What are the laws applicable in Real Estate business?
Real estate agents shake hands after the signing of the contract agreement is complete.

What are the laws applicable in Real Estate business?

In this Article, we will be covering the relevant laws applicable to the real estate business, along with key sections and acts:

1. The Real Estate (Regulation and Development) Act, 2016 (RERA)

  • Section 3: Registration of Real Estate Projects
  • Section 4: Application for Registration
  • Section 18: Return of Amount and Compensation

2. The Transfer of Property Act, 1882

  • Section 54: Definition of ‘Sale’
  • Section 105: Definition of ‘Lease’
  • Section 111: Determination of Lease

3. The Indian Contract Act, 1872

  • Section 10: Essential elements of a valid contract
  • Section 17: Fraud in contracts
  • Section 25: Agreements without consideration

4. The Indian Registration Act, 1908

  • Section 17: Documents that require registration
  • Section 49: Effect of non-registration of documents

5. The Income Tax Act, 1961

  • Section 80C: Deductions on housing loans
  • Section 194-IA: TDS on property purchase

6. The Goods and Services Tax (GST) Act, 2017

  • Section 7: Scope of supply in real estate
  • Section 9: Levy and collection

7. The Stamp Act, 1899

  • Section 3: Instruments chargeable with duty
  • Section 17: Time of stamping

8. The Specific Relief Act, 1963

  • Section 10: Specific performance of contracts
  • Section 14: Contracts not specifically enforceable

9. The Building and Other Construction Workers (Regulation of Employment and Conditions of Service) Act, 1996

  • Section 7: Registration of building workers as beneficiaries
  • Section 39: Safety provisions for workers

10. The Land Acquisition Act, 1894 (replaced by The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013)

  • Section 4: Notification and acquisition
  • Section 24: Compensation rights

11. The Environment Protection Act, 1986

  • Section 3: Powers to take environmental measures
  • Section 7: Prohibition of emissions beyond limits

12. The Consumer Protection Act, 2019

  • Section 2(42): Definition of “Unfair Trade Practices”
  • Section 35: Right to file a complaint for defective real estate services

13. The Easement Act, 1882

  • Section 5: Easement rights
  • Section 15: Acquisition of easement by prescription

14. The Rent Control Act (varies by state)

  • Section 11: Eviction of tenants
  • Section 13: Fair rent determination

15. The Urban Land (Ceiling and Regulation) Act, 1976 (Repealed in 1999)

  • Section 3: Prohibition on acquiring urban land beyond a ceiling limit

16. The Indian Penal Code, 1860

  • Section 420: Cheating and dishonesty in property transactions
  • Section 447: Criminal trespass

17. The Arbitration and Conciliation Act, 1996

  • Section 7: Arbitration agreement in property disputes
  • Section 34: Application for setting aside an arbitral award

18. The Securities and Exchange Board of India (SEBI) Act, 1992 (for REITs)

  • Section 11: SEBI’s role in regulating Real Estate Investment Trusts (REITs)

19. The Municipal Corporation Act (varies by state)

  • Provisions regarding construction approvals, land use

20. The Special Economic Zones Act, 2005

  • Section 15: Establishment of Special Economic Zones for real estate projects

21. The Building By-laws (varies by state)

  • Provisions regarding building standards and construction norms

22. The Foreign Exchange Management Act (FEMA), 1999

  • Section 6: Regulations on foreign investment in real estate

23. The Benami Transactions (Prohibition) Act, 1988

  • Section 3: Prohibition of benami transactions

24. The Information Technology Act, 2000

  • Section 43A: Data protection in real estate transactions

25. The Companies Act, 2013

  • Section 62: Issue of rights shares in real estate firms
  • Section 185: Loans to directors for property transactions

26. The Forest (Conservation) Act, 1980

  • Section 2: Restriction on deforestation for real estate development

27. The Factories Act, 1948

  • Section 6: Approval of factory plans related to construction

28. The Mines and Minerals (Development and Regulation) Act, 1957

  • Section 4: Licensing of minor minerals for construction

29. The Insecticides Act, 1968

  • For pest control norms in real estate projects

30. The Civil Procedure Code, 1908

  • Section 9: Jurisdiction of civil courts in property disputes
  • Section 91: Public nuisance affecting real estate

