A bench headed by Justice D.Y. Chandrachud said it wasn't open for the West Bengal government to frame a parallel law when the field was already occupied by a parliamentary legislation, Real Estate (Regulation and Development) Act, 2016 (RERA).
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The Supreme Court on Tuesday quashed the West Bengal Housing Industry Regulation Act, (HIRA), 2017. The top court held HIRA as unconstitutional and repugnant to RERA. A bench headed by Justice D.Y. Chandrachud said it wasn't open for the West Bengal government to frame a parallel law when the field was already occupied by a parliamentary legislation, Real Estate (Regulation and Development) Act, 2016 (RERA).
Directing to strike down the West Bengal law, the top court observed, "this will prevent chaos." The top court also added that it won't invalidate registration, allotment & past transactions made under HIRA. The judgment was delivered by a bench comprising Justices D.Y. Chandrachud and M.R. Shah on a plea by NGO Forum for People's Collective Efforts, which contended that the West Bengal HIRA should be struck down since it conflicts with RERA. Advocate Devashish Bharuka, representing the petitioner, had contended that West Bengal had enacted WBHIRA creating a regime parallel to the Parliament -enacted RERA, which has been held to be constitutionally impermissible.
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"WBHIRA was substantially identical to RERA and that too without the Presidential assent. Our submission is that in the Indian federal structure, once the Parliament makes a law, a State cannot be permitted to frame identical laws. It has been accepted by the apex court", added Bharuka. After the top court verdict, he added that not only the WBHIRA has been declared unconstitutional but also the earlier West Bengal 1993 law has been declared to be impliedly repealed by RERA.
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