AROMA REALTIES LIMITED

Introduction

In the competitive real estate market of Gujarat, potential buyers must navigate a multitude of options when selecting a builder. One such builder is Aroma Realties Limited. This blog post seeks to evaluate Aroma Realties Limited through their complaint history and legal outcomes, offering insights for potential buyers looking to make informed decisions.

Complaints and Legal Cases Against Aroma Realties Limited

Aroma Realties Limited has recorded two complaints against them, both of which resulted in losses for the builder. Here’s a breakdown of each case:

1. Case One: The appellant claimed that they had deposited money for a flat booking, asserting that any violation was due to ignorance and inadvertent actions. The builder, in response, claimed that there was no willful violation and offered an unconditional apology. The authority imposed a penalty of Rs. 46,000 for the violation of the RERA Act.
2. Case Two: The appellant reiterated that Aroma Realties violated Section 13(1) of the Real Estate (Regulation and Development) Act, 2016. They accused the builder of collecting more than 10% of the sale consideration from 43 unit holders while failing to register the agreement for sale. Aroma Realties defended themselves by citing circumstances like the COVID-19 pandemic, which they claimed hindered their ability to register the sale agreements. Nonetheless, the authority ruled against the builder, imposing a penalty of Rs. 25,000 for the violation.

Analysis of the Cases

Common Factors in Lost Cases

A pattern emerges from the cases Aroma Realties has lost. In both instances, the builder faced accusations of failing to comply with legal requirements set forth by the Real Estate (Regulation and Development) Act. Specifically:

• Communication and Compliance: The inability to adequately communicate the need to register sale agreements and manage client expectations contributed to the complaints.
• Legal Violations: The builder consistently faced penalties for violations related to financial transactions, indicating potential lapses in regulatory compliance.

Common Factors in Won Cases

Interestingly, while Aroma Realties lost two cases, the data suggests they also experienced instances where they provided defenses against allegations. They showed willingness to apologize and asserted that violations were not intentional. However, these defenses were unable to shift the rulings in their favor, indicating that their legal strategies might need reevaluation.

Overall Assessment

Aroma Realties Limited's track record raises critical questions for potential buyers. With two cases won and both resulting in lost cases, it’s clear that the builder may struggle with compliance in the regulatory environment of real estate. Although they did not willfully violate laws, the penalties imposed suggest areas requiring improvement in management practices and adherence to regulations.

Tips for Potential Buyers

If you are considering purchasing from Aroma Realties Limited, here are some tips:

• Research Thoroughly: Look beyond the surface. Investigate any past complaints or ongoing legal issues related to the builder.
• Ask for Documentation: Before committing to any agreement, ensure that all necessary registrations are complete and documented.
• Clarify Compliance: Engage in dialogue about how the builder intends to ensure compliance with real estate regulations moving forward.

General Tips for Selecting a Builder

Regardless of whom you choose in the future, consider the following:

• Check Reviews and Feedback: Investigate customer reviews and feedback on various platforms for insights.
• Request a Portfolio: Ask to see previous projects and client references to gauge the builder's credibility and quality of work.
• Understand Contracts: Have a clear understanding of the contract terms, especially concerning penalties and compliance issues.

Conclusion

In conclusion, while Aroma Realties Limited has made strides in the Gujarat real estate market, their history of complaints and legal challenges warrants careful consideration from potential buyers. Staying informed and conducting thorough research can mitigate risks associated with home buying, ensuring a positive and secure investment in your future.

Analysis of the cases filed against Aroma Realties Limited, where the builder lost, reveals several key themes across the disputes. The cases highlight key issues primarily revolving around non-compliance with the Real Estate (Regulation and Development) Act, 2016 (RERA Act), penalties imposed for project delays, and violations pertaining to the collection of sale consideration.

The first type of cases involves non-compliance with the RERA Act. In these cases, the builder was found to have violated provisions that govern the real estate sector. For instance, the builder collected more than 10% of the sale consideration from multiple unit holders without duly registering the agreement for sale, which is a clear breach of Section 13(1) of the RERA Act. The builder's defense often revolved around unforeseen circumstances, including the COVID-19 pandemic, but this did not stand as a valid reason for non-compliance.

Penalties for project delays also feature prominently in the cases against the builder. Although the specifics of project delays were not detailed in the summaries, the imposition of penalties indicates that Aroma Realties Limited failed to meet project timelines as mandated by the RERA Act and the expectations set during the booking process. The builder’s apologies and acknowledgments of violations suggest an attempt to rectify errors rather than contest the delays themselves.

The common reasons that people brought cases to court against Aroma Realties Limited primarily include contesting these legal violations and the resultant penalties. The builder's insufficient justification for the breaches led to a pattern of litigation that ultimately resulted in financial penalties, serving as a case in point for the legal obligations that real estate developers must uphold.

The builder lost these cases chiefly due to their inability to comply with the regulatory requirements set forth by the RERA Act. The defenses presented did not mitigate the fact that the builder had violated key provisions, and the apologies, though indicative of a willingness to make amends, did not reverse the violations or the associated penalties. These outcomes highlight the importance for builders to adhere to legal frameworks in real estate transactions and project executions.