facilities as an issue for consideration.
Was Eden Park Phase II ordered to be registered with the Tamil Nadu Real Estate Regulatory Authority?
The Tamil Nadu Real Estate Regulatory Authority directed the promoter to register the project. The supplied extract does not show whether the Tamil Nadu Real Estate Appellate Tribunal upheld or changed that direction.
What happened to the corpus fund collected from allottees?
The allottees claimed that the promoter collected Rs. 2 lakhs from each allottee and had not transferred it to the welfare association. The Tamil Nadu Real Estate Regulatory Authority directed transfer by 31 December 2021, but the extract does not provide the appellate outcome.
