Disjunctive vs. Conjunctive: Navigating State-Level Differences in RERA's 'Or'
Following the Geetanjali case, the Maharashtra Real Estate Regulatory Authority (MahaRERA) issued circulars on 11 October 2019 and 9 June 2023, clarifying the interpretation of 'or' in RERA regulations. This article delves into the differences in state-le
ReraMahareraReal EstateGeetanjali CaseStatelevel DifferencesReal Estate MaharashtraFeb 17, 2025
The Maharashtra Real Estate Regulatory Authority (MahaRERA) is a statutory body established under the Real Estate (Regulation and Development) Act, 2016 (RERA).
Its primary role is to regulate the real estate sector and ensure transparency, accountability, and consumer protection in the state of Maharashtra.
of the Geetanjali Case
The Geetanjali case brought to light several ambiguities in the interpretation of the RERA regulations, particularly concerning the use of the term 'or'.
The case highlighted the need for clear guidelines to ensure uniform application of the law across different states.
MahaRERA's Circulars
In response to the Geetanjali case, MahaRERA issued two significant circulars on 11 October 2019 and 9 June 2023.
These circulars aimed to provide clarity on the interpretation of 'or' in the context of RERA regulations.
11 October 2019 Circular
The circular dated 11 October 2019 provided initial guidance on the use of 'or' in RERA.
It stated that the term 'or' should be interpreted in a disjunctive sense, meaning that any one of the conditions listed in the regulation could be met to satisfy the requirement.
9 June 2023 Circular
The circular dated 9 June 2023 further elaborated on the disjunctive interpretation of 'or'.
It clarified that the disjunctive interpretation should be applied consistently across all RERA regulations, ensuring uniformity and reducing ambiguity.
State-Level Differences
While MahaRERA has provided clear guidelines, other states have interpreted the term 'or' differently.
Some states have adopted a conjunctive interpretation, requiring all conditions to be met simultaneously.
This divergence in interpretation has led to confusion and inconsistency in the application of RERA across different states.
Disjunctive Interpretation
The disjunctive interpretation, as adopted by MahaRERA, allows developers to meet any one of the conditions listed in the regulation.
This approach is more flexible and provides developers with more options to comply with the law.
Conjunctive Interpretation
The conjunctive interpretation, adopted by some states, requires developers to meet all conditions listed in the regulation.
This approach is more stringent and can be challenging for developers to comply with, especially in complex projects.
Implications for Developers and Buyers
The differences in state-level interpretations of 'or' have significant implications for both real estate developers and buyers.
Developers need to navigate varying regulatory requirements, which can be complex and time-consuming.
Buyers, on the other hand, may face different levels of protection and transparency depending on the state they are purchasing property in.
For Developers
- Compliance Developers must ensure compliance with different state regulations, which can be challenging and costly.- Project Planning The varying interpretations can impact project planning and timelines, particularly for projects spanning multiple states.- Risk Management Developers need to manage the risk of non-compliance and potential legal issues arising from different state interpretations.
For Buyers
- Transparency The disjunctive interpretation generally provides more transparency and protection for buyers.- Regulatory Consistency Buyers in states with a conjunctive interpretation may face higher regulatory standards, which can provide additional assurance but may also increase costs.- Property Rights The interpretation of 'or' can affect the rights and protections afforded to buyers, making it crucial for them to understand the regulations in their state.
Conclusion
The Geetanjali case and subsequent circulars from MahaRERA have shed light on the need for clear and consistent interpretation of RERA regulations.
While MahaRERA has adopted a disjunctive interpretation, other states have chosen a conjunctive approach.
This divergence highlights the importance of harmonizing state-level interpretations to ensure uniformity and fairness in the real estate sector.
Developers and buyers must remain vigilant and stay informed about the regulatory landscape in their respective states to navigate the complexities of RERA effectively.
Frequently Asked Questions
What is the role of MahaRERA?
MahaRERA, the Maharashtra Real Estate Regulatory Authority, is a statutory body established under RERA to regulate the real estate sector, ensuring transparency, accountability, and consumer protection in the state of Maharashtra.
What did the Geetanjali case highlight?
The Geetanjali case highlighted several ambiguities in the interpretation of RERA regulations, particularly the use of the term 'or', and the need for clear guidelines to ensure uniform application of the law.
What did the 11 October 2019 circular from MahaRERA state?
The circular dated 11 October 2019 provided initial guidance on the use of 'or' in RERA, stating that the term should be interpreted in a disjunctive sense, meaning any one of the conditions listed in the regulation could be met to satisfy the requirement.
What is the difference between disjunctive and conjunctive interpretations of 'or' in RERA?
The disjunctive interpretation allows developers to meet any one of the conditions listed in the regulation, while the conjunctive interpretation requires developers to meet all conditions. This leads to different levels of flexibility and stringency in regulatory compliance.
What are the implications of state-level differences in RERA's 'or' for developers and buyers?
For developers, the differences can make compliance more complex and costly. For buyers, the implications include varying levels of transparency, regulatory standards, and property rights protection depending on the state.
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