Appeal No.7/2023
The Tamil Nadu Real Estate Appellate Tribunal (Tamil Nadu, Puducherry, Andaman and Nicobar Islands) issued the Order in Appeal Number 7 of 2023 on 1 March 2023, disposing of an appeal by M/s. Four Square Landmarks Private Limited against its addition as the fourth respondent in a complaint before the Tamil Nadu Real Estate Regulatory Authority. The Tribunal directed the Regulatory Authority to decide, when deciding the complaint, whether the company is a promoter, and closed any connected miscellaneous applications.
What the case concerns
The Order in Appeal Number 7 of 2023, pronounced by the Tamil Nadu Real Estate Appellate Tribunal (Tamil Nadu, Puducherry, Andaman and Nicobar Islands) on 1 March 2023, concerns Complaint Number 196 of 2021 before the Tamil Nadu Real Estate Regulatory Authority. Sherine Manoj, the first respondent in the appeal, had filed that complaint seeking certain reliefs.
During the complaint proceedings, Sherine Manoj applied to add M/s. Four Square Landmarks Private Limited as the fourth respondent. After giving notice to the company and hearing both sides, the Tamil Nadu Real Estate Regulatory Authority allowed that application by an interim order dated 10 November 2022.
Why the company appealed
M/s. Four Square Landmarks Private Limited challenged the interim order before the Tamil Nadu Real Estate Appellate Tribunal under the Real Estate (Regulation and Development) Act, 2016.
The company did not object to being added as the fourth respondent. Its grievance was that the Tamil Nadu Real Estate Regulatory Authority had made a finding that placed the company in the position of a promoter.
The company’s counsel asked the Appellate Tribunal not to examine the merits at that stage. Instead, counsel requested a direction requiring the Regulatory Authority to decide whether the company is a promoter when deciding the main complaint.
Tribunal’s decision
The Tamil Nadu Real Estate Appellate Tribunal disposed of Appeal Number 7 of 2023 with the following result:
- The Tamil Nadu Real Estate Regulatory Authority must decide whether M/s. Four Square Landmarks Private Limited is a promoter while deciding Complaint Number 196 of 2021.
- The Appellate Tribunal did not make a final decision on the company’s promoter status.
- Counsel for the company stated that the company would file its counter in the complaint within three weeks.
- Any connected miscellaneous applications still pending were closed.
Who may be affected
The Order in Appeal Number 7 of 2023 directly concerns M/s. Four Square Landmarks Private Limited and the respondents named in the appeal, including Sherine Manoj. For a buyer, owner or professional reviewing the dispute, the key point is that the company remains a respondent in the complaint, while the question of whether it is a promoter must be decided during the complaint proceedings.
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Common questions
Was M/s. Four Square Landmarks Private Limited removed from the complaint?
No. The company had no objection to being added as the fourth respondent, and the Tamil Nadu Real Estate Appellate Tribunal did not remove it from Complaint Number 196 of 2021.
Did the Appellate Tribunal decide that the company is a promoter?
No. The Tamil Nadu Real Estate Appellate Tribunal directed the Tamil Nadu Real Estate Regulatory Authority to decide whether the company is a promoter when deciding the complaint.
What did the company agree to file?
Counsel for M/s. Four Square Landmarks Private Limited stated that the company would file its counter in Complaint Number 196 of 2021 within three weeks.
What happened to connected miscellaneous applications?
The Tamil Nadu Real Estate Appellate Tribunal closed any connected miscellaneous applications that were pending.
