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Agreement to Sale - Clause for delay from developer

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Agreement to Sale - Clause for delay from developer

Last updated: August 19 2020
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  • Agreement to Sale - Clause for delay from developer

    Hi All,



    I am in discussion with a reputable Developer/Project and was going through the Agreement for Sale. I found the following clause mentioned regarding any delays in posession from developer :

    "If there is a delay or extension of the Date of Offer of Possession, excluding on account of any Force Majeure Event/s, then the sole remedy of the Allottee/s, on being notified (in writing) by the Promoter of the same, shall be to either: (i) continue with this Agreement, and accept the revised/extended Date of Offer of Possession as estimated and decided by the Promoter in its discretion, or (ii) to terminate this Agreement by giving a written notice to the Promoter; provided that the aforesaid right of termination shall be exercised by the Allottee/s by addressing and delivering to the Promoter the aforesaid written notice no later than fifteen (15) Days from being notified in writing by the Promoter, as aforesaid, of such delay, failing which the Allottee/s shall have deemed to have irrevocably opted and elected to continue with this Agreement, and shall be deemed to have waived his/her/their/its aforesaid option to terminate this Agreement, and shall be deemed to have accepted, all future revisions/extensions of the Date of Offer of Possession, from time to time, without any liability or obligation whatsoever on the part of the Promoter."



    Although the builder is liable to compensate the buyer in case of such delays as per MAHARERA clause 18, there is no mention of the same in the Sale agreement.

    My question is is the above clause in Agreement to sale reasonable and acceptable ?



    Learned members please provide your thoughts.




  • #2

    #2

    Re : Agreement to Sale - Clause for delay from developer

    Can you name the Builder & the Project? A thread may already exist on the Project. If a thread on the Project already exits, this thread would then be required to get merged with the original existing thread.
    Please read IREF rules | FAQ's

    Comment


    • arpit2k
      arpit2k commented
      Editing a comment
      Hi Manoj - the clause I mentioned is more or less same across multiple developers. My question is more about the compatibility of such clause with the MahaRera act which ensures to compensate buyers for any kind of delay from developers.
  • #3

    #3

    Re : Agreement to Sale - Clause for delay from developer

    Experienced members pls help and provide your inputs.

    Comment


    • jayesh24
      jayesh24 commented
      Editing a comment
      maha rera clauses are as ler act, so builder can write anything in agreement but any litigation is considered as per the act which is maharera and compensation. So rera clauses are always final and superior
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