GOVER

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No. DOH 8 RERA 2017

The following draft of K

(Agreement for Sale) Rules, 20

in exercise of the powers conferr

section 13 of the Real Estate (Re

all other powers enabling it in t

persons likely to be affected there

be taken into consideration by th

2020.

Any objections / suggestio

post, which may be received

Department, Government of K

Bengaluru-560001, from any per

date, will be considered by the Go

1.

Title and commencement

(1) These rules may be

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(2) Save as otherwise prov

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RNMENT OF KARNATAKA

OUSING DEPARTMENT

Karnataka Government Sec

2nd Floor, Vikasa Sou

Bengaluru, dated 6th Janua

NOTIFICATION

Karnataka Real Estate (Regulation &

020, which the Government of Karnataka pr

red by clause (h) of sub-section (2) of Sectio

egulation & Development) Act, 2016 (16 o

that behalf, is hereby published for inform

eby; and notice is hereby given that the said

he Government of Karnataka on or after th

ons, either through e-mail viz prshousing@g

by the Principal Secretary to Governm

Karnataka, Room No.211, 2nd floor, V

rson with respect to the said draft on or befo

overnment.

DRAFT RULES

t:

e called the Karnataka Real Estate (R

Amendment) Rules, 2020,

vided in these rules they shall come into forc

the official Gazette.

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JANUARY, 07, 2020 ( Pushya 17, ShakaVarsha 1941

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No.03

2

2.

Amendment of rule 8: In the Karnataka Real Estate (Regulation and Development)

Rules, 2017 (hereinafter referred to as the said rules),

1. Insertion of new rule 8A - In the Karnataka Real Estate (Regulation and

Development) Rules, 2017 (hereinafter referred to as the said rules) after rule 8, the

following shall be inserted, namely:-

(1) “8A. Agreement for Sale - (1) For the purpose of sub-section (2) of

section 13 of the Real Estate (Regulation & Development) Act 2016,

the agreement for sale shall be in the Format as per Annexure-A.

(2) Any application, letter of allotment, letter or any other document

signed by the allottee, in respect of the apartment, plot or building,

prior to the execution and registration of the agreement for sale for

such apartment, plot or building, as the case may be, shall not be

construed to limit the rights and interests of the allottee under the

agreement for sale or under the Act.”

2. Insertion of Annexure-A - After the Form I of the said rules the following annexure

shall be inserted, namely:-

“ANNEXURE-A”

(see sub rule (1) of rule 8A)

AGREEMENT FOR SALE

This Agreement for Sale (“Agreement”) executed on this ___ (Date) day of ____

(Month) ,20___

By and Between

[If the promoter is a company]

(CIN no.

), a company incorporated under the provisions of the

Companies Act, [1956 or 2013], (Central Act 18 of 2013), as the case may be], having its

registered office

at ___________ and its corporate office at ______________ (PAN

______________), represented by its authorized signatory ___________ (Aadhar no.

) authorized vide board resolution dated __________ hereinafter referred to as the

“Promoter” (which expression shall unless repugnant to the context or meaning thereof

be deemed to mean and include its successor-in-interest, executors, administrators and

permitted assignees);

[OR]

[If the promoter is a Partnership firm]

___________________ a partnership firm registered under the Indian Partnership Act,

1932 having its principal place of business at __________, (PAN ___________),

represented by its authorized Partner

, (Aadhar no.

)

authorized

3

vide ________, hereinafter referred to as the “Promoter” (which expression shall unless

repugnant to the context or meaning thereof be deemed to mean and include the partners

or partner for the time being of the said firm, the survivor or survivors of them and their

heirs, executors, administrators of the last surviving partner and his/her/their assigns).

[OR]

[If the promoter is an Individual]

Mr. / Ms. _________________, (Aadhaar no. _______________) son / daughter of

_____________,

aged

about

___________,

residing,

at

____________________________________ (PAN ____________________), hereinafter

called the “Promoter” (which expression shall unless repugnant to the context or meaning

thereof be deemed to mean and include his/ her heirs, executors, administrators, successors-

in-interest and permitted assigns).

[OR]

[If the Promoter is a Development Authority / any other public body / registered society /

etc]

__________________________, (Reg. No. _________) a _____________ registered under

the provisions of the _______________ (mention the relevant Act/Rules), as the case may

be), having its registered office at ________________________________, (PAN

________________), represented by its authorized signatory, __________________,

(Aadhaar no. __________________) duly authorized vide organization’s resolution dated

____________, hereinafter referred to as the “Promoter” (which expression shall unless

repugnant to the context or meaning thereof be deemed to mean and include its successor-

in-interest, and permitted assigns).

AND

[If the Allottee is a company]

, ( CIN no. _________________) a company incorporated under the

provisions of the Companies Act, [1956 or 2013, as the case may be], having its registered

office at _________________, (PAN _______________), represented by its authorized

signatory,

, (Aadhar no.

) duly authorized vide board

resolution dated

, hereinafter referred to as the “Allottee” (which expression

shall unless repugnant to the context or meaning thereof be deemed to mean and

include its successor-in-interest and permitted assignees).

[OR]

[If the Allottee is a Partnership]

______________, a partnership firm registered under the Indian Partnership Act, 1932,

having its principal place of business at

,

(PAN

________________),

represented by its authorized partner,

, (Aadhar no. _____________) authorized

vide _________________, hereinafter referred to as the “Allottee” (which expression shall

4

unless repugnant to the context or meaning thereof be deemed to mean and include the

partners or partners for the time being of the said firm, the survivor or survivors of them and

their heirs, executors and administrators of the last surviving partner and his / her/ their

assigns).

[OR]

[If the Allottee is an Individual]

Mr. / Ms. _______________, (Aadhar no. ________________) son/ daughter of

_______________, aged about ___________, residing at _________________, (PAN

_______________), hereinafter called the “Allottee” (which expression shall unless

repugnant to the context or meaning thereof be deemed to mean and include his/her heirs,

executors, administrators, successors-in-interest and permitted assigns).

[OR]

[If the Allottee is a HUF]

Mr. __________________ , (Aadhar no. ___________) son of _______________ aged

about _______ for self and as the Karta of the Hindu Joint Mitakshara Family

known as ____________ HUF, having its place of business / residence at

______________________________, (PAN ___________________), hereinafter referred

to as the “Allottee” (which expression shall unless repugnant to the context or meaning

thereof be deemed to mean and the members or member for the time being of the said HUF,

and their respective heirs, executors, administrators and permitted assigns).

