In a landmark decision, the Maharashtra Real Estate Regulatory Authority (MahaRERA) directed the Maharashtra Housing and Area Development Authority (MHADA) to rectify structural defects in a flat allotted through its 2018 housing draw. This decision reinforces homebuyers’ rights to quality housing and holds developers accountable under the Real Estate (Regulation and Development) Act, 2016 (RERA).
Case Overview
Sharad Agrawal, a homebuyer, was allotted a flat in Haveli, Pune, through the MHADA housing draw in 2018. The possession letter was issued on July 3, 2018, with the occupation certificate (OC) obtained from the Pimpri Chinchwad Municipal Corporation. Shortly after possession, the buyer reported issues such as water leakage, construction defects, and improper door installations. Despite writing several letters to MHADA from 2018 to 2021, the issues persisted.
The homebuyer filed a complaint with MahaRERA under Section 14(3) of RERA, which mandates developers to rectify structural defects within five years from the date of possession. The buyer also sought compensation for these deficiencies.
MHADA’s Response
MHADA’s Pune Board appeared for the hearing in April 2024 and stated that it had addressed certain complaints, including leakage issues, painting, and damaged plaster. These rectifications were acknowledged by the homebuyer. However, the buyer argued that unresolved issues related to solar fittings, fire safety equipment, and water supply remained.
MahaRERA’s Decision
In its November 11, 2024, order, MahaRERA ruled:
- Obligation to Rectify Defects: Section 14(3) obligates developers to fix structural defects within five years of possession. Since the complaint was filed within this period, MahaRERA directed MHADA to address pending issues.
- Notice Requirement: The buyer must notify MHADA in writing about unresolved defects within 30 days. MHADA is then required to rectify these within 30 additional days.
- Compensation for Non-Compliance: If MHADA fails to comply, the buyer can claim compensation as per Section 14(3) of RERA.
Implications for Homebuyers
This judgment reinforces homebuyers’ rights to quality housing and ensures that developers adhere to their obligations under RERA. It also highlights the importance of timely communication between buyers and developers regarding structural issues.