(image source : Viacom18 Studios)
Quick Context: Akshay Kumar, married to Kareena Kapoor, buys a flat in the Project launched by the movie’s villain-actor Suman Talwar. After possession and during their occupancy, the building collapses killing Kareena and their unborn child. Akshay unearths the reason for the collapse and gets astonished to know the illegalities and corruption that led to the collapse. Akshay starts vigilance against corruption in government offices. The vigilance by Akshay ultimately results in the untimely death of the villain, but the cause of action arose from the collapse of the building.
Unless the reason for the collapse is due to man-made reasons - substandard use of materials, poor workmanship, non-supportive type of soil, etc, NO.
Otherwise, Promoter shall be responsible and liable to compensate for the losses incurred.
So if not jailed, will the promoter be absolved from all the liabilities? No, Promoter needs to avail Insurance. RERA under section 16 has made it mandatory.
Insurance of what? Insurance of land and building upon it.
Who needs to take insurance? The Promoter (developer or builder etc.) before the possession, buyers may be asked to pay for their respective share of premium. Upon expiry of insurance after possession, the Society/Apartment.
Importantly, the Promoter will be absolved from the uphill task of raising funds for the reconstruction of collapsed partial buildings at their own cost.
RERA Registration (+Correction+Extension+Quarterly Updates) | RERA Litigation | RERA Consultation | ‘RERA Compliant Project’ tag. Contact us today!
The information relayed in this blog should not be construed as legal advice. The applicability of information varies on the basis of the circumstances of each case. But feel free to call us for similar advice.
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