[Please insert details of other allottee(s), in case of more than one allottee]

The Promoter and Allottee shall hereinafter collectively be referred to as the “Parties”

and individually as a “Party”.

DEFINITIONS:

For the purpose of this Agreement for Sale, unless the context otherwise requires,-

(a) “Act” means the Real Estate (Regulation and Development) Act, 2016 (16 of 2016);

(b) “appropriate Government” means the State Government of Karnataka;

(c) “Rules” means the Karnataka Real Estate (Regulation and Development) Rules, 2017

(d) “Regulations” means the Regulations made under the Real Estate (Regulation and

Development) Act, 2016;

(e) “section” means a section of the Act.

WHEREAS:

5

A. The Promoter is the absolute and lawful owner of [khasra nos./ survey nos.]

[Please insert land details as per local laws] __________ totally admeasuring

________ square meters situated at _________ in Village & Hobli ____________

(“Said Land”) vide sale deed(s) dated __________ registered as documents no.

___________ at the office of the Sub-Registrar;

[OR]

________________ (“Owner”) is the absolute and lawful owner of [khasra nos./ survey

nos.] [Please insert land details as per local laws] _______ totally admeasuring

______ square meters situated at ___________ Village & Hobli ____________ (“Said

Land”) vide sale deed(s) dated ________ registered as documents No. _________ at the

office of the Sub-Registrar. The Owner and the Promoter have entered into a

[collaboration / development / joint development] agreement dated ________ registered

as document No. ________ at the office of the Sub-Registrar;

B. The

Said

Land

is

earmarked

for

the

purpose

of

building

a

[commercial/residential/any other purpose] project, comprising ____________

multistoried apartment buildings and [insert any other components of the

Projects] and the said project shall be known as ‘ ______________

’

(“Project”);

[OR]

The Said Land is earmarked for the purpose of plotted development of a

[commercial/residential/any other purpose] project, comprising _______________ plots

and [insert any other components of the Projects] and the said project shall be

known as ‘______________________’ (“Project”):

Provided that where land is earmarked for any institutional development the same

shall be used for those purposes only and no commercial/residential development

shall be permitted unless it is a part of the plan approved by the competent authority;

C. The Promoter is fully competent to enter into this Agreement and all the legal

formalities with respect to the right, title and interest of the Promoter regarding the

Said Land on which Project is to be constructed have been completed;

D. The _____________ [Please insert the name of the concerned competent authority]

has granted the commencement certificate to develop the Project vide approval dated

_________ bearing registration no __________;

E. The Promoter has obtained the final layout plan, sanctioned plan, specifications

and approvals for the Project and also for the apartment, plot or building, as the case

may be, from __________________ [Please insert the name of concerned competent

authority]. The Promoter agrees and undertakes that it shall not make any changes to

these approved plans except in strict compliance with section 14 of the Act and other

laws as applicable;

6

F. The Promoter has registered the Project under the provisions of the Act with the

_______________ (Name of Union Territory) Karnataka Real Estate Regulatory

Authority at _____________ on ___________ under registration no. ____________,.

G. The Allottee had applied for an apartment in the Project vide application no.

_______________ dated ___________ and has been allotted apartment no. _________

having carpet area of __________square feet, type _______, on ______ floor in

[tower/block/building] no. ________ (“Building”) along with garage/covered parking

no. ________ admeasuring ___________ square feet in the ___________ [Please insert

the location of the garage/covered parking], as permissible under the applicable law

and of pro rata share in the common areas (“Common Areas”) as defined under

clause (n) of Section 2 of the Act (hereinafter referred to as the “Apartment” more

particularly described in Schedule A and the floor plan of the apartment is

annexed hereto and marked as Schedule B);

[OR]

The Allottee had applied for a plot in the Project vide application no. _________ dated

__________ and has been allotted plot no. ______ having area of ______ square feet

and plot for garage / covered parking admeasuring ________ square feet (if applicable)]

in the _________ [Please insert the location of the garage/covered parking], as

permissible under the applicable law and of pro rata share in the common areas

(“Common Areas”) as defined under clause (n) of Section 2 of the Act (hereinafter

referred to as the “Plot” more particularly described in Schedule A);

H. The Parties have gone through all the terms and conditions set out in this Agreement

and understood the mutual rights and obligations detailed herein;

I. _________________________________

[Please

enter

any

additional

disclosures/details]

J. The Parties hereby confirm that they are signing this Agreement with full knowledge

of all the laws, rules, regulations, notifications, etc., applicable to the Project;

K. The Parties, relying on the confirmations, representations and assurances of each other

to faithfully abide by all the terms, conditions and stipulations contained in this

Agreement and all applicable laws, are now willing to enter into this Agreement on

the terms and conditions appearing hereinafter;

L. In accordance with the terms and conditions set out in this Agreement and as

mutually agreed upon by and between the Parties, the Promoter hereby agrees to

sell and the Allottee hereby agrees to purchase the [Apartment/Plot] and the

garage/covered parking (if applicable) as specified in para G;

NOW THEREFORE, in consideration of the mutual representations, covenants,

assurances, promises and agreements contained herein and other good and valuable

consideration, the Parties agree as follows:

7

1.

TERMS:

1.1

Subject to the terms and conditions as detailed in this Agreement, the

Promoter agrees to sell to the Allottee and the Allottee hereby agrees to

purchase, the [Apartment/Plot] as specified in para G.

1.2

The Total Price for the [Apartment/Plot] based on the carpet area

is Rs. ______ (Rupees ___________ only ("Total Price") (Give break up and

description):

Block / Building / Tower no.

_________ Apartment no.

Type _____________

Floor ____________

Rate of Apartment per square

feet*

Total price (in rupees)

___________________

*Provide break-up of the amounts such as cost of apartment, cost of exclusive

balcony or verandah areas, cost of exclusive open terrace areas, proportionate cost of

common areas, preferential location charges, taxes, maintenance charges as per para

11 etc., if/as applicable.

[AND] [if/as applicable]

Garage/Covered parking – 1

Price for 1

Garage/ Covered parking – 2

Price for 2

Total price (in rupees)

_____________________

[OR]

Plot No. __________

Type __________

Rate of Plot per square feet*

Total price (in rupees)

_____________________

*Provide break-up of the amounts such as cost of plot, proportionate cost of common

areas, taxes, maintenance charges as per para 11 etc., if/ as applicable.