31. The Indian Evidence Act, 1872

  • Section 67: Proof of signature in real estate documents

32. The Indian Succession Act, 1925

  • Section 213: Provisions for probate related to property inheritance

33. The Public Premises (Eviction of Unauthorized Occupants) Act, 1971

  • Section 4: Eviction procedures for unauthorized occupancy

34. The Ancient Monuments and Archaeological Sites and Remains Act, 1958

  • Section 20A: Restrictions on building near protected monuments

35. The Public Liability Insurance Act, 1991

  • Mandates liability insurance for hazardous operations in real estate

36. The Water (Prevention and Control of Pollution) Act, 1974

  • Section 24: Prohibition on water pollution in real estate projects

37. The Air (Prevention and Control of Pollution) Act, 1981

  • Section 21: Restriction on emissions from construction sites

38. The Registration of Apartments Act (varies by state)

  • Section 3: Compulsory registration of apartments for sale

39. The Transfer of Development Rights (TDR) Rules (varies by state)

  • Facilitates additional construction rights for real estate projects

40. The Multi-State Co-operative Societies Act, 2002

  • Section 3: Registration of co-operative housing societies

41. The National Building Code of India, 2016

  • Provides guidelines on construction safety, fire protection, and structural design

42. The Slum Areas (Improvement and Clearance) Act, 1956

  • Section 4: Declaration of slum areas for redevelopment projects

43. The Coastal Regulation Zone (CRZ) Notification, 2011

  • Controls construction activities in coastal regions

44. The Maharashtra Housing (Regulation and Development) Act, 2012

  • Regulates housing projects and promotes transparency

45. The Delhi Apartment Ownership Act, 1986

  • Regulates apartment ownership and related rights in Delhi

46. The Bombay Provincial Municipal Corporations Act, 1949

  • Contains provisions for construction permits and municipal regulations in Maharashtra

