How important is Occupation Certificate | Complications Which May Arise Due to Early Possession


Occupation Certificate is a very important document issued by the Municipal Authorities to the Builder after the completion of a building for certifying that the construction of the building is in the compliance of the building codes and laws. Formalities like getting the Occupation certificate are very important when it comes to complete the official process of following norms.

How important is Occupation Certificate | Complications Which May Arise Due to Early Possession


Occupation Certificate (OC) is a very important document issued by the Municipal Authorities to the Builder after the completion of a building for certifying that the construction of the building is in the compliance of the building codes and laws. Very often, Buyers in a hassle of early possession take the charge of a flat within the new construction. This could be done by a buyer for several reasons, few could be:

- The buyer doesn't have a place to accommodate himself and needs early possession.
- The buyer doesn't wish to pay for the house rent, which he needs to temporarily.
- The buyer wants an immediate possession of the newly constructed flat.
- The buyer depends on the 'muhurat' or 'thithi' for the flat possession and wants to shift in the house during the auspicious muhurat.
- The buyer has to begin the furniture work in this newly said flat before entry.

All these reasons, significant or not compel the buyer to approach a builder for early possession and thus the builders grant possession to the flat, which is yet to complete formalities. Formalities like getting the Occupation certificate are very important when it comes to complete the official process of following norms. Not only the builder but even a buyer of the flat should know how important Occupation Certificate to avoid possible complications is. But one may face major trouble other than the builder would be a buyer, who fails to follow his proceedings and compel the builder to issue possession to the flat without getting the certificate of occupancy.

Complications which may arise for buyers without access to Certificate of Occupancy


Complications that may arise for the buyers, if the newly constructed building doesn't have access to a Occupation certificate would be as follows:

Risky Construction: Very often, the construction may fail to follow the norms stated by the Municipal authorities and thus certificate of occupancy may not be granted to the builder for a newly constructed building. Such complications arise in many cases, when the builder exceeds the permissible Floor Index, specified to him for the construction. Is so done, then the builder will not be issued a Certificate for Occupancy or will be fined penalty for failing to follow the norms. However in such conditions the buyers are in a real fix because they will not be in a position to argue with the builder. If the builder decides to just walk out without paying the penalty, the buyers who forced for early possession, may just have nothing in their hand. This may be one of the complications which may arise due to early possession of a newly constructed flat, which is yet to comply required norms, set by municipal authorities.

Eviction: Mostly buyer who seek for early possession, hand over a letter to the builder saying so. In such circumstances, a builder is always in a position to hold his head high. He may anytime make his stand clear by mentioning that the flat was not given by him to the buyers, but they had asked for an early possession. This may put the buyers in a fix again, as they may have to face the municipal authorities and could also face eviction. Due to such circumstances, a buyer may not be in a position to confront the builder and would hesitate taking him to court.

Water Problems: Since the newly constructed building is yet to get possession of the Certificate of Occupancy, water connection is not yet done. This could lead to few problems. The buyers may have to use water brought by tankers. Now that could be an additional cost, if the builder cuts himself out from it. The residents of the newly constructed building, which is yet to get the occupation certificate, will have to shelve out a fixed amount monthly for the water supply by tankers.

Legal Procedures: Now since this decision of early possession has been taken by the buyers, the ultimate responsibilities fall on the buyers when it comes to taking legal action against builders. The buyers may have to follow complicated legal procedures to form a housing society, fight with the builder and also to approach the municipal authorities. The buyers may have to contribute a hefty amount to get access to the Occupancy certificate by paying the penalty amount which was initially charged to the builder.

These could be few of the complications which may arise due to early possession of a newly constructed flat, which is yet to comply required norms, set by municipal authorities. Ultimately, what happens is that a buyer pays a big price for the steps that he took initially for getting early possession of the flat. Hence it's better to refuse the possession of any newly constructed flat which is yet to get the Certificate of occupancy.


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