[AND] [if/as applicable]

Garage/Covered parking – 1

Price for 1

Garage/ Covered parking – 2

Price for 2

Total price (in rupees)

_____________________

Explanation:

8

(i) The Total Price above includes the booking amount paid by the allottee to the

Promoter towards the [Apartment/Plot];

(ii) The Total Price above includes Taxes (consisting of tax paid or payable by the

Promoter by way of Value Added Tax, Service Tax, and Cess or any other

similar taxes which may be levied, in connection with the construction of the

Project payable by the Promoter, by whatever name called) up to the date of

handing over the possession of the apartment/plot to the allottee and the project

to the association of the Allottees or the competent authority, has the case may be,

after obtaining the completions certificate;

Provided that in case there is any change / modification in the taxes, the

subsequent amount payable by the allottee to the promoter shall be

increased/reduced based on such change / modification:

Provided further that if any increase in the taxes after the expiry of the schedule

date of completion of the project as per registration with the authority which shall

include the extension of registration, if any, granted to the said project by the

Authority as per the Act, the same shall not be charged from the allottee;

(iii) The Promoter shall periodically intimate in writing to the Allottee, the amount

payable as stated in (i) above and the Allottee shall make payment demanded by

the Promoter within the time and in the manners specified therein. In addition,

the Promoter shall provide to the Allottee the details of the taxes paid or

demanded along with the acts/rules/notifications together with dates from which

such taxes/levies etc. have been imposed or become effective;

(iv) The Total Price of [Apartment/Plot] includes recovery of price of land,

construction of [not only the Apartment but also] the Common Areas, internal

development charges, external development charges, taxes, cost of providing

electric wiring, electrical connectivity to the apartment, lift, water line and

plumbing, finishing with paint, marbles, tiles, doors, windows, fire detection and

firefighting equipment in the common areas, maintenance charges as per para 11

etc. and includes cost for providing all other facilities, amenities and specifications

to be provided within the [Apartment/Plot] and the Project.

1.3 The Total Price is escalation-free, save and except increases which the Allottee

hereby agrees to pay, due to increase on account of development charges

payable to the competent authority and/or any other increase in charges which

may be levied or imposed by the competent authority from time to time. The

Promoter undertakes and agrees that while raising a demand on the Allottee for

increase in development charges, cost/charges imposed by the competent

authorities, the Promoter shall enclose the said notification/order/rule/regulation

to that effect along with the demand letter being issued to the Allottee, which

shall only be applicable on subsequent payments. Provided that if there is any

new imposition or increase of any development charges after the expiry of the

scheduled date of completion of the project as per registration with the Authority,

which shall include the extension of registration, if any, granted to the said project

by the Authority, as per the Act, the same shall not be charged from the allottee.

9

1.4

The Allottee(s) shall make the payment as per the payment plan set out in

Schedule C (“Payment Plan”).

1.5

The Promoter may allow, in its sole discretion, a rebate for early payments of

installments payable by the Allottee by discounting such early payments @

____% per annum for the period by which the respective installment has been

preponed. The provision for allowing rebate and such rate of rebate shall not

be subject to any revision/withdrawal, once granted to an Allottee by the

Promoter.

1.6

It is agreed that the Promoter shall not make any additions and alterations in

the sanctioned plans, layout plans and specifications and the nature of fixtures,

fittings and amenities described herein at Schedule ‘D’ and Schedule ‘E’ (which

shall be in conformity with the advertisement, prospectus etc., on the basis of

which sale is effected) in respect of the apartment, plot or building, as the case

may be, without the previous written consent of the Allottee as per the provisions

of the Act. Provided that the Promoter may make such minor additions or

alterations as may be required by the Allottee, or such minor changes or

alterations as per the provisions of the Act.

1.7

[Applicable in case of an apartment] The Promoter shall confirm to the final

carpet area that has been allotted to the Allottee after the construction of the

Building is complete and the occupancy certificate* is granted by the competent

authority, by furnishing details of the changes, if any, in the carpet area. The total

price payable for the carpet area shall be recalculated upon confirmation by the

Promoter. If there is any reduction in the carpet area then t h e Promoter shall

refund the excess money paid by Allottee within forty-five days with annual

interest at the rate prescribed in the Rules, from the date when such an excess

amount was paid by the Allottee. If there is any increase in the carpet area, which

is not more than three percent of the carpet area of the apartment, allotted to

Allottee, the Promoter may demand that from the Allottee as per the next

milestone of the Payment Plan as provided in Schedule-C. All these monetary

adjustments shall be made at the same rate per square feet as agreed in para

1.2 of this Agreement.

1.8

Subject to para 9.3 the Promoter agrees and acknowledges, the Allottee shall

have the right to the [Apartment/Plot] as mentioned below:

(i) The Allottee shall have exclusive ownership of the [Apartment/Plot];

(ii) The Allottee shall also have undivided proportionate share in the

Common Areas. Since the share / interest of Allottee in the Common

Areas is undivided and cannot be divided or separated, the Allottee shall

use the Common Areas along with other occupants, maintenance staff

etc., without causing any inconvenience or hindrance to them. It is

clarified that the promoter shall hand over the common areas to the

association of allottees after duly obtaining the completion certificate

from the competent authority as provided in the Act;

10

(iii) That the computation of the price of the [Apartment/Plot] includes

recovery of price of land, construction of [not only the Apartment but

also] the Common Areas, internal development charges, external

development charges, taxes, cost of providing electric wiring, electrical

connectivity to the apartment, lift, water line and plumbing, finishing with

paint, marbles, tiles, doors, windows, fire detection and firefighting

equipment in the common areas, maintenance charges as per para 11

etc. and includes cost for providing all other facilities, amenities and

specifications to be provided within the [Apartment/Plot] and the Project;

(iv) The Allottee has the right to visit the project site to assess the extent of

development of the project and his apartment/plot, as the case may be.

1.9

It is made clear by the Promoter and the Allottee agrees that the

[Apartment/Plot] along with _________ garage/covered parking shall be

treated as a single indivisible unit for all purposes. It is agreed that the Project

is an independent, self-contained Project covering the said Land and is not a

part of any other project or zone and shall not form a part of and/or/

linked/combined with any other project in its vicinity or otherwise except for

the purpose of integration of infrastructure for the benefit of the Allottee. It is

clarified that Project’s facilities and amenities shall be available only for use

and enjoyment of the Allottees of the Project.

