Maharashtra Ownership Flats (Regulation of the promotion of construction
The Maharashtra Ownership Flats (Regulation of the promotion of construction, sale, management and transfer) Act, 1963
The Maharashtra Ownership Flats Act, 1963, regulates the construction, sale, management, and transfer of flats within the state of Maharashtra. Applying directly to property builders and apartment buyers, this law establishes key guidelines to defend consumers from deceptive real estate practices. It mandates that developers make exhaustive disclosures regarding land titles, municipal approvals, and true costs before collecting deposits. Additionally, the legislation requires registered sales agreements, holds builders responsible for defects for three years, and enforces the timely transition of property management to cooperative housing societies, thereby securing clear ownership rights and essential legal protection for ordinary home buyers.
- 1. Short title, extent and commencement.
- 2. Definitions.
- 3. General liabilities of promoter.
- 4. Promoter before accepting advance payment or deposit to enter into agreement and agreement to be registered.
- 4A. Effect of non-registration of agreement required to be registered under section 4.
- 5. Promoter to maintain separate account of sums taken as advance or deposit and to be trustee therefor and disburse them for purposes for which given.
- 5A. Competent Authority.
- 6. Responsibility for payment of outgoings till property is transferred.
- 7. After plans and specifications are disclosed no alterations or additions without consent of persons who have agreed to take the flats; and defects noticed within three years to be rectified.
- 7A. Removal of doubt.
- 8. Refund of amount paid with interest for failure to give possession within specified time or further time allowed.
- 9. No mortgage, etc., to be created without consent of parties after execution of agreement for sale.
- 10. Promoter to take steps for formation of co-operative society or company.
- 11. Promoter to convey title, etc., and execute documents, according to agreement.
- 12. General liabilities of flat-taker.
- 12A. Manager not to cut off, withheld, curtail or reduce essential supply or service.
- 13. Offences by promoters and consequences on conviction.
- 13A. Power of Magistrate to pass sentences under this Act.
- 13B. Competent Authority to be public servant.
- 13C. Proceedings before Competent Authority to be judicial proceedings.
- 13D. Competent Authority deemed to be Civil Court for certain purposes.
- 13E. Indemnity for acts done in good faith.
- 14. Offences by companies.
- 15. Power to make rules.
- 16. Act to be in addition to Transfer of Property Act and to over-ride contract to the contrary.
- 17. Application of certain provisions to flats already in existence.
- 18. Act not to apply to Housing and Area Development Authority and Boards.
PDF: pending for this language.