Introduction
The Bombay High Court (Bombay HC), while adjudicating a second
appeal in the matter of M/s. Rashmi Realty Builders Pvt. Ltd.
v. Mr. Rahul Rajendrakumar Pagariya and Ors., delivered a
seminal ruling that underscores the prominence of statutory forums
over privately negotiated dispute resolution mechanisms in specific
legal contexts. The judgment revolved around the jurisdiction of
Real Estate Regulatory Authority ("RERA"), established
under Section 20 of the Real Estate (Regulation and Development)
Act, 2016, vis-à-vis the existence of an arbitration clause
encapsulated within an agreement executed between the promoter and
the allottees.
The Court, while construing the legislative intent of RERA,
unequivocally held that the statutory jurisdiction of RERA is not
ousted or rendered nugatory merely by the incorporation of an
arbitration clause in the agreement. The doctrine of generalia
specialibus non derogant—a general law
does not derogate from a