1.10 The Promoter agrees to pay all outgoings before transferring the physical

possession of the apartment to the Allottees, which it has collected from

the Allottees, for the payment of outgoings (including land cost, ground

rent, municipal or other local taxes, charges for water or electricity,

maintenance charges, including mortgage loan and interest on mortgages or

other encumbrances and such other liabilities payable to

competent

authorities, banks and financial institutions, which are related to the project).

If the Promoter fails to pay all or any of the outgoings collected by it from

the Allottees or any liability, mortgage loan and interest thereon before

transferring the apartment to the Allottees, the Promoter agrees to be liable,

even after the transfer of the property, to pay such outgoings and penal

charges, if any, to the authority or person to whom they are payable and be

liable for the cost of any legal proceedings which may be taken therefor by

such authority or person.

1.11 The

Allottee

has

paid

a

sum

of

Rs.

_______

(Rupees

______________________________________________ only) as booking

amount being part payment towards the Total Price of the [Apartment/Plot]

at the time of application the receipt of which the Promoter hereby

acknowledges and the Allottee hereby agrees to pay the remaining price of

the [Apartment/Plot] as prescribed in the Payment Plan [Schedule C] as

may be demanded by the Promoter within the time and in the manner

specified therein:

11

Provided that if the allottee delays in payment towards any amount for

which is payable; he shall be liable to pay interest at the rate specified in the

Rules.

2.

MODE OF PAYMENT:

Subject to the terms of the Agreement and the Promoter abiding by the

construction milestones, the Allottee shall make all payments, on written demand

by the Promoter, within the stipulated time as mentioned in the Payment Plan

[Schedule C] through A/c Payee cheque/demand draft/bankers cheque or online

payment (as applicable) in favour of ‘_________________’ payable at

________________.

3.

COMPLIANCE OF LAWS RELATING TO REMITTANCES:

3.1

The Allottee, if resident outside India, shall be solely responsible for

complying with the necessary formalities as laid down in Foreign Exchange

Management Act, 1999, Reserve Bank of India Act, 1934 and the Rules and

Regulations made thereunder or any statutory amendment(s) modification(s)

made thereof and all other applicable laws including that of remittance of

payment acquisition/sale/transfer of immovable properties in India etc. and

provide the Promoter with such permission, approvals which would enable

the Promoter to fulfill its obligations under this Agreement. Any refund,

transfer of security, if provided in terms of the Agreement shall be made in

accordance with the provisions of Foreign Exchange Management Act, 1999

or the statutory enactments or amendments thereof and the Rules and

Regulations of the Reserve Bank of India or any other applicable law.

The Allottee understands and agrees that in the event of any failure on

his/her part to comply with the applicable guidelines issued by the Reserve

Bank of India, he/she may be liable for any action under the Foreign

Exchange Management Act, 1999 or other laws as applicable, as amended

from time to time.

3.2

The Promoter accepts no responsibility in regard to matters specified in para

3.1 above. The Allottee shall keep the Promoter fully indemnified and

harmless in this regard. Whenever there is any change in the residential status

of the Allottee subsequent to the signing of this Agreement, it shall be the

sole responsibility of the Allottee to intimate the same in writing to the

Promoter immediately and comply with necessary formalities if any under

the applicable laws. The Promoter shall not be responsible towards any third

party making payment/remittances on behalf of any Allottee and such third

party shall not have any right in the application/allotment of the said

apartment applied for herein in any way and the Promoter shall be issuing

the payment receipts in favour of the Allottee only.

12

4.

ADJUSTMENT/APPROPRIATION OF PAYMENTS:

The Allottee authorizes the Promoter to adjust/appropriate all payments made by

him/her under any head(s) of dues against lawful outstanding of the allottee against the

[Apartment/Plot], if any, in his/her name and the Allottee undertakes not to

object/demand/direct the Promoter to adjust his payments in any manner.

5.

TIME IS ESSENCE:

The Promoter shall abide by the time schedule for completing the project as disclosed at

the time of registration of the project with the Authority and towards handing over the

[Apartment/Plot] to the Allottee and the common areas to the association of the allottees

or the competent authority, as the case may be.

6.

CONSTRUCTION OF THE PROJECT/APARTMENT:

The Allottee has seen the proposed layout plan, specifications, amenities and facilities

of [Apartment/Plot] and accepted the floor plan, payment plan and the specifications,

amenities and facilities [annexed along with this Agreement] which has been approved

by the competent authority, as represented by the Promoter. The Promoter shall

develop the Project in accordance with the said layout plans, floor plans and

specifications, amenities and facilities. Subject to the terms in this Agreement, the

Promoter undertakes to strictly abide by such plans approved by the competent

Authorities and shall also strictly abide by the bye-laws, FAR and density norms

and provisions prescribed by the _____________ [Please insert the relevant State laws]

and shall not have an option to make any variation /alteration /modification in such

plans, other than in the manner provided under the Act, and breach of this term by

the Promoter shall constitute a material breach of the Agreement.

7.

POSSESSION OF THE APARTMENT/PLOT:

7.1

Schedule for possession of the said [ Apartment/Plot] - The Promoter

agrees and

understands that timely delivery of possession of the

[ Apartment/Plot] to the allottee and the common areas to the association of

allottees or the competent authority, as the case may be, is the essence of the

Agreement. The Promoter assures to hand over possession of the

[ Apartment/Plot] along with ready and complete common areas with all

specifications, amenities and facilities of the project in place on

____________________, unless there is delay or failure due to war, flood,

drought, fire, cyclone, earthquake or any other calamity caused by nature

affecting the regular development of the real estate project (“Force

Majeure”). If, however, the completion of the Project is delayed due to the

Force Majeure conditions then the Allottee agrees that the Promoter shall

be entitled to the extension of time for delivery of possession of the

[ Apartment/Plot], provided that such Force Majeure conditions are not of

a nature which make it impossible for the contract to be implemented. The

Allottee agrees and confirms that, in the event it becomes impossible for

the Promoter to implement the project due to Force Majeure conditions,

13

then this allotment shall stand terminated and the Promoter shall refund

to the Allottee the entire amount received by the Promoter from the

allotment within 45 days from that date. The Promoter shall intimate the

allottee about such termination at least thirty days prior to such

termination. After refund of the money paid by the Allottee, the Allottee

agrees that he/she shall not have any rights, claims etc. against the Promoter

and that the Promoter shall be released and discharged from all its

obligations and liabilities under this Agreement.

