We have about 300 newly-developed flats out of which 70 are yet to be sold. We are in dire need of an association to undertake maintenance once the builder leaves. My queries are as follows:
1. Is there a CMDA rule that states a builder should form an association and hand over it to the flat owners before he leaves?
2. Do the flat owners have to form an association as per the Acts prevailing?
3. In such a case, will the owner or the builder automatically become a member of the association for unsold flats?
4. If so, what are his voting rights that are proportionate to the unsold flats or one per the flat?
5. Does he have to pay maintenance fees for all the unsold flats ?
N Santhanam
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The scope of CMDA is, amongst others, to regulate all physical developments within the Chennai Metropolitan Area in accordance with its master plan and it has no role to play in forming of associations.
The Tamilnadu Apartment Ownership Act stipulates formation of an association of apartment owners for maintaining the common areas and facilities and the common interest of the apartment owners. It further states that the administration of every property shall be governed by its bye-laws.
The Act does not specifically deal with rights (such as voting) or responsibilities (such as payment of maintenance) of the builder relating to unsold flats. The obligations of the builder in respect of unsold flats can be covered in the bye-laws of the association and implemented accordingly.
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