Society or appt formation

1. can we form a society with having 10, 2Bhk flats and 3 shops. But out of 10 flats only 5 have been sold and 5 still builder is owning. out of 3 shops,2 are given on rent. He already specified in aggrement to sale that he will form a apartment. Is there any rule that builder needs to form society/appt within certain period? If yes, please specify.

A. Yes, you can form. Though the builder is owning 5 flats, he is deemed as only one member in the society.  As the flats are being sold one by one, the flats owners will be added to the Society. After sale of all the flats, but not later than 3 months from the date of sale of flats, a society can be formed either under Societies Registration Act or Association of Apartment Owners Act or under any local law set up by that particular state.  In case only a few flats have been sole and rest of the flats are not sold, then when the majority of the flats are sold, a Society can formed irrespective of the sale of other flats. In this case the Builder will also be a member in the Society, till the whole flats are sold. The owner will be deemed as flat owner. 

2. On the maintenance part, builder is not ready to pay it for vacant flats. He is not providing any update regarding vacant flats. Only 8 members are paying maintenance, remaining 2 are vacant from builder and not ready to pay maintenance for them.

A. The builder is liable to pay maintenance for the flats which he is in possession. For other flats he is not liable.  It will be kept under lock.

3. There are 2 gates to enter in building, he has locked one due to lack of watchmen. where as both should be open.

A. Closing of the gate is for the safety of all the flat owners.  If a circular is made by the president of the Society, it can be closed. 

Did the builder provide the OC and hand over possession of the flats after executing the registered  sale deed? If so, after a specified period of maintenance, the builder has to handover possession of the apartments to the society.  You may all join together and form a society in which if the builder is possessing any flat, as a flat owner he is liable to pay maintenance to the society, if not you may initiate proper legal action against him for default, take the help of a lawyer and proceed as per law.

Hi both for replies..

The builder has provided OC but sale did is not yet executed. Can I ask him to do that?

Recently he informed about selling 2 more flats, then total member strength would go upto 8 including him. can then we form society on the basis of majority?

When we ask him about monthly maintenance receipt, he starts debating with us saying he will form an apartment.

Please advise and thanks in advance!

If the owner is owning an apartment he is also likely to pay the maintenance amount like other owners.  As far as the association, only the owners of the apartments can decide, without the sale deed registered on your name, you are yet to a flat owner, so first complete the formalities in this regard and decide about forming the association as per the act.