Section 1: Short title, extent and commencement

Real Estate (Regulation and Development) Act, 2016 • Official Statutory Text & Practice Guide

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Legal Standard
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Act 2016

Legal Commentary & Landmark Judgments: Section 1

Section 1 provides the short title, pan-India territorial extent, and phased commencement of the Real Estate (Regulation and Development) Act, 2016 (RERA), establishing an overarching regulatory umbrella to protect homebuyer investments, ensure financial transparency, and enforce standardized project execution across India.

  • Short Title: Formally titled the Real Estate (Regulation and Development) Act, 2016 (Act 16 of 2016).
  • Territorial Extent: Extends to the whole of India; following the J&K Reorganisation Act, 2019, applies uniformly across all States and Union Territories.
  • Phased Commencement: Enacted with bifurcated enforcement dates: Sections 2, 20-39, 41-58, 71-78, 81-92 came into force on 1 May 2016, while the remaining substantive regulatory provisions (Sections 3-19, 40, 59-70, 79, 80) commenced on 1 May 2017.
  • State Rule-Making Requirement: Section 1 empowers Appropriate Governments (State Governments and UT Administrations) to notify state-specific RERA Rules and establish permanent Regulatory Authorities.
Key Landmark Precedents:
  • Neelkamal Realtors Suburban Pvt. Ltd. v. Union of India, 2017 SCC OnLine Bom 9302: The Bombay High Court upheld the constitutional validity of RERA, ruling that the Act is retroactive, not retrospective, applying lawfully to ongoing projects for which completion certificates had not been issued prior to 1 May 2017.
  • Newtech Promoters and Developers Pvt. Ltd. v. State of U.P., (2021) 19 SCC 347: The Supreme Court confirmed that RERA applies to all ongoing real estate projects that had not obtained a completion certificate prior to the enactment date, safeguarding allottee capital unconditionally.
Courtroom Practice & Strategic Litigation Guidance:

In ongoing disputes, ascertain whether the project held a valid Completion Certificate or Occupancy Certificate prior to 1 May 2017; absent such certificate, the project falls strictly under the regulatory domain of RERA regardless of when construction commenced.