Expert explains

Subsequently, owners from a few of the blocks approached the same builder and the builder entered into a fresh agreement block-wise, of which one is complete and the others are in progress.

Published: 19th May 2020 06:59 AM  |   Last Updated: 19th May 2020 06:59 AM   |  A+A-

Express News Service

CHENNAI : Iam one among the six flatowners in a block out of more than a dozen blocks in TNHB. About five years ago, our RWA finalised an agreement for development of the  entire complex with a builder of repute. We had also signed a POA in favour of the builder. We were given `1 lakh as advance out of the compensation agreed upon. But, because of the obstinate attitude of a few members, the project got shelved. Subsequently, owners from a few of the blocks approached the same builder and the builder entered into a fresh agreement block-wise, of which one is complete and the others are in progress.

In our block, one well-educated person belonging to a noble profession has been stubborn by advancing various unreasonable demands from the builder and now, from other five flat owners, who are eager to get the redevelopment done early. Now our questions are:-

1) What will be the fate of the earlier agreement for the entire complex be, in the light of a fresh block-wise agreement?
2) Is the POA enforceable on persons whose blocks/flats are not covered in the block-wise agreement?
3) Are we to return the advance or does the later agreement of the builder with about one third of the total members absolve our deemed liability?
4) Do we have any legal remedy to compel the single obstinate member out of total six to fall in line with the majority? I am told that there is a decision of Bombay High Court favoring the majority. 

—Capt K Balasubramanian 
The first agreement between the builder and the residents Welfare Association is not workable anymore as it is more than five years old and the POA has no validity anymore. In so far as your block is concerned,  unless the sixth flatowner agrees, there is no legal remedy to compel him to sign a new agreement with any builder. The remaining five flatowners will have to leave the flats with their legal heirs for a future battle. If the entire block due to lapse of time is inhabitable, then there is a chance of moving the court for demolishing and reconstructing the building since the issue will become one of safety and health as well as CMDA regulations.

I am 79 years old. I have rented an apartment on 3 main road, Kottur Garden. The advance amount that I paid has not been returned; it has been three years. The cheque given is returned. How should I file a case?
—Prof S Natarajan

If you are not still a tenant, then there is no chance of adjusting the rents over the advance paid by you. The cheque which was bounced you cannot file any case since the limitation period is over.