The Real Estate (Regulation & Development) Act, 2016 is the act that has been created by the legislature with the intent to protect homebuyers/property buyers from the illicit activities of builders in India. When RERA didn’t exist the consumer courts had the burden over their shoulders to adjudicate the matters related to the homebuyers and builders. The government in the urge to make a firm adjudication process has made provisions for the homebuyers named RERA. It provides for the establishment of council, authority, and tribunals for the matter of adjudication of the complaints of the homebuyers and to work for the best interest.
Central advisory council
Section 41 puts the responsibility on the shoulders of the central government to establish a council through a notification in the official gazette. And that council shall be known as a central advisory council.
The minister of the government of India who is in charge of the ministry of central government dealing with housing will be its ex-officio chairperson. Along with the chairperson, the council will consist of representatives of finance, industry and commerce, urban development, consumer affairs ministries. The council shall also consist of other ten members to represent the interest of the real estate industry, agents, and consumers.
Functions of Tribunal under RERA
Section 42 provides the functions that need to be performed by the council from the effect of its establishment:
- To advise and recommend the central government on all matters concerning the implementation of the act, major questions on the policy will also act in the interest of the consumers and will also foster the growth and development of the real estate sector.
- The central government may specify the rules to give effect to the recommendations of the central advisory council
To give effect to the rules laid down under the RERA central government using its wide range of power in the year 2017 has established and council to give advice in the matters related to the implementation of the act of 2016. It will be lead by the minister of the state of housing and urban affairs under the assistance of 30 other members
Tribunal under RERA
Chapter 7th of RERA talks about the provision with regard to the enactment of the appellate tribunal. Specifically, section 43 of the act provides, in brief, the power of the appropriate government within one year of the enforcement of this act to establish an appellate tribunal. The tribunal shall be known as the real estate appellate tribunal. The government if deems fit may establish one or more benches of the appellate tribunal and for two or more states or unions, territories may establish one single appellate tribunal. The aggrieved person from the decisions of the authority or adjudicating officer may prefer an appeal before the appellate tribunal.
Composition of Tribunal under RERA (Section 45)
The tribunal shall consist of a chairperson with two members who will act part-time. One should be a judicial member and another member to be an administrative member of the technical member. The appropriate government shall appoint all the members. The chairperson should be or have been a judge of the high court. And, the other member shall have knowledge in the field of urban development, housing, infrastructure, economics, planning, law, etc. The term of office for the sake of membership and chairperson will be five years.
Powers (Section 53)
- The tribunal shall follow the principles of natural justice. And, the procedure of code of civil procedure will not bound the tribunal by its rules.
- The tribunal shall have the power to regulate its own procedure
- The rules of evidence law 1872 would not be applicable on the process of the tribunal
- The tribunal shall have the powers of the civil court to:
- Summon and enforce the attendance of any person and can examine him on oath.
- Require to produce the document
- Receive evidence on affidavits
- may dismiss an application for default or can direct that ex parte.
Administrative power of the tribunal
Section 54 of the act empowers the tribunals with administrative powers. It envisages that the chairperson shall have the powers of general superintendence. And, he can direct the conduct of the affairs of the tribunal. The chairperson shall have the power to lead the meeting of the tribunal and can also exercise and discharge such other functions as may be empowered by the act
An appeal against the order of the tribunal
Any person who is aggrieved by the decision of the tribunal may appeal to the high court as per section 58 of the act. The appeal shall be filed within the period of 60 days from the date of the decision. Compliance with the provision of CPC is a must.
Revision of orders of RERA / Adjudicating Officer
For the purpose of examining the correctness or the legality of any type of order passed by the authority or the officer then the tribunal either suo moto or otherwise can revise the order or can entertain such appeal
The act envisages in itself the body which is responsible to administer the working of the whole act. The act provides 3 authorities to administer the management under the purview of the act. First is the regulatory authority, the other being the advisory council, and appeals to the same lies to the tribunal. All of these altogether helps in the effective administration process in the real estate sector.