7.2

Procedure for taking possession - The Promoter, upon obtaining the

occupancy certificate* from the competent authority shall offer in writing

the possession of the [ Apartment/Plot], to the Allottee in terms of this

Agreement to be taken within two months from the date of issue of

occupancy certificate. [Provided that, in the absence of local law, the

conveyance deed in favour of the allottee shall be carried out by the Promoter

within 3 months from the date of issue of occupancy certificate]. The

Promoter agrees and undertakes to indemnify the allottee in case of failure of

fulfillment of any of the provisions, formalities, documentation on part of the

promoter. The Allottee, after taking the possession, agree(s) to pay the

maintenance charges as determined by the Promoter/association of allottees,

as the case may be after the issuance of the completion certificate for the

project. The promoter shall hand over the occupancy certificate of the

apartment/plot, as the case may be, to the allottee at the time of conveyance

of the same time.

7.3

Failure of Allottee to take Possession of [Apartment/Plot] - Upon receiving a

written intimation from the Promoter as per para 7.2, the Allottee shall take

possession of the [Apartment/Plot] from the Promoter by executing

necessary indemnities, undertakings and such other documentation as

prescribed in this Agreement, and the Promoter shall give possession of

the [Apartment/Plot] to the allottee. In case the Allottee fails to take

possession within the time provided in para 7.2, such Allottee shall continue

to be liable to pay maintenance charges as specified in para 7.2.

7.4

Possession by the Allottee - After obtaining the occupancy certificate* and

handing over physical possession of the [Apartment/Plot] to the Allottees,

it shall be the responsibility of the Promoter to hand over the necessary

documents and plans, including common areas, to the association of

Allottees or the competent authority, as the case may be, as per the local

laws. [Provided that, in the absence of any local law, the promoter shall

handover the necessary documents and plans, including common areas, to the

association of allottees or the competent authority, as the case may be, within

thirty days after obtaining the completion certificate].

7.5

Cancellation by Allottee – The Allottee shall have the right to

cancel/withdraw his allotment in the Project as provided in the Act:

Provided that where the allottee proposes to cancel/withdraw from the

project without any fault of the promoter, the promoter herein is entitled to

14

forfeit the booking amount paid for the allotment. The balance amount of

money paid by the allottee shall be returned by the promoter to the allottee

within 45 days of such cancellation.

7.6

Compensation - The Promoter shall compensate the Allottee in case of any

loss caused to him due to defective title of the land, on which the

project is being developed or has been developed, in the manner as

provided under the Act and the claim for interest and compensation under

this provision shall not be barred by limitation provided under any law for

the time being in force.

Except for occurrence of a Force Majeure event, if the promoter fails to

complete or is unable to give possession of the [Apartment/Plot] (i) in

accordance with the terms of this Agreement, duly completed by the date

specified i n para 7.1; or (ii) due to discontinuance of his business as a

developer on account of suspension or revocation of the registration under

the Act; or for any other reason; the Promoter shall be liable, on demand to

the allottees, in case the Allottee wishes to withdraw from the Project,

without prejudice to any other remedy available, to return the total amount

received by him in respect of the [Apartment/Plot], with interest at the

rate prescribed in the Rules including compensation in the manner as

provided under the Act within forty-five days of it becoming due. Provided

that where if the Allottee does not intend to withdraw from the Project, the

Promoter shall pay the Allottee interest at the rate prescribed in the Rules for

every month of delay, till the handing over of the possession of the

[Apartment/Plot], which shall be paid by the promoter to the allottee within

forty-five days of it becoming due.

8.

REPRESENTATIONS AND WARRANTIES OF THE PROMOTER:

The Promoter hereby represents and warrants to the Allottee as follows:

(i) The [Promoter] has absolute, clear and marketable title with respect to the said Land;

the requisite rights to carry out development upon the said Land and absolute,

actual, physical and legal possession of the said Land for the Project;

(ii) The Promoter has lawful rights and requisite approvals from the competent

Authorities to carry out development of the Project;

(iii) There are no encumbrances upon the said Land or the Project;

[in case there are any encumbrances on the land provide details of such

encumbrances including any rights, title, interest and name of party in or over such

land]

(iv) There are no litigations pending before any Court of law or Authority with respect

to the said Land, Project or the [Apartment/Plot];

15

(v) All approvals, licenses and permits issued by the competent authorities with

respect to the Project, said Land and [Apartment/Plot] are valid and subsisting and

have been obtained by following due process of law. Further, the Promoter has

been and shall, at all times, remain to be in compliance with all applicable laws in

relation to the Project, said Land, Building and [Apartment/Plot] and common areas;

(vi) The Promoter has the right to enter into this Agreement and has not committed or

omitted to perform any act or thing, whereby the right, title and interest of the

Allottee created herein, may prejudicially be affected;

(vii) The Promoter has not entered into any agreement for sale and/or development

agreement or any other agreement / arrangement with any person or party with

respect to the said Land, including the Project and the said [Apartment/Plot] which

will, in any manner, affect the rights of Allottee under this Agreement;

(viii) The Promoter confirms that the Promoter is not restricted in any manner whatsoever

from selling the said [Apartment/Plot] to the Allottee in the manner contemplated in

this Agreement;

(ix) At the time of execution of the conveyance deed the Promoter shall handover

lawful, vacant, peaceful, physical possession of the [Apartment/Plot] to the

Allottee and the common areas to the Association of the allottees or the competent

authority, as the case may be;

(x) The Schedule Property is not the subject matter of any HUF and that no part

thereof is owned by any minor and/or no minor has any right, title and claim over

the Schedule Property;

(xi) The Promoter has duly paid and shall continue to pay and discharge all

governmental dues, rates, charges and taxes and other monies, levies,

impositions,

premiums,

damages

and/or

penalties

and

other

outgoings,

whatsoever, payable with respect to the said project to the competent Authorities

till the completion certificate has been issued and possession of apartment, plot or

buildings, as the case may be, along with common areas (equipped with all the

specifications, amenities and facilities) has been handed over to the allottee and the

association of allottees or the competent authority, as the case may be;

(xii) No notice from the Government or any other local body or authority or any

legislative enactment, government ordinance, order, notification (including any

notice for acquisition or requisition of the said property) has been received by or

served upon the Promoter in respect of the said Land and/or the Project.