47. The Haryana Development and Regulation of Urban Areas Act, 1975

  • Section 3: License for developing real estate in Haryana

48. The Punjab Scheduled Roads and Controlled Areas Restriction of Unregulated Development Act, 1963

  • Governs development near major roads in Punjab

49. The Karnataka Town and Country Planning Act, 1961

  • Provides for the regulation of town planning and zoning in Karnataka

50. The Tamil Nadu Urban Land (Ceiling and Regulation) Act, 1978

  • Regulates land ceilings and zoning in Tamil Nadu

51. The West Bengal Housing Industry Regulation Act, 2017

  • State-specific RERA regulation for West Bengal

52. The Chhattisgarh Apartment Ownership Act, 1976

  • Provisions for ownership and transfer of apartments in Chhattisgarh

53. The Jharkhand Building By-laws, 2016

  • Governs building standards and zoning laws in Jharkhand

54. The Gujarat Ownership Flats Act, 1973

  • Regulates the sale and management of flats in Gujarat

55. The Kerala Building Rules, 2019

  • Comprehensive building regulations specific to Kerala

56. The Rajasthan Apartment Ownership Act, 1978

  • Governs the ownership and sale of apartments in Rajasthan

57. The Meghalaya Building By-laws, 2021

  • Provides rules for sustainable building development in Meghalaya

58. The Bihar Apartment Ownership Act, 2006

  • Rules for apartment ownership and sale in Bihar

59. The Himachal Pradesh Apartment and Property Regulation Act, 2005

  • Regulates sale, management, and possession of apartments in Himachal Pradesh

60. The Odisha Apartment Ownership Act, 1982

  • Governs ownership and management of apartments in Odisha

61. The Nagaland Building Rules, 2019

  • Provides guidelines for building regulations in Nagaland

62. The Madhya Pradesh Nagar Tatha Gram Nivesh Adhiniyam, 1973

  • Governs urban planning and land use in Madhya Pradesh

63. The Manipur Municipalities Act, 1994

  • Provides regulations for land use and urban planning in Manipur

64. The Mizoram Urban and Regional Development Act, 1990

  • Rules for urban planning and land use in Mizoram

65. The Sikkim Housing and Urban Development Act, 1992

  • Governs housing and urban development in Sikkim

66. The Goa, Daman, and Diu Town and Country Planning Act, 1974

  • Regulates town planning in Goa, Daman, and Diu

67. The NCT of Delhi Laws (Special Provisions) Act, 2011

  • Addresses issues of unauthorized construction in Delhi

68. The Rajasthan Rent Control Act, 2001

  • Section 9: Provisions regarding fair rent and tenancy rights in Rajasthan

69. The Public Premises (Eviction of Unauthorized Occupants) Amendment Act, 2019

  • Amends provisions for quicker eviction of unauthorized occupants from public premises

70. The Geographical Indications of Goods (Registration and Protection) Act, 1999

  • Protects geographical indications in real estate marketing

71. The Maintenance and Welfare of Parents and Senior Citizens Act, 2007

  • Section 23: Protection of property transferred by senior citizens

72. The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement (RFCTLARR) Act, 2013

  • Section 30: Calculation of compensation for land acquisition

73. The National Highways Act, 1956

  • Section 3A: Land acquisition process for highway projects

74. The Electricity Act, 2003

  • Section 43: Obligation of the electricity board to supply power for real estate projects

75. The Indian Telegraph Act, 1885

  • Section 10: Rights for installation of telecommunication equipment in property development

76. The Underground Utilities Act (specific to some states)

  • Governs installation of underground utilities in real estate projects

77. The Disaster Management Act, 2005

  • Section 35: Ensures compliance with safety measures during construction

78. The Prevention of Money Laundering Act, 2002

  • Section 3: Provisions to prevent real estate money laundering

79. The Multi-Modal Transportation of Goods Act, 1993

  • Guidelines for logistics support in real estate developments

80. The Insurance Regulatory and Development Authority Act, 1999

  • Section 14: Provisions regarding insurance coverage for real estate projects

81. The Private Security Agencies (Regulation) Act, 2005

  • Section 4: Registration and regulation of security services in gated communities

82. The Indian Ports Act, 1908

  • Section 20: Restrictions on real estate development near ports

83. The Air Act (Prevention and Control of Pollution) Amendment, 1987

  • Regulates emissions from construction activities

84. The Waterways (Control of Pollution) Act, 1974

  • Section 24: Waterway pollution controls near real estate projects

85. The Motor Vehicles Act, 1988

  • Section 138: Parking standards for commercial real estate developments

86. The Energy Conservation Act, 2001

  • Section 14: Energy conservation codes for real estate projects

87. The Street Vendors (Protection of Livelihood and Regulation of Street Vending) Act, 2014

  • Guidelines for street vending around commercial complexes

88. The Scheduled Tribes and Other Traditional Forest Dwellers (Recognition of Forest Rights) Act, 2006

  • Section 4: Rights of forest dwellers on forest lands used for development

89. The Urban Infrastructure Trusts Act, 2004

  • Governs the formation of trusts for urban infrastructure

90. The Sewage Treatment and Water Reuse Act (varies by state)

  • Standards for sewage and water reuse in real estate

91. The Construction and Demolition Waste Management Rules, 2016

  • Mandates waste management in construction activities

92. The Plastic Waste Management Rules, 2016

  • Prohibits certain plastic usage in construction

93. The Noise Pollution (Regulation and Control) Rules, 2000

  • Section 4: Noise level standards during construction

94. The Apprentices Act, 1961

  • Governs employment of apprentices in real estate projects

95. The Contract Labour (Regulation and Abolition) Act, 1970

  • Section 7: Regulation of contract labor in construction

96. The Payment of Wages Act, 1936

  • Section 5: Timely wage payment for workers in construction

97. The Employees’ State Insurance Act, 1948

  • Section 1: Mandatory insurance coverage for construction workers

98. The Maternity Benefit Act, 1961

  • Maternity provisions for women in construction

99. The Payment of Gratuity Act, 1972

  • Section 4: Gratuity entitlements for real estate employees

100. The Unorganised Workers’ Social Security Act, 2008

  • Social security provisions for unorganized real estate workers

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