The Real Estate (Regulation and Development) Act 2016 was enacted for the purpose of regulating and promoting the real estate sector ensuring that the sale of a property takes place in an efficient and smooth manner. The Real Estate Regulatory Authority is a body dedicated to the speedy resolution of real estate disputes. The Real Estate (Regulation and Development) Act makes it mandatory for the State governments to set up Real Estate Appellate Tribunals in their respective states under sections 43 to 48 within one year of the enactment of the said act. The reason behind establishing such appellate bodies is to give an aggrieved party the opportunity to appeal against the decision of the Regulatory Authority. The Appellate Tribunal is composed of a single chairperson and two other members out of whom one must be a Judicial Member and the other an Administrative member.
Powers And Functioning Of The Real Estate Appellate Tribunal
Section 195 of the Criminal Procedure Code 1973 states that all proceedings before the appellate tribunal are judicial proceedings and the tribunal is considered to be a judicial tribunal. This Tribunal is not tied to the Code of Civil Procedure 1908 and the Evidence Act. The principle of natural justice must be followed by the tribunal. Under section 43(5) of the RERA Act, any allottees or consumer associations can file an appeal. If a promoter wants to file an appeal before the Tribunal, he/she must first deposit 30% of the penalty that would have to be paid by him for the appeal to be heard before the Tribunal.
It is required that the necessary documents be produced before the Tribunal. The Tribunal can ask any such expert in the sector of commerce, law, engineering etc as may be required during the inquiry in a specific matter. Any order by the Tribunal is executable as the decree of a civil court. If any party is not satisfied with the decision of the Appellate Tribunal, they can appeal to the High Court within 60 days of the decree passed by the Tribunal. After being convinced that there were sufficient grounds for not filing the appeal within the time frame specified, the tribunal may hear the appeal after the 60-day term has expired. After providing an opportunity to be heard, it may issue interim orders in response to such an appeal. It should send a copy of each order to each party concerned. The decision on the appeal must be rendered within 60 days of the receipt of the appeal. However, the reasons for not disposing of the appeal within the specified time frame must be documented.
No other Civil Court has any authority to adjudicate over any matter which comes under the purview of any of the Real Estate bodies. Further, no other court can pass any injunction or stay against the decision of the Tribunal. Under section 55 of the RERA Act, a mere defect in the constitution shall not result in making the proceedings of the Tribunal invalid. To address the excessive workload of the tribunal, an Interim Appellate Tribunal can be constituted for the time being pending the creation of a full-fledged Appellate Tribunal. All disputes currently before the Interim Appellate Tribunal will be moved to the appropriate genuine Appellate Tribunal, which will be formed.
The Real Estate Appellate Tribunal (REAT) was established to hear appeals against Real Estate Regulatory Authority rulings. Section 43 of the Real Estate Regulation Act, 2016, stipulates that the REAT can assess the constitutionality of RERA orders and determine whether to sustain or overturn them. REAT orders can be appealed further by filing an appeal in the High Court. REAT is a body established for the convenience and proper redressal of issues related to real estate that arise between the parties.