The appropriate Government shall, within a period of one year from the date of coming into force of this Act. To constitute an Authority to be known as the Real Estate Regulatory Authority to exercise the powers conferred in Act.

The Authority shall be a corporate body with a common seal, having perpetual succession and power to enforce the provisions of this Act, to acquire, hold and dispose of property, both movable and immovable, and to contract, and shall, by the said name, sue or be sued.

The Authority shall consist of a Chairman. A minimum number of two whole time members.

A Person must be having an experience of at least twenty years in urban development, housing, real estate development, infrastructure, economics, planning, law, management, social service, public affairs or administration at higher level.

A Person must be having an experience of at least Fifteen Years in urban development, housing, real estate development, infrastructure, economics, planning, law, management, social service, public affairs or administration in higher Level.

The Chairperson and Members shall hold office for a term not exceeding five years from the date on which they enter upon their office, or until they attain the age of sixty-five years, whichever is earlier.

Where the area of land proposed to be developed exceeds one thousand square meters or the number of apartments proposed to be developed exceeds twelve, inclusive of all phases, or an area or number of apartments as notified by the Central Government on recommendations from the appropriate Government, which may be different for different States or Union territories more than one thousand square meters or twelve apartments, as the case may be.

As per new Real Estate Regulatory bill it is necessary to get registration from regulatory authorities. Project should be registered with competent authority. All the requisite information regarding to project should be disclosed by the Promoter.

Registration number. Project plans, layout, sanction of plan. Project specification and other information for client access. Estimated project completion time.

All the information should be updated on quarterly basis. Prospects/advertisement. brochure etc. The Carpet Area/Super Area of the flat should be disclosed categorically. Once the Carpet area/ Super area has been disclosed the same cannot be altered in any case.

Promoters can accept only 10% of the total value of the flat/building as advance.

Promoters are required to open an account with the bank for specific project. Promoters are required to maintain 70% of the total earnings from allottees in said account. The amount collected from the allottees should be utilized to respective project only.

Builder Buyer Agreement should be contained all the relevant information. Specifications of the flat/building and other amenities attached thereto. Proposed date of completion/possession of the project. It is mandatory to provide standard format of agreement for approval.

Promoters cannot sell or promote the project without receiving proper approvals, it incudes,land titles and other clearance, provisions for water, electricity and sanitation. No false representation should be made with respect to project and company.

The promoter cannot raise more than 10% of the total value of flat/building etc without execution of BBA. Promoter cannot diversify the fund raised in favor of one project to other. No delay in completion of the project on proposed time else liable to pay penalties.

No alteration can be made in approved plans, structural designs, specification such as super area, carpet area etc. No allotment should be cancelled beyond terms of the agreement and without sufficient cause.

Upon completion of project, promoter is responsible to get completion certificate from requisite authorities. Promoter is responsible for all necessary arrangements qua execution of conveyance deed and possession of flat,building,common areas etc.

If any structural defect noticed within two years of the possession of the building,flat then promoter shall be liable to rectify that defect without extra charges and within adequate time period.

on providing wrong information about the project with an intention to misrepresent the facts then promoters shall be liable to a penalty which may extend up to five percent of the estimated cost of the project. if any promoter willfully fails to comply with, or contravenes any of the directions orders of the authority, shall be liable to a penalty which may extend up to five percent of the estimated cost of the project.

If any promoter willfully fails to comply with, or contravenes any of the directions, orders of the tribunal, shall be liable to a penalty for every day during which such default continues, which may cumulatively extend up to ten percent of the estimated cost of the project determined by tribunal.

If the Authority fails to grant the registration or reject the application within fifteen days then, the project shall be deemed to have been registered. The Authority shall within two days of the expiry of the said fifteen days, provide a registration number and login id. The registration granted shall be valid for a period declared by the promoter. Provided that no direction, decision or order of the Authority under this section shall take effect until the expiry of the period of appeal provided under the provisions of this Act.

Promoter reserve its right to receive payment as per the terms of the Agreement. The Promoter can charge interest at such rate as may be prescribed, for any delay in payment towards any amount or charges to be paid. To appeal before the Appellate Tribunal.

This Bill has already been passed by Lok Sabha and Rajya Sabha respectively. Now,it is under Consideration of President of INDIA.

Legal Department K World Estate Pvt. Ltd Noida, U.P.