UP RERA to Development Authorities: Don’t Issue Temporary OC, Mark project in Part OC

Lucknow/Gautam Buddh Nagar, Jul1, 2024: UP RERA issued an important direction for all the Industrial / Housing Development Authorities on 29.05.2024 with regard to the prevalent practice of issuance of Part-C.C. or O.C. and Temporary C.C. / O.C. The said order of U.P. RERA, inter alia, provides that the Competent Authorities must give the names of the relevant Towers or Bocks of the project with respect to which the Part-C.C or O.C is being issued, along with the names of all the Towers or Blocks of the project or the Phase of the project, as the case may be. U.P. RERA was constrained to issue these orders as it had been observing that the Competent Authorities were issuing Part-C.C. or O.C. with particulars of the project which did not match with the names of the project or tower or block given by the promoter at the time of registration with RERA or mentioned in the Agreement for Sale (BBA) executed between the promoter and the home buyer.

Such Part-C.C. or O.C. creates doubts in the mind of the home buyer about the status of completion of his unit or tower at the time of the execution of conveyance deed and handing over of possession of the unit. Further, the Benches of U.P. RERA also face difficulties in deciding the complaints filed by the aggrieved home buyers, on the basis of such vague Part-C.C. or O.C.  

RERA has also directed the Competent Authorities to refrain from issuing Temporary C.C. or O.C. which is not permissible under the laws relating to issuance of C.C. or O.C. applicable to them. Apart from being contrary to the law, such Temporary C.C. or O.C. can also be seriously detrimental to home buyers who take possession on basis of such Temporary O.C. or C.C. and subsequently, because of some reason or the other, such Temporary O.C. or C.C. is not confirmed by the concerned planning authority. 

In order to avoid the problem of mis-match between the name of the project and its blocks and towers given by the promoter at the time of registration with U.P. RERA, it has advised the Planning Authorities to obtain the marketing name of the project, its towers / blocks along with number of units from the promoter along with application for sanction of the map and grant completion or occupancy certificate with the same names to avoid any doubts with regard to completion status of the project or its towers and blocks.

Speaking about these directions, Sanjay Bhoosreddy, Chairman, U.P. RERA stated that U.P. RERA is continuously striving to bring standardization in the sector with a view to not only protect the interest of the home buyers but also to minimize litigation between different stake holders. It has been observed that the names of the completed towers, blocks or units mentioned in the Part-C.C.s or O.C.s being issued by some of the planning authorities are not matching with their names as given by the promoter to U.P. RERA at the time of the registration and the same was creating doubts in the minds of both the home buyers and the regulatory authority, that with some due diligence at the level of the planning authorities, this problem can be very easily addressed. The benefits of such interventions far out-weigh the time and energy that goes in implementing them

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