MEMORANDUM OF UNDERSTANDING

This MEMORANDUM OF UNDERSTANDING is entered into at

COIMBATORE on this the …………. day of NOVEMBER, TWO THOUSAND
ELEVEN (…..11.2012)

BETWEEN

………….. PRIVATE Ltd., a private limited company having its

registered office at ……………………………and

hereinafter jointly referred to as the PARTIES OF THE FIRST PART.

AND

Bank Union Employees Association

- hereinafter referred to as the BUILDER or the PARTY OF THE SECOND

PART.

AND THE SAME WITNESSETH

WHEREAS the PARTIES OF THE FIRST PART is the absolute owner of

the property more fully mentioned in the schedule hereunder and have
decided to put up residential building over the same and the party of the 2nd
part has approached the PARTY OF THE FIRST PART to construct the
residential building over the said property.

AND WHEREAS the PARTY OF THE FIRST PART has assured that it
has infrastructure to put up construction in accordance to the plan mentioned
in Annexure A hereunder and deliver the property within the agreed period
and both the parties hereto have agreed to abide to the following terms and
conditions.
1. The period agreed for performance of the obligation by the PARTY OF
THE FIRST PART in the matter of construction of residential building over the
schedule mentioned property is ………… years from the date of execution of
these presents.

2. The PARTY OF THE FIRST PART hereby confirms to put up

construction in the property for the purpose of doing the construction work
and has also expressly permitted to excavate the land and do all work for
constructing and also appoint any architects if necessary for the purpose of
putting up residential building.

3. It has been agreed to between the parties hereto that the cost of
construction of the residential building proposed to be constructed by the
PARTY OF THE FIRST PART in accordance to the specifications mentioned in
Annexure A hereto shall be Rs……………/- (Rupees …………… Only) and
declares that the cost of the construction includes the cost of material, labour
incidental expenses and taxes if any etc.,

4. The PARTY OF THE SECOND PART undertakes to adhere to the

payment schedule mentioned in Annexure B hereto. It has been further agreed
to that in the event of the PARTIES OF THE FIRST PART delays to make
further payment in accordance to the schedule mentioned in Annexure B
herein, then the PARTY OF THE FIRST PART is entitled to stop the further
progress of work and any escalation of cost arising out of the delay in the
payment will be borne be the PARTIES OF THE SECOND PART. It has been
further agreed to that the delay caused by the PARTY OF THE SECOND PART
on account of shortage of material or act of god like rain, then the period
agreed to in the agreement shall be extended.

5. It has been further agreed to between the parties hereto that the PARTY
OF THE FIRST PART is entitled to give any sub-contract by way of labour
contract, work wise contract and the same shall not affect the quality of the
work agreed to under the agreement nor the time be extended on that account
nor the cost mentioned in clause 3 herein above being changed.

6. It has been further agreed to between the parties hereto that the PARTY
OF THE FIRST PART shall be solely liable for the materials stored inside the
site during the period of construction and it shall be the responsibility of the
PARTY OF THE FIRST PART to have adequate security to prevent any
pilferage of materials.

7. It has been further agreed to between the parties hereto that the PARTY
OF THE SECOND PART are entitled to get the possession of the constructed
flats after construction only after the entire amount mentioned in Annexure B
is paid in full.

8. It has been further agreed to between the parties hereto that upon the
PARTY OF THE SECOND PART effecting payment as per the schedule
mentioned in Annexure B hereto and if the PARTY OF THE FIRST PART is
unable to complete the construction as per the specifications mentioned in
Annexure A herein within the time frame mentioned in clause 1 herein above,
then the PARTY OF THE FIRST PART is liable to pay a sum of Rs……../- per
day to the PARTY OF THE FIRST PART till the construction is completed and
the possession is delivered.

9. It has been further agreed to between the parties hereto that in the
event of the PARTY OF THE SECOND PART opting to make any changes,
modifications or alterations to the structure, its area or the specifications of the
materials the cost so incurred in excess for the actual construction should be
paid at the relevant time by the PARTY OF THE SECOND PART to the
PARTY OF THE FIRST PART in order to enable the PARTY OF THE FIRST
PART to complete the construction in accordance to the period agreed to
herein.
10. It is hereby further agreed that on completion of the construction, the
party of the second part shall be solely responsible for the allotment of houses/
flats and the allotment of the houses/flats shall be within the sole authority and
jurisdiction of the party of the SECOND PART. It is also agreed that the
agreement for the above construction is for the construction of 100 flats and if
any additional flats or required only the party of the SECOND PART shall
instruct in the party of the FIRST PART to build the same.