9.

EVENTS OF DEFAULTS AND CONSEQUENCES:

9.1

Subject to the Force Majeure clause, the Promoter shall be considered

under a condition of Default, in the following events:

16

(i) Promoter fails to provide ready to move in possession of the

[Apartment/Plot] to the Allottee within the time period specified in para 7.1

or fails to complete the project within the stipulated time disclosed at the time

of registration of the project with the Authority. For the purpose of this para,

‘ready to move in possession’ shall mean that the apartment shall be in a

habitable condition which is complete in all respect including the provision

of all specifications, amenities and facilities, as agreed to between the

parties, and for which occupation certificate and completion certificate, as

the case may be, has been issued by the competent authority;

(ii) Discontinuance of the Promoter’s business as a developer on account of

suspension or revocation of his registration under the provisions of the Act

or the rules or regulations made thereunder.

9.2

In case of Default by Promoter under the conditions listed above, Allottee is

entitled to the following:

(i) Stop making further payments to Promoter as demanded by the

Promoter. If the Allottee stops making payments, the Promoter shall

correct the situation by completing the construction milestones and only

thereafter the Allottee be required to make the next payment without any

interest; or

(ii) The Allottee shall have the option of terminating the Agreement in which

case the Promoter shall be liable to refund the entire money paid by the

Allottee under any head whatsoever towards the purchase of the

apartment, along with interest at the rate prescribed in the Rules within

forty-five days of receiving the termination notice:

Provided that where an Allottee does not intend to withdraw from the

project or terminate the Agreement, he shall be paid, by the promoter,

interest at the rate prescribed in the Rules, for every month of delay till

the handing over of the possession of the [Apartment/Plot], which shall

be paid by the promoter to the allottee within forty-five days of it

becoming due.

9.3

The Allottee shall be considered under a condition of Default, on the

occurrence of the following events:

(i) In case the Allottee fails to make payments for ____________

consecutive demands made by the Promoter as per the Payment Plan

annexed hereto, despite having been issued notice in that regard the

allottee shall be liable to pay interest to the promoter on the unpaid

amount at the rate prescribed in the Rules;

(ii) In case of Default by Allottee under the condition listed above continues

for a period beyond _____________ consecutive months after notice from

the Promoter in this regard, the Promoter may cancel the allotment of

the [Apartment/Plot], in favour of the Allottee and refund the money paid

17

to him by the allottee by deducting the booking amount and the interest

liabilities and this Agreement shall thereupon stand terminated. Provided

that the promoter shall intimate the allottee about such termination at least

thirty days prior to such termination.

10.

CONVEYANCE OF THE SAID APARTMENT:

The Promoter, on receipt of Total Price of the [Apartment/Plot] as per 1.2 under the

Agreement from the Allottee, shall execute a conveyance deed and convey the title of

the [Apartment/Plot] together with proportionate indivisible share in the Common

Areas within 3 months from the date of issuance of the occupancy certificate* and

the completion certificate, as the case may be, to the allottee. [Provided that, in the

absence of local law, the conveyance deed in favour of the allottee shall be carried

out by the promoter within 3 months from the date of issue of occupancy certificate].

However, in case the Allottee fails to deposit the stamp duty and / or registration

charges within the period mentioned in the notice, the allottee authorized the

promoter to withhold registration of the conveyance deed in his/her favour till

payment of stamp duty and registration charges to the promoter is made by the

allottee.

11.

MAINTENANCE OF THE SAID BUILDING / APARTMENT / PROJECT:

The Promoter shall be responsible to provide and maintain essential services in

the Project till the taking over of the maintenance of the project by the association

of the allottees upon the issuance of the completion certificate of the project. The

cost of such maintenance has been included in the Total Price of the

[Apartment/Plot].

12.

DEFECT LIABILITY:

It is agreed that in case any structural defect or any other defect in

workmanship, quality or provision of services or any other obligations of the

Promoter as per the agreement for sale relating to such development is brought to

the notice of the Promoter within a period of 5 (five) years by the Allottee from

the date of handing over possession, it shall be the duty of the Promoter to rectify

such defects without further charge, within 30 (thirty) days, and in the event of

Promoter’s failure to rectify such defects within such time, the aggrieved

Allottees shall be entitled to receive appropriate compensation in the manner as

provided under the Act.

13.

RIGHT TO ENTER THE APARTMENT FOR REPAIRS:

The Promoter /maintenance agency /association of allottees shall have rights of

unrestricted access of all Common Areas, garages/covered parking and parking

spaces for providing necessary maintenance services and the Allottee agrees to

permit the association of Allottees and/or maintenance agency to enter into the

[Apartment/Plot] or any part thereof, after due notice and during the normal working

hours, unless the circumstances warrant otherwise, with a view to set right any

defect.

18

14.

USAGE:

Use of Basement and Service Areas: The basement(s) and service areas, if any, as

located within the _____________________ (Project name), shall be earmarked for

purposes such as parking spaces and services including but not limited to electric

sub-station, transformer, DG set rooms, underground water tanks, pump rooms,

maintenance and service rooms, fire fighting pumps and equipment’s etc. and other

permitted uses as per sanctioned plans. The Allottee shall not be permitted to use

the services areas and the basements in any manner whatsoever, other than those

earmarked as parking spaces, and the same shall be reserved for use by the

association of Allottees formed by the Allottees for rendering maintenance services.

15.

GENERAL COMPLIANCE WITH RESPECT TO THE APARTMENT:

15.1 Subject to Para 12 above, the Allottee shall, after taking possession, be solely

responsible to maintain the [Apartment /Plot] at his/her own cost, in good

repair and condition and shall not do or suffer to be done anything in or

to the Building, or the [Apartment/Plot] or the staircases, lifts, common

passages, corridors, circulation areas, atrium or the compound which may be

in violation of any laws or rules of any authority or change or alter or make

additions to the [Apartment / Plot] and keep the [Apartment / Plot] , its

walls and partitions, sewers, drains, pipe and appurtenances thereto or

belonging thereto, in good and tenantable repair and maintain the same in a

fit and proper condition and ensure that the support, shelter etc. of the

Building is not in any way damaged or jeopardized.

