Key Highlights: Homebuyers’ Rights in Developer Insolvency
- Homebuyers are now recognized as financial creditors under the Insolvency and Bankruptcy Code (IBC).
- Buyers can participate in the Committee of Creditors (CoC) through an authorized representative.
- Homebuyers can vote on key decisions such as project completion, developer replacement, or liquidation.
- Insolvency proceedings can be initiated by at least 100 homebuyers or 10% of total allottees, whichever is lower.
- Buyers can seek remedies through IBC, RERA, and Consumer Protection laws.
- RERA authorities can order project completion, impose penalties, or direct refunds with interest.
- Insolvency resolution may allow a new developer or…