DEEMED CONVEYANCE
INTRODUCTION:
In the legal sense "Conveyance"
refers to the transfer of ownership or other interest in the property to the
other party. Deemed Conveyance
is a document executed to transfer the title of land and building in favour of
Society or Association of Persons (AOP). The
main object of the society is to obtain conveyance of the land and building in
favour of the society.
MEANING OF DEMED CONVEYANCE:
The
Promoter (Builder/ Developer) is legally required to convey the land and the
building within 4 months of formation to the society or any legal body of the
flat purchasers. However, it has been the experience that many promoters
(Builders/Developers) have not conveyed the land and building to the legal
bodies. Therefore, government has amended the Maharashtra Ownership Flats Act, 1963 (MOFA) and provided for the
deemed conveyance in favour of the legal bodies. Under the provision, deemed conveyance
means after the expiry of 4 months of formation of the legal body, the land and
building is deemed to have been conveyed to the legal body and to bring the
same in the revenue record, a Competent Authority has been designated who will
hear the parties on the basis of applications received from the aggrieved party
and transfers the title in favour of the legal body by passing the necessary
order and deemed conveyance certificate and appoint an authorized officer to
execute the conveyance deed in favour of the society and execute on behalf of
non co-operative builder or the land owner. Getting the title of land and
building by adopting the above procedure is known as deemed conveyance.
DIFFERENCE BETWEEN THE DEEMED CONVEYANCE AND THE
REGULAR CONVEYANCE
In
case of regular conveyance, the builder/ Developer/ Land owner prepare a
conveyance deed, execute the same and appear before the Sub-Registrar of
assurance for admitting their signature. Without any problem, the legal bodies
get the conveyance with the co-operation of the builder/ landowner.
In
case of deemed conveyance, the builder/ land owner or their legal heirs are not
co-operating, therefore, the aggrieved parties appear before the Designated
Competent Authority, who hears all the parties and passes the necessary order
of conveyance. Deemed Conveyance is obtained as a legal remedy against the
defaulter builder/ landowner who don’t want to part with the land and the
building in favour of the society
THE PAPERS REQUIRED FOR DOING DEEMED CONVEYANCE ARE AS FOLLOWS:[i]
Application Form 7 to
the District Deputy Registrar, Co-operative Societies, affixing a court fee
stamp of Rs 2,000 on the application
- Affidavit made before the Notary or Executive Magistrate
- True copy of the Society Registration Certificate
- Stamp duty paid and registered agreement copies of all individual flats/ shops
- List of members in prescribed format
- Index-II for each member as issued by the Sub-Registrar of Assurance
- Copy of the Development Agreement between land owner and builder
- Copy of the legal notice issued to the original owner or developer for doing conveyance
- Details of corresponding address telephone number etc. of the original owner or developer
- Draft conveyance deed/ Declaration proposed to be executed in favour of the applicant
Documents
to be obtained from city survey office, for submission:
- City (CTS) Survey plan
- Property Registration Card or
- 7/12 extract of the land
- Village form 6 (Mutation entries from Revenue Office)
Documents to be obtained from the Collector’s
Office, for submission:
- Copy of the Non-Agricultural Order
- Certificate of the exclusion from Land Ceiling Act (ULC) Certificate
Documents
to be obtained from the concerned municipal authority office, for
submission:
- Copy of the approved plan
- IOD
- Commencement Certificate
- Building Completion certificate
- Occupation Certificate (not compulsory)
- Property taxes paid
- Location plan of the building
Documents to be obtained from other professionals,
for submission:
- Search Report of the land issued by the Solicitor/Advocate
- Title Certificate of the Property issued by the Solicitor/Advocate (Search by minimum for last 30 years)
- Land Measurement Map/ Architect’s Certificate (layout plan of the plot)
- Certified copy from Panel Architect about the utilization of full FSI or FSI if any left in respect of the said property /Plot.
PROCEDURE
AFTER SUBMISSION OF ALL THE ABOVE DOCUMENTS TO THE SUB-REGISTRAR:
- After spot visit by authorized government officials, a notice would be sent to the builder
- Builder can submit written arguement, before a formal hearing is held
- Public notice has to be published in 2 newspapers, of which one shall be in Marathi.
- If there is no response or objection to the notice, then speaking order and certificate of deemed conveyance is issued to the society
- Once the Deemed Conveyance order with Conveyance deed is executed, the index II has to be obtained and submitted to the Talati office or City Survey office to incorporate the name of the society in the 7/12 extracts or in the property card as the case may be and/ or both.
- If society did not have an OC while applying for deemed conveyance, it is compulsory for the society to obtain an OC from BMC, after the deemed conveyance is obtained.
As
per Section.11
of Maharashtra Ownership Flat Act,1963 the promoter (builder/developer/landowner) is
require to convey the land and building in favour the society
formed by the flat purchasers within the prescribed period
i.e. within four months from the date of registration of the society.[ii]
The following
provisions have been incorporated in the latest amendment to MOFA, 1963 to
grant the deemed conveyance.
All
inclusive procedure to be follow in respect of the deemed conveyance of
cooperative housing societies has been fixed in the following stages as per
latest (GR 22nd JUNE 2018)
Stage 1 :
To
make an application in the prescribed form 7 with necessary document and draft
of conveyance to the concerned District Dy. Registrar, Co-operative Societies
Office for Deemed Conveyance, similarly to obtained Deemed Conveyance Order and
Certificate with documents.
Stage 2 :
The
draft document of the deemed conveyance with the details of stamp duty of all
flat owners should be adjudicated from the Joint District Registrar and
Collector of Stamp.
Stage 3 :
After
the adjudication order, the said document should be get registered in the
office of the Sub Registrar (purchase – sale).
Stage 4 :
To
apply for entering the name in the record (7/12) to the concerned City Survey
Officer or Circle Officer/Talathi according the registered document.
The
procedure of deemed conveyance shall be completed only after entering society’s
name as a occupant in the property card or 7/12 extract by the concerned
officer.
CONCLUSION:
The builder/ land owner and/ or their
legal heirs may not co-operate as they foresee a future commercial value of the
property including usage of potential FSI for their personal benefit. The
society then has to appear before the Designated Competent Authority to
get Deemed Conveyance. Deemed
Conveyance is the final Conveyance, which can be registered. Only this will
give legal ownership and possession rights to the society.
In June 2018, The Maharashtra
government has relaxed the terms for the deemed conveyance (DC)-ownership right
of plot certificate from the builder, by bringing down the number of documents
required from 12 to 8 and stipulating that DC will be given even if the society
does not have an Occupation Certificate (OC) or the Building Completion
Certificate (CC).
For any queries/support/suggestions you can reach me out at my email ID Rajashri.auti@expertjurist.com
Drafted by : Adv. Rajashri Auti
Approved by : Expert Jurist LLP
