Orissa High Court Suspends Govt Notification on Pre-RERA Apartment Registration
The Orissa High Court has temporarily stayed a state government notification that permitted the sale and registration of apartments constructed before the Real Estate Regulatory Authority (RERA) came into effect.
Orissa High CourtReraOdisha Apartment Ownership ActGovernment NotificationReal EstateReal EstateFeb 12, 2025
This decision came after a petition challenging the validity of the notification was filed.
The Housing and Urban Development (H&UD) Department had issued the notification on February 1, 2024, permitting the registration of apartments built before the Real Estate (Regulation & Development) Act, 2017, came into effect.
The petitioners argued that the Odisha Apartment Ownership Act, 2023, which replaced the Odisha Apartment Ownership Act, 1982, did not introduce any additional compliance requirements for apartment sales.
They emphasized that under the new Act, a valid occupancy certificate, society registration certificate, and declaration are the minimum requirements for selling a flat.
The contentious government notification had stated that the 2023 Act would not apply to apartments built before RERA came into effect.
However, the petitioners pointed out that the Odisha Apartment Ownership Act, 2023, explicitly states that it applies to all apartments, regardless of when they were constructed.
The petition further alleged that the state government attempted to override a law passed by the legislature through an executive instruction, which is legally untenable.
The High Court accepted the petition for hearing and issued a stay on the notification.
Reacting to the court’s decision, Housing and Urban Development (H&UD) Minister Krushna Chandra Mahapatra stated that the government would carefully examine the court order and take appropriate steps accordingly.
The High Court has directed the Urban Development Department to file its response at the earliest.
The next hearing is scheduled for February 19, 2024.
This development has significant implications for the real estate sector in Odisha, as it affects the legal framework governing the sale and registration of pre-RERA apartments.
Frequently Asked Questions
What is the Real Estate Regulatory Authority (RERA)?
RERA is a regulatory body established under the Real Estate (Regulation & Development) Act, 2017, to protect the rights of homebuyers and promote transparency in the real estate sector.
What did the controversial government notification allow?
The notification issued by the Housing and Urban Development (H&UD) Department allowed the sale and registration of apartments built before the Real Estate (Regulation & Development) Act, 2017, came into effect.
What are the requirements for selling a flat under the Odisha Apartment Ownership Act, 2023?
Under the Odisha Apartment Ownership Act, 2023, a valid occupancy certificate, society registration certificate, and declaration are the minimum requirements for selling a flat.
Why did the petitioners challenge the government notification?
The petitioners argued that the state government attempted to override a law passed by the legislature through an executive instruction, which is legally untenable, and that the 2023 Act explicitly states it applies to all apartments, regardless of when they were constructed.
What is the next step in the legal process?
The High Court has directed the Urban Development Department to file its response at the earliest, and the next hearing is scheduled for February 19, 2024.
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