SC strikes down WB law on regulating real estate, holds it unconstitutional

The court said that homebuyers', who purchased properties under the state law before today's verdict, will not have to worry as their registration and other acts would remain valid.

By: PTI
New Delhi | May 4, 2021 12:53 PM IST

1 min read

"The state law has encroached upon domain of Parliament," the verdict said.

The Supreme Court on Tuesday struck down West Bengal’s law on regulating the real estate sector in the state, and said it was “unconstitutional” as the statute encroached upon the Centre’s Real Estate (Regulation and Development) Act,.

A bench of justices D Y Chandrachud and M R Shah said the West Bengal Housing Industry Regulation Act (HIRA), 2017 is more or less identical to the Centre’s RERA and hence repugnant to Parliament’s law.

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“The state law has encroached upon domain of Parliament,” the verdict said.

It, however, said that homebuyers’, who purchased properties under the state law before today’s verdict, will not have to worry as their registration and other acts would remain valid.

The judgement came on a plea of ‘Forum For People’s Collective Efforts’ , an homebuyers association, challenging the constitutional validity of the West Bengal Housing Industry Regulation Act, 2017, which is more or less identical to the Centre’s RERA.

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