WHAT IS A CONVEYANCE DEED?
When a residential building is constructed on a piece of land, it is owned by the builder or the builder has developed it for the land owner with developments rights. Once a minimum of 60% flats in the project are sold, as per MOFA-1963, the builder is expected to form a housing society or association of apartment of these flat owners and hand over the entire ownership of the land, the construction on it and other amenities, if any, to the society. With this, the ownership record of the land or the 7/12 extract of the revenue department, bears the name of the housing society and the name of builder or previous owner is removed. This transfer of rights is called execution of the conveyance deed and, with it, the role of the builder comes to an end.
WHY IS IT IMPORTANT?
A cooperative housing society is registered if it has a minimum of 10 flats. The conveyance deed is not issued in the name of an individual. A flat owner while buying a flat from a builder takes only a purchase agreement. He/she thinks that he/she owns the flat as well as the land on which the housing scheme stands, but that is not the case. The housing society members should have a conveyance deed to be the legal owners of the land, otherwise the builder continues to be the legal owner of the land and can sell it. Such transfer of rights is required if some changes like construction or removal of some property is to be done within the society or for some space or infrastructure is to be rented or the building is to be reconstructed. If the society loses some of its land in road widening, it can get additional floor space index and can undertake additional construction.
VED LEGAL SPECIALIZED FOR DEEMED CONVEYANCE.
Conveyance, Deemed Conveyance of Co-operative Housing Societies
Conveyance of a Property is transferring the Rights, Title, Interest and Ownership of a Property from the Seller to the buyer. In case of a Co- Operative Housing Society (formed by the Flat Purchasers/ Owners under the provisions of Maharashtra Co- Operative Societies Act, 1960), Conveyance is transferring the Rights, Title, Interest and Ownership of the Land and Building from the Land Owner/ Property Developer to the Co- Operative Housing Society.
We were already working on several cases of a similar kind under the provision of Maharashtra Ownership Flats Act, 1963(MOFA). Nearly 80% of the Co-operative Housing Societies had not received the Conveyance of land and building in their favour from the Builder. The amendments were to be carried out in the Maharashtra Ownership Flats Act, 1963 under the auspices of a Competent Authority to hear the grievances on Conveyance by the Societies or other legal bodies in 2005. The President of India gave the assent on February 25, 2008, and it became the Law of the Land.
In June 2008, the necessary notifications were issued by the Government of Maharashtra designating the District Deputy Registrars of the Co-operative Societies as the Competent Authorities under the MOFA even after a lapse of 18 months cases were accepted by the Competent Authority. Execution & Registration of Conveyance, Deemed Conveyance, Deeds & Agreements etc..
Deemed Conveyance is an Amendment under sub- section (3) of section 11 of the Maharashtra Ownership Flats (Regulation of the Promotion of Construction, Sale, Management and Transfer) Act, 1963. The following will give you more clarity on what this is all about.
• Deemed Conveyance Amendment is applicable to the Societies that have not received Conveyance from the Land Owners & Property Developers
within 4 Months of their formation.
• The aggrieved Society shall make a Deemed Conveyance Application to the Competent Authority designated by Government of Maharashtra.
• The Deemed Conveyance Application of the Society shall include the Documents notified by Government of Maharashtra for Deemed
• The Competent Authority shall hear the say of the Land Owners & Property Developers.
• The Competent Authority on satisfaction shall issue the Deemed Conveyance Order & Certificate in favour of the
• The Competent Authority shall execute the Deemed Conveyance Deed on behalf of the Defaulting Land Owners & Property Developers with the Aggrieved Society.
List of Documents for Deemed Conveyance as under
- Resolution & Notice to Builder
- Development Agreement
- Power of Attorney
- Layout Plan (Blueprint)
- Commencement Certificate, if so
- Completion Certificate, if so
- 7/12 Extract
- Search Title Report
- N.A. Order & U.L.C Order
- Single copy of an Agreement (First Buyer)
- All Index- II of all flats/shops
- Architect Certificate of Area
- Society Registration Certificate