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MahaRERA – Powers to Cancel Registered Agreement at the Instance of Promoter

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Judgment dated 6.10.2025 of the Bombay High Court (OS) in Writ Petition (L) No.18256 of 2025 of Macrotech Developers Ltd   Vs. Joint Sub-Registrar and others

The petitioner is the promoter and the respondent nos.4 and 5 are the allotteees of the flat in Lodha Belimondo project vide registered agreement agreement of sale dated 9.5.2018.

On 13.5.2021, the petitioner issued termination notice for defaults of the allottees and thereafter, filed section 31 complaint before RERA.   This complaint was allowed vide final order dated 14.8.2024.

Since the respondent nos.4 and 5 did not comply with the said order, the petitioner filed execution application under section 40 of the RERA. The Executing Court suo motu issued directions to the Sub-Registrar, Respondent NO.1 to cancel the said Agreement for Sale.

However, by the letter dated 13.2.2025, the respondent no.1 refused to comply with the order on the ground that MahaRERA did not have the power to unilaterally cancel the registered instrument.

MahaRERA Overreach – Powers to order cancellation of registered agreement

The powers to order unilateral cancellation of the registered agreement lies in the competent court under Section 31 of the Specific Relief Act and not with MahaRERA unless the agreement is void or voidable.

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