Veracity of advertisement


Section 2(b) of the Real estate (regulation and development) act, 2016 (herein after referred to as ‘the act’) defined the meaning of the term ‘advertisement’ as ‘any document described or issued as advertisement through any medium and includes any notice, circular or other documents or publicity in any form, informing persons about a real estate project, or offering for sale of a plot, building or apartment or inviting persons to purchase in any manner such plot, building or apartment or to make advances or deposits for such purposes’.

Section 12 of ‘the act’ put obligations on the regarding the advertisement of any model, apartment, plot or building, this section protects the interest of allottees in a case where the allottee has made an advance deposit on the basis of advertisement and sustain any loss or damage by reason of any incorrect, false information via the advertisement than the person who made or submit the advanced booking amount shall be compensated by the promoter.

And it provides that in case a person wants to withdraw from the proposed prospectus due to incorrect/false information in the advertisement, he shall provide with full return of advanced deposited along with the interest at such rates that may be prescribed and the compensation.

Apart from this, the UP RERA released circular dated 11.02.2021 in which there are some guidelines for promoters about advertisement relating to promotion, marketing and sale in Real Estate Projects. Guidelines are as follows:

  1. All advertisement in newspaper and magazines or any other advertisement must contain the link of the website of U.P. RERA i.e., after referred to as ‘the website’) and the full RERA registration number of the project issued by the RERA authority.
  2. All paper prints regarding the promotion of project like brochures must also contain the link of ‘the website’ and RERA registration number of the project.
  3. Each audio-visual media such as radio, TV commercial, video clips, audio clips, media streaming, digital media content, etc. shall have the RERA registration number in audible and slow pace. Is shall also have ‘the website’.
  4. Every social media account of the promoter regarding the project shall have the link of ‘the website’ and the RERA registration number.
  5. Large hoardings and billboards mainly on the dividers, streetlights, highways, city lanes, all ads banner etc. must also have link of ‘the website’.

The violation of these guidelines will attract penalty as per the provisions of ‘the act’.


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