15.2 The Allottee further undertakes, assures and guarantees that he/she would

not put any sign-board / name-plate, neon light, publicity material or

advertisement material etc. on the face / facade of the Building or anywhere

on the exterior of the Project, buildings therein or Common Areas. The

Allottees shall also not change the colour scheme of the outer walls or

painting of the exterior side of the windows or carry out any change in

the exterior elevation or design. Further the Allottee shall not store any

hazardous or combustible goods in the [Apartment / Plot] or place any heavy

material in the common passages or staircase of the Building. The Allottee

shall also not remove any wall, including the outer and load bearing wall of

the [Apartment / Plot].

15.3 The Allottee shall plan and distribute its electrical load in conformity with

the electrical systems installed by the Promoter and thereafter the association

of Allottees and/or maintenance agency appointed by association of

Allottees. The Allottee shall be responsible for any loss or damages

arising out of breach of any of the aforesaid conditions.

19

16.

COMPLIANCE OF LAWS, NOTIFICATIONS ETC. BY PARTIES:

The parties are entering into this Agreement for the allotment of a [Apartment/Plot]

with the full knowledge of all laws, rules, regulations, notifications applicable to

the Project.

17.

ADDITIONAL CONSTRUCTIONS:

The Promoter undertakes that it has no right to make additions or to put up additional

structure(s) anywhere in the Project after the building plan, layout plan, sanction plan

and specifications, amenities and facilities has been approved by the competent

authority(ies) and disclosed, except for as provided in the Act.

18.

PROMOTER SHALL NOT MORTGAGE OR CREATE A CHARGE:

After the Promoter executes this Agreement he shall not mortgage or create a charge

on the [Apartment/Plot/Building] and if any such mortgage or charge is made or

created then notwithstanding anything contained in any other law for the time being

in force, such mortgage or charge shall not affect the right and interest of the

Allottee who has taken or agreed to take such [Apartment/Plot/Building].

19.

THE KARNATAKA APARTMENT OWNERSHIP ACT, 1972 and THE

KARNATAKA

OWNERSHIP

FLATS

(REGULATION

OF

THE

PROMOTION OF THE CONSTRUCTION, SALE, MANAGEMENT AND

TRANSFER) ACT, 1972:

The Promoter has assured the Allottees that the project in its entirety is in

accordance with the provisions of the Karnataka Apartment of Ownership Act,

1972(Karnataka Act 17 of 1973) and the Karnataka Ownership Flats (Regulation of

the Promotion of the Construction, Sale, Management and Transfer) Act, 1971. The

Promoter showing compliance of various laws/regulations as applicable in the State

of Karnataka and its revision thereafter from time to time (xx - here specify the

details………..).

20.

BINDING EFFECT:

Forwarding this Agreement to the Allottee by the Promoter does not create a

binding obligation on the part of the Promoter or the Allottee until, firstly, the

Allottee signs and delivers this Agreement with all the schedules along with the

payments due as stipulated in the Payment Plan within 30 (thirty) days from the

date of receipt by the Allottee and secondly, appears for registration of the same

before the concerned Sub-Registrar ____________ (specify the address of the Sub-

Registrar) as and when intimated by the Promoter. If the Allottee(s) fails to

execute and deliver to the Promoter this Agreement within 30 (thirty) days from the

date of its receipt by the Allottee and/or appear before the Sub-Registrar for its

registration as and when intimated by the Promoter, then the Promoter shall serve

a notice to the Allottee for rectifying the default, which if not rectified within 30

20

(thirty) days from the date of its receipt by the Allottee, application of the

Allottee shall be treated as cancelled and all sums deposited by the Allottee in

connection therewith including the booking amount shall be returned to the Allottee

without any interest or compensation whatsoever.

21.

ENTIRE AGREEMENT:

This Agreement, along with its schedules, constitutes the entire Agreement

between the Parties with respect to the subject matter hereof and supersedes any

and all understandings, any other agreements, allotment letter, correspondences,

arrangements whether written or oral, if any, between the Parties in regard to the

said apartment/plot/building, as the case may be.

22.

RIGHT TO AMEND:

This Agreement may only be amended through written consent of the Parties.

23.

PROVISIONS OF THIS AGREEMENT APPLICABLE ON ALLOTTEE OR

SUBSEQUENT ALLOTTEES:

It is clearly understood and so agreed by and between the Parties hereto that all

the provisions contained herein and the obligations arising hereunder in respect

of the [Apartment/Plot] and the project shall equally be applicable to and

enforceable against and by any subsequent Allottees of the [Apartment/Plot], in case

of a transfer, as the said obligations go along with the [Apartment/Plot] for all intents

and purposes.

24.

WAIVER NOT A LIMITATION TO ENFORCE:

24.1 The Promoter may, at its sole option and discretion, without prejudice to its

rights as set out in this Agreement, waive the breach by the Allottee in not

making payments as per the Payment Plan [Annexure C] including waiving

the payment of interest for delayed payment. It is made clear and so agreed

by the Allottee that exercise of discretion by the Promoter in the case of

one Allottee shall not be construed to be a precedent and /or binding on the

Promoter to exercise such discretion in the case of other Allottees.

24.2 Failure on the part of the Promoter to enforce at any time or for any period of

time the provisions hereof shall not be construed to be a waiver of any

provisions or of the right thereafter to enforce each and every provision.

25.

SEVERABILITY:

If any provision of this Agreement shall be determined to be void or unenforceable

under the Act or the Rules and Regulations made thereunder or under other

applicable laws, such provisions of the Agreement shall be deemed amended or

deleted in so far as reasonably inconsistent with the purpose of this Agreement

and to the extent necessary to conform to Act or the Rules and Regulations

21

made thereunder or the applicable law, as the case may be, and the remaining

provisions of this Agreement shall remain valid and enforceable as applicable at

the time of execution of this Agreement.

26.

METHOD

OF

CALCULATION

OF

PROPORTIONATE

SHARE

WHEREVER REFERRED TO IN THE AGREEMENT:

Wherever in this Agreement it is stipulated that the Allottee has to make any

payment, in common with other Allottee(s) in Project, the same shall be the

proportion which the carpet area of the [Apartment/Plot] bears to the total carpet

area of all the [Apartments/Plots] in the Project.

