Redevelopment – Precaution is better than cure

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Redevelopment – Precaution is better than cure

Before signing a Redevelopment Agreement the residents should ensure that they return to the redeveloped premises within a stipulated time as per the terms settled with the Developer. The members should also realise that Builders are equal beneficiaries and desist from taking any hasty decision which at a later date, culminate in to irreparable damage. The Society should be careful in drafting the Redevelopment Agreement and not leave the same to the Developer
The terms and conditions of the agreement should legally and practically be taken care of to protect the corporate interests of the Society and each of its members as also to avoid any litigation later. Every detail pertaining to the construction specifications, construction and material, amenities should be specified in the Redevelopment Agreement. Anything that is vague will go against the interest of Society members

 

 

A good number of cases have been reported where lay members of societies are crushed under the crafty builders when redevelopment assignments undertaken are neither accomplished in given time nor are the promised facilities made available or never provided. Many a times people are exposed to events for which the cause of redevelopment shortcomings are mainly lack of competency or due to paucity of inflow or diversion of funds from the assigned projects in order to acquire more and more projects beyond their financial means. Often, Builders have compensation clause that assures the members of the Society, daily/monthly damage for delayed possession beyond the specified date as mentioned in the Development Agreement. However, the Builders disregard the same. Builders who offer unreal excuses to escape paying penalty can be dragged in the consumer court for a breach of contract and cheating

 

 

Utkarsh Jani


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