Mumbai: The competent authority cannot reject applications for deemed conveyance on the grounds of legality and validity of agreements executed between the parties, the Bombay High Court has ruled. The court directed the joint registrar of Co-Operative Societies to issue a certificate of deemed conveyance to M/S Blue Heaven Co-op Housing Society Ltd in Navi Mumbai.
What Is Deemed Conveyance?
The concept of deemed conveyance, introduced by the state government in 2008 and formalised in 2010, enables a housing society to secure ownership of land if a developer or landowner fails to execute a conveyance deed. The society can apply to the deputy district registrar, who is mandated to convey the land after verifying documents.
The HC passed the judgment while hearing a petition filed by M/S. Blue Heaven Coop Housing Society Ltd challenging the January 18, 2023 order passed by the competent authority dismissing its application of 2011 filed under the provisions of Maharashtra Ownership of Flats (Regulation of Promotion of Construction of Sale, Management and Transfer) Act, 1963 [MOFA].
Justice Sharmila Deshmukh, on November 21, quashed the January 18, 2023 order of the joint registrar rejecting the society’s plea for deemed conveyance. The court clarified that once the competent authority finds the promoter has not conveyed the property as required under the MOFA, it must issue deemed conveyance.
The authority cannot examine the validity of agreements or delve into title disputes. “The dispute between the owner and developer cannot be permitted to jeopardise the rights of flat purchasers to obtain conveyance,” Justice Deshmukh observed.
The Blue Heaven Society building, completed in 2006 by Punit Construction on land allotted by CIDCO to two persons – Ambo Gadge and Shripat Patil, lacked a registered society or conveyance deed. After registering the society in 2018, members applied for deemed conveyance.
