In view of the aforementioned issues faced by buyers, and the lack of standardization of the real estate
sector, the Government of India has enacted The Real Estate (Regulation and Development) Act, 2016,
with a view to regulate and promote the real estate sector, and ensure effective and transparent dealings.
The Act has come into force on 1st May 2017.
The Preamble to the Act reads, “An Act to establish the Real Estate Regulatory Authority for regulation
and promotion of the real estate sector and to ensure the sale of plots, apartments, or buildings, as the case may be, or sale of real estate projects, in an efficient and transparent manner and to protect the interest of consumers in the real estate sector and to establish an adjudicating mechanism for speedy dispute redressal and also to establish the Appellate Tribunal to hear appeals from the decisions, directions or orders of the Real Estate Regulatory Authority and the adjudicating officer and for matters connected therewith or incidental thereto”.
Under the Real Estate (Regulation and Development) Act, 2016, the Government of Haryana has notified The Haryana Real Estate (Regulation and Development) Rules, 2017 which came into force on 28.07.2017.
These have been evidently successful in the last few years, as many fraudulent builders and projects have
been strictly brought to task. Multiple orders of HRERA and HREAT, along with those of the Hon’ble
Supreme Court of India, has ensured strict compliances with the provisions of the RERDA Act, and has
ensured that the buyers can avail justice in an efficacious manner. The buyers have also been granted the
status of ‘Financial Creditors’ under IBC, 2016, to ensure quicker resolution and recovery.