27.

FURTHER ASSURANCES:

Both Parties agree that they shall execute, acknowledge and deliver to the other

such instruments and take such other actions, in additions to the instruments and

actions specifically provided for herein, as may be reasonably required in order to

effectuate the provisions of this Agreement or of any transaction contemplated

herein or to confirm or perfect any right to be created or transferred hereunder or

pursuant to any such transaction.

28.

PLACE OF EXECUTION:

The execution of this Agreement shall be complete only upon its execution by the

Promoter through its authorized signatory at the Promoter’s Office, or at some other

place, which may be mutually agreed between the Promoter and the Allottee, in

________________________ after the Agreement is duly executed by the Allottee

and the Promoter or simultaneously with the execution the said Agreement shall be

registered at the office of the Sub-Registrar at _________________ (specify the

address of the Sub-Registrar). Hence this Agreement shall be deemed to have been

executed at _____________________________.

29.

NOTICES:

That all notices to be served on the Allottee and the Promoter as contemplated by

this Agreement shall be deemed to have been duly served if sent to the Allottee

or the Promoter by Registered Post at their respective addresses specified below:

___________________ Name of Allottee

___________________ (Allottee Address)

M/s ______________ Promoter name

___________________ (Promoter Address)

It shall be the duty of the Allottee and the promoter to inform each other of any

change in address subsequent to the execution of this Agreement in the above

address by Registered Post failing which all communications and letters posted at

22

the above address shall be deemed to have been received by the promoter or the

Allottee, as the case may be.

30.

JOINT ALLOTTEES:

That in case there are Joint Allottees all communications shall be sent by the

Promoter to the Allottee whose name appears first and at the address given by

him/her which shall for all intents and purposes to consider as properly served on all

the Allottees.

31.

SAVINGS:

Any application letter, allotment letter, agreement, or any other document signed by

the allottee, in respect of the apartment, plot or building, as the case may be, prior to

the execution and registration of this Agreement for Sale for such apartment, plot or

building, as the case may be, shall not be constructed to limit the rights and interest

of the allottee under the Agreement of Sale or under the Act or the rules or the

regulations made thereunder.

32.

GOVERNING LAW:

That the rights and obligations of the parties under or arising out of this

Agreement shall be construed and enforced in accordance with the Act and the

Rules and Regulations made thereunder including other applicable laws of India for

the time being in force.

33.

DISPUTE RESOLUTION.-

All or any disputes arising out or touching upon or in relation to the terms and

conditions of this Agreement, including the interpretation and validity of the

terms thereof and the respective rights and obligations of the Parties, shall be settled

amicably by mutual discussion, failing which the same shall be settled through

the adjudicating officer appointed under the Act.

[Please insert any other terms and conditions as per the contractual

understanding between the parties, however, please ensure that such additional

terms and conditions are not in derogation of or inconsistent with the terms and

conditions set out above or the Act and the Rules and Regulations made thereunder.]

IN WITNESS WHEREOF parties hereinabove named have set their respective hands

and signed this Agreement for sale at ___________________ (city/town name) in the

presence of attesting witness, signing as such on the day first above written.

23

SIGNED AND DELIVERED BY THE WITHIN NAMED:

Allottee: (including joint buyers)

(1) Signature ____________________

Name ________________________

Address ______________________

(2) Signature ____________________

Name ________________________

Address ______________________

SIGNED AND DELIVERED BY THE WITHIN NAMED

Promoter:

(1) Signature (Authorized Signatory) _______________

Name _______________________

Address _____________________

At _________________ on _________ in the presence of:

WITNESSES:

1. Signature ___________________

Name _______________________

Address _____________________

2. Signature ___________________

Name _______________________

Address _____________________

SCHEDULE ‘A’ -

PLEASE INSERT DESCRIPTION OF THE

[Apartment/Plot]

AND

THE

GARAGE/

COVERED

PARKING

(IF

APPLICABLE)

ALONG WITH BOUNDARIES IN ALL FOUR

DIRECTIONS

SCHEDULE ‘B’ -

FLOOR PLAN OF THE APARTMENT

SCHEDULE ‘C’ -

PAYMENT PLAN BY THE ALLOTTEE

Please affix

photograph

and sign

across the

photograph

Please affix

photograph

and sign

across the

photograph

Please affix

photograph

and sign

across the

photograph

24

SCHEDULE ‘D’ -

SPECIFICATIONS, AMENITIES, FACILITIES

(WHICH

ARE

PART

OF

THE

APARTMENT/PLOT)

SCHEDULE ‘E’ -

SPECIFICATIONS, AMENITIES, FACILITIES

(WHICH ARE PART OF THE PROJECT)

SCHEDULE ‘F’ -

DESCRIPTION OF THE ENTIRE PROPETY

COVERED AS PER SANCTIONED PLAN,

WITH DETAILS OF BOUNDARIES (EST,

WEST, NORTH AND SOUTH). THE AREA

SHALL

BE

MENTIONED

IN

SQUARE

METERS. IF THE SITAL AREA IS IN

IRREGULAR SHAPE TOTAL AREA SHALL

BE CALCULATED AS PER THE TOTAL

STATION SKETCH AND ENGINEERING

AREA CALCULATION.

SCHEDULE ‘G’-

DETAILS OF THE COMMON AREA.

[The ‘Schedules’ to this Agreement for Sale shall be as agreed to between the Parties]

BY ORDER AND IN THE NAME OF

THE GOVERNOR OF KARNATAKA

(C. SHIVANNA)

Under Secretary to Government-1,

Housing Department.

*or such other certificate by whatever name called issued by the competent authority.

ಮುದῢಕರು ‍ಾಗೂ ಪῢ΅ಾಶಕರು:- ಸಂಕಲ῿ಾ⁃΅ಾ⁋ಗಳು, ಕ῿ಾῇಟಕ  ಾಜῡಪತῢ, ಸ΅ಾῇ⁋ ⁓ೕಂದῢ ಮುದῢῺಾಲಯ, ⁧ಂಗಳೂರು.

R.N.I. No. KARBIL/2001/47147 POSTAL REGN. No. RNP/KA/BGS/2202/2017-19

Licensed to post without prepayment WPP No. 297

SUNIL GARDE

Digitally signed by SUNIL GARDE

Date: 2020.01.07 04:36:31

+05'30'