Your Builder Has Not Formed the Society? What RERA Requires and How Buyers Push It
RERA makes the promoter responsible for forming the society or association of buyers and for conveying the land and building. What the law says and what MahaRERA has ordered.
Buyers in new towers often live there for years with the builder still running the building. Two things fix that: forming the society and getting conveyance of the land and building.
What RERA says
- Section 11(4)(e): the promoter must enable formation of an association, society or co-operative society of the buyers. Where local law does not set a time, RERA says within three months of a majority of buyers booking their units.
- Section 17: the promoter must execute a registered conveyance in favour of the buyers or their association, within the time set by local law or, if that is silent, within three months of the occupancy certificate.
In Maharashtra, the Maharashtra Ownership Flats Act (MOFA) also continues to apply.
Until the society exists and conveyance is done, the building is not really yours. Push for both.
What MahaRERA has ordered
In a 2024 complaint about the Chandra Darshan Heights project, MahaRERA directed the builder to form a co-operative society for the Wing A buyers and to complete conveyance within three months.
What buyers can do
- Write to the builder, as a group, asking for society formation and a timeline.
- Collect documents: agreements, occupancy certificate, approved plans.
- File a MahaRERA complaint if the builder delays. See how to file a MahaRERA complaint.
- If conveyance still does not happen, consider deemed conveyance.
Frequently asked questions
Who is responsible for forming the housing society in a new building?
The promoter, under section 11(4)(e) of RERA, along with Maharashtra's MOFA.
What if the builder does not form the society?
Buyers can file a complaint with MahaRERA, which has ordered builders to form societies and complete conveyance.
Sources
- The Law Suits, July 2024: MahaRERA directs builder to form co-operative society and convey
- AMS Shardul: Registration of the association of allottees under RERA
- Free Press Journal: MOFA still exists and is operational
This is general information, not legal or tax advice. Rules change, so check your own case with a lawyer or CA.
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