Bombay high court
The court noted that “difficulties in land division among the societies of multiple buildings in a layout still persist”, and described the sharing process as a “hotbed of controversy”, especially where developers attempt to exploit development potential through mechanisms such as loading TDR. The court also noted the growing preference for gated communities and integrated residential complexes, which can provide better amenities and infrastructure, but said such development suffers when developers do not adhere to disclosed plans and do not convey land to each housing society. The court also directed builders to give adequate notice to flat purchasers when using transferable development rights (TDR), including disclosing the potential risk that the society may secure less land than what might be assumed from the built-up area of the building. During the hearing, the court took assistance from advocate general Milind Sathe and amicus curiae senior counsel Pravin Samdani, Girish Godbole and Naushad Engineer, along with counsel Mayur Khandeparkar and Karl Tamboly.
Sathe submitted that buyers in buildings constructed using only TDR should be informed accordingly and cannot claim parity with societies in earlier buildings constructed using the original development potential of the land.