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Revoking termination of builder
14-May-2025 (In Property Law)
In a redevelopment project, if a builder has been terminated by a majority in a special general body meeting, can that termination be revoked by a majority in another special general body meeting?
Yes, a resolution passed in a special general body meeting (SGBM) can be modified or revoked by a subsequent SGBM, provided due procedure under the society’s bye-laws is followed. The new resolution must also pass by the required majority. However, if the termination was communicated and acted upon (e.g., via legal notice), revocation may raise contractual and legal implications. It’s advisable to seek legal vetting before revoking to avoid litigation from the builder.
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Adv. Vaibhavi Muthinty
Dombivli | 100+ Answers
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Dear Client,
First you need to consider a few pointers as to the termination as passed in the special general meeting-
1. Is the termination validated?
2. Is the Builder incompetent to continue the redevelopment project?
3. If the majority has passed the resolution for the termination of the builder, why the decision of revocation is considered?
A termination prior to documentation of the terms of termination by cancellation of Development Agreement by a Deed of Cancellation, can be revoked by convening a Special General Meeting for reversing the same
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Adv. Devashish Dilip Wani
Mumbai | 25+ Answers
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Yes, that termination can be revoked in another Special General Body Meeting by majority of members who all have participated in voting to revoke termination of Builder for Redevelopment of Building within a time bound manner.
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Adv. Pankaj Bajaj
Pune | 700+ Answers
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Yes, it is possible to revoke a builder's termination by a majority decision in a Special General Body Meeting, provided the process adheres to the society's bye-laws and relevant redevelopment guidelines. The revocation requires a fresh general meeting with proper notice, a clear agenda, and adherence to transparency and proper documentation.
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Adv. Pankaj Bajaj
Mumbai | 1000+ Answers
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