MahaRERA has declared illegal a contractual clause that allowed a builder to unilaterally cancel a flat allotment via Power of Attorney, reinforcing statutory safeguards under the RERA Act. The developer was ordered to pay interest for delayed possession from October 1, 2023. This ruling is a key example of regulatory protection for homebuyers and a must-know for exams covering RERA, consumer rights, and state-level governance.
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- ›Regulatory Authority: Maharashtra Real Estate Regulatory Authority (MahaRERA)
- ›Clause Struck Down: Clause 7(G) – unilateral cancellation via Power of Attorney
- ›Target this Data: Interest start date – October 1, 2023
- ›Target this Nodal Body: MahaRERA (Maharashtra Real Estate Regulatory Authority)
- ›Target this Legal Point: Clause 7(G) – unilateral cancellation via POA; Section 11(4)(e) of RERA Act for cooperative housing society
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