Redeveloping Society/1st Promoter/2nd Promoter - Principally Responsible?

Who is liable to compensate the Buyer for defaults - whether redeveloping society or 1st promoter or 2nd promoter?

This case will arise when a society is undergoing redevelopment and they have appointed a promoter. Subsequently, a fallout between them leads to the termination and a new i.e. 2nd promoter takes over from the Society & not 1st Promoter.

The rights of such buyers have to be protected by the 1st Promoter and the 2nd Promoter will not be liable to protect the rights. So in case of any refund or compensation, it will be the duty of the 1st promoter.

Rest assured, the buyer won’t be hanged out to dry and MahaRERA will step in to secure the payments made by such buyers.

Looking for more such advice? Or, RERA consultation on your new home? Contact us today!

The information relayed in this blog should not be construed as legal advice. The applicability of information varies on the basis of the circumstances of each case. But feel free to call us for similar advice.