[RERA] Supreme Court appoints Amicus Curiae in plea for uniform Builder-Buyer Agreement to protect homebuyers

The Supreme Court on Monday appointed Advocate-on-Record Devashish Bharuka as Amicus Curiae in a public interest litigation petition seeking formulation of a uniform Builder Buyer Agreement (BBA) [Ashwini Kumar Upadhyay v. Union of India]..A Bench of Justice DY Chandrachud and Surya Kant passed the order after Additional Solicitor General Aishwarya Bhati raised a request for the same.The Court was hearing a petition filed by advocate Ashwini Kumar Upadhyay seeking a common agreement as per the aims of the Real Estate (Regulation and Development) Act of 2016 (RERA) contending that the same is needed to ensure transparency and to protect the interests of homebuyers under RERA. .The Court had issued notice in the matter in October 2021. On Monday, the ASG submitted that a model Builder Buyer Agreement has already been adopted and circulated. She added that “a small amount of leeway can be given to small builders”..Senior Advocate Menaka Guruswamy on behalf of one of the petitioners, argued that the Central government has always said that the State government notifies its own rules, yet such fractured legislation is an issue. To this the ASG replied, “we [Union] have formulated certain common minimum norms and we are not shirking away from our responsibilities.”.The Bench then queried whether the Central government has examined all State Rules to make sure that the interest of homebuyers is not compromised. “Have you examined all the state rules to see that buyers interest is not compromised? Have you seen all State Rules to see that it adopts the essential ingredients of the rules by RERA and buyers interest is not compromised,” the Court asked. “There have been threadbare comparison with States where there are heavy constructions,” the ASG replied.The Court then asked Guruswamy to find discrepancies in any of the State's rules, apart from scrutinistation by the Ministry of Housing and Urban Development. The Bench remarked that it will then direct particular States to adopt the rules if they have not complied with the model rules..Story to be updated with order soon. Follow our coverage of the hearing:

[RERA] Supreme Court appoints Amicus Curiae in plea for uniform Builder-Buyer Agreement to protect homebuyers

Chaitanya Singh

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