In layouts, land to be conveyed to a society is frozen on due date: HC

The court passed the order on separate petitions filed by three cooperative housing societies – Satellite Garden I CHS, Sadguru Complex 1 (AB) CHS, and Satellite Tower CHS, which are part of a layout in Goregaon east

MUMBAI: In an important ruling, the Bombay High Court has held that in a layout development, the land meant to be conveyed to a housing society or association of flat purchasers, stands frozen on the due date – on expiry of four months from its formation. It cannot be reduced on account of subsequent revision of the plans for further construction.

In layouts, land to be conveyed to a society is frozen on due date: HC

A single judge bench of Justice Sandeep Marne said on Wednesday that the right to secure conveyance of the land and the building becomes the right of the organisation of flat purchasers - a co-operative housing society or an association of the flat purchasers - upon expiry of the period. This amounts to four months under Section 11 of the Maharashtra Ownership Flats Act and Rule 9 of MOF Rules.

Consequently, the judge said, in a layout development, which has several buildings, the proportionate land to be conveyed to a society or association stands crystalised and frozen on this due date and the area of this land cannot be subsequently reduced on account of further development in the layout.

The court clarified that conveyance or deemed conveyance in such cases should be granted by dividing the land proportionate to the built-up-area (BUA) utilised in construction of each of the buildings based on either the first sanctioned plan or the sanctioned plan in vogue on the due date.

The high court held that the societies were entitled to land proportionate to their respective BUAs and struck down the orders passed by the competent authority.

The court also restrained the developer from undertaking further development in the layout after noticing that a small area of 328.74 sq m was reserved for constructing Building No 3. The court said the developer has already increased the density of flats in the layout by subsequent revision of plans by use of massive slum TDR and if the layout plan, which continues to be “incomplete” for the last 29 long years, was permitted to be further revised as per DCPR-2034, there might be further increase in the BUA for the entire plot.