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

New Delhi, May 4

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

A bench of Justices DY Chandrachud and MR 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.

“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 Tuesday’s verdict, would 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’, a 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. PTI