In India, car parking spaces in residential complexes are often sold by builders or promoters as a part of property transactions. However, the legal framework regarding the sale of car parking spaces has often been unclear, leading to disputes between homeowners and builders. Claiming back a car parking space or seeking compensation for its purchase can be challenging but is essential for protecting consumer rights. Understanding the relevant laws and your legal rights regarding such transactions is crucial to avoid exploitation and secure a fair resolution.
What is the Sale of Car Parking Space by Builders?
In India, builders or developers sometimes sell car parking spaces as separate entities from the residential flats. However, these parking spaces are not always legally recognized as property units and often don’t come with clear title deeds or legal ownership. Such transactions can be confusing because builders sell parking spaces along with flats, yet these may not be validly conveyed as individual properties. The legal ambiguity around such sales has led to disputes about whether homeowners have the right to claim refunds or ownership of these spaces.
Key Legal Provisions Against the Sale of Car Parking Spaces
The Real Estate (Regulation and Development) Act, 2016 (RERA)
- RERA is a key law that regulates the real estate sector and aims to ensure transparency in property transactions. The law prohibits builders from selling car parking spaces as separate entities. It is essential to note that RERA mandates that common areas like car parking should not be sold independently.
The Indian Contract Act, 1872
- Under the Indian Contract Act, if a builder falsely claims to sell a car parking space as an individual property, it could be considered a misrepresentation or fraud. Buyers have the right to terminate the contract or claim damages if the terms were misleading or illegal.
The Consumer Protection Act, 2019
- The Consumer Protection Act offers protection against unfair trade practices, including fraudulent sale of car parking spaces. Homeowners can file complaints under this Act if they were misled by the builder into purchasing a parking space without legal ownership rights.
Maharashtra Ownership Flats Act (MOFA), 1963
- MOFA lays down the legal framework for transactions involving ownership flats in Maharashtra, including the use of common areas like car parks. The Act specifies that car parking spaces are common property and cannot be sold independently.
The Transfer of Property Act, 1882
- According to the Transfer of Property Act, for a sale to be legally binding, the property sold must be clearly defined and capable of being transferred. Car parking spaces, being part of common areas, may not qualify as independent property units, making their sale by the builder potentially illegal.
How to Seek Legal Help
Verify Ownership and Title
- Consult a legal expert to confirm whether the car parking space was legally sold as part of your property purchase. This involves verifying if the parking space was included in the agreement or if it was listed as common property.
File a Complaint with RERA
- If the sale of the parking space was conducted in violation of RERA guidelines, you can file a complaint with the RERA authority in your state. This process may involve submitting evidence like the sale agreement, receipt of payment, and other related documents.
Approach Consumer Forums
- If the builder’s actions fall under consumer fraud, you can approach the District Consumer Forum, State Consumer Forum, or National Consumer Disputes Redressal Commission (NCDRC) for claiming a refund or compensation.
Legal Notice and Court Action
- If you wish to claim a refund or get the ownership transferred, a legal notice can be issued to the builder. If the matter is not resolved, you may file a case in civil court under the Indian Contract Act or Consumer Protection Act.
Tips to Build a Strong Case
- Gather Evidence: Collect all documents such as the sale agreement, payment receipts, and any correspondence with the builder regarding the car parking space.
- Check Property Documents: Verify whether the car parking space is mentioned in your property’s title documents. If not, it strengthens your case for a refund or compensation.
- Consult Legal Experts: Seek legal assistance from a lawyer specializing in property law or consumer rights to help you draft a formal complaint and guide you through the legal procedures.
- Document All Communications: Keep records of all communications with the builder, especially regarding the purchase of the parking space. This will be valuable in case of a legal dispute.
FAQs on Claiming Back Car Parking Purchased from Builder in India
- Can I claim a refund for a car parking space purchased from the builder?
Yes, if the parking space was sold in violation of the RERA guidelines or consumer protection laws, you are entitled to claim a refund or compensation. - Are car parking spaces considered part of my property?
No, car parking spaces are typically considered common areas and cannot be sold separately under Indian laws like RERA and MOFA. - How do I file a complaint with RERA?
You can file a complaint online through the RERA portal of your state, providing details of the transaction and any supporting documents that show the violation of RERA provisions. - What should I do if the builder refuses to refund or transfer the parking space?
If the builder refuses to cooperate, you can approach consumer forums or file a legal case under the Indian Contract Act and Consumer Protection Act. - Can I take legal action if I was misled into purchasing a car parking space?
Yes, if the builder misrepresented the sale or ownership of the parking space, you can claim damages for fraud under the Indian Contract Act.
Contact us for Filing Case against Your Society
If you or someone you know has been affected by the misleading sale of a car parking space by a builder, don’t hesitate to seek help. At www.the-legal.com, we provide expert legal consultation and services, including filing complaints with RERA, drafting legal notices, and representing clients in court. Contact us today to take the first step toward justice and compensation.
Final Words
The sale of car parking spaces by builders in India can often lead to legal disputes. It is important to understand your rights and the laws that protect consumers against fraudulent practices. By following the proper legal procedures, you can claim back what is rightfully yours and ensure that builders comply with real estate regulations.
Suggested Readings
- “The Real Estate (Regulation and Development) Act, 2016: A Guide for Homebuyers” by K. S. Venkatesh
- “Understanding Property Laws in India” by A. R. Subramanian
- “Consumer Protection Laws in India” by N. S. Ghosh