News: Telangana RERA: Buyers Are Allottees Without Deeds-08-05-2026

The Telangana RERA has held that buyers in a delayed Hyderabad project cannot be refused the status of allottees only because registered sale agreements were never executed, where they had paid substantial sums and been allotted flats.

The ruling came on a batch of complaints from buyers in Beccun Lifestyle at Kompally, developed by Beccun Infrastructure Limited.

According to the order, the complainants’ common grievance was that the promised completion period had lapsed and, in several cases, more than four to five years had passed since purchase, yet the project was unfinished and possession had not been given. Construction was extremely slow and irregular, and incomplete in several blocks, with no reliable timeline shared. Some buyers who lost confidence sought refunds and claimed none were made despite assurances.

The developer argued that some complainants could not be treated as allottees since no formally executed agreements for sale existed. It contended that in several cases the agreements filed were incomplete, unsigned or not legally valid. In certain matters, it said, the complainants had entered into Memoranda of Understanding as investors, making the disputes civil and contractual and a matter for the competent Civil Court.

The authority rejected this. It said the issue of receipts, acknowledgement of payments and allotment of specific units clearly established a transaction and the intention to transfer the units. Payment receipts, booking forms and allotment confirmations showed the same, it noted.

It also termed "untenable" the plea that a civil court should decide the disputes. The RE(R&D) Act is special legislation to protect homebuyers, it said, and its jurisdiction cannot be ousted by labelling a dispute contractual when the allegations concern delay, non-delivery of possession and other violations of the Act.

The authority said the agreements and representations at booking consistently indicated completion and possession in approximately 36 months. Such commitments carry statutory significance, and the promoter remains bound under Section 11(4)(a) to develop the project as per sanctioned plans and agreed timelines.

It directed the developer to complete the project in all respects strictly according to the sanctioned plan and, within 30 days, to give all allottees a clear, phase-wise, time-bound completion schedule.

For buyers allotted units on floors built without sanctioned approval, the developer must within 30 days offer alternate units of equivalent area, configuration and value in the sanctioned portion at no extra cost. Buyers have 15 days to respond. If no such unit is available or the offer is declined, the entire amount paid is to be refunded.

A list of queries has been sent to the developer.