11. It is further agreed that the party of the SECOND PART shall take
possession of a minimum of 90 flats out of the said 100 flats and identification
of those flats/houses is the sole discretion of the party of the SECOND PART
and its members. It is further agreed that if the construction involves any drop
houses, the same shall be allotted to the members of the party of the SECOND
PART.

12. It is further agreed that the price for the built up area is Rs…………../-
per square feet. The price mentioned herein is exclusive of car parking slot
price, registration charges, agreement charges for undivided share and
construction agreement and other statutory dues.

13. It is further agreed that after the execution of this MOU the approval of
the Town and Country planning, construction of flats by the party of the
FIRST PART should be according to the approved plan and any deviation from
the same will not be entertained by the party of the SECOND PART.

14. It is further agreed that the registration in respect of the undivided share
will be done in favour of the members and the list of the said members will be
provided for the party of the SECOND PART.

15. It is further agreed that the members of the party of the SECOND PART
are required to pay the amount for the undivided share at that time of UDS
registration and that it is the responsibility of the party of the SECOND PART
who collect the same from the members.

16. It is further agreed that the retention money of 5% of the agreement

price can be deducted by the party of the SECOND PART and the same will be
to the Promoter once key for the houses/flats are handed over to the party of
the SECOND PART.

17. It is further agreed that additional fittings in the flat/house apart from
the standard specification will be provided by promoter on request by the
members and charges separately after obtaining NOC from the party of the
SECOND PART. However the request for additions should not be deviated
from the approval of the plan.

18. It is further agreed that any fluctuation over and above 5% of the prices
of the core ingredients such as Bricks, Sand, Steel and Cements, then the cost of
the flat/house will be increased accordingly and will be borne by the members
of the party of the SECOND PART.

19. It is further agreed that similar to the above escalation clause, the
construction will be completed within 24 months from the date of UDS and
construction agreement. If any delay in the same due to any reasons other
than extraordinary causes such as riots, floods, earthquake etc., which may
enable the party of the SECOND PART to penalize the promoter.

20. It is further agreed that each member of flat/house can be provided one
car parking and if the members require additional car parking the same can be
arranged with additional cost and the list of the members who required
additional parking will be given by the party of the SECOND PART only.
 IN WITNESS WHEREOF the aforesaid parties hereto have set their
hands in this deed on the date, month and year mentioned herein above.

DESCRIPTION OF PROPERTY

PARTIES OF THE FIRST PART PARTY OF THE SECOND PART

WITNESSES:

1. 2.
Draft Annexure to be changed according to our
construction
ANNEXURE A
(SPECIFICATIONS)

1. Framed Structure : Columns up to 8 ft Depth and Full height upto roof

level of top floor. Plinth beam at Ground levels and beams at all roof
level full lintel beams on all floors.
2. Brick wall of 9” and 4” as per the design.
3. Shelfs, loft slabs, niches as per the requirement
4. All doors and windows frames in padok, all door shutters in flush type
covered with skin windows with 12mm rod grills with plain / pinned
glass.
5. Electrical wiring and switches – Havels and distribution board MCB /
ECB as required – UPS wiring extra.
6. Plumbing – Regular requirement, solar heater requirement extra.
7. Sanitary fittings : EWC / Indian, Hindware / Parry / Neycer / CP fittings
of standard make.
8. Tiles : 2’ x 2’ vetrified tiles on all floor, 9’ for all bathroom walls antiskid
floor tiles in bathrooms. 2’ on all kitchen platforms.
9. Kitchen platform black granite and stainless steel sinks.
10. Painting : Snowcem on one coat of Birla white, one coat of primer and
one coat or emulsion for interiors all doors, windows in enamel, glaze /
matt finish.
11. Provision of Janata Septic Tank water sump and Sintex on overhead
tank.
12. All interior works as per enclosed drawings.
13. Underground water tank 6000 Litres capacity and Pump set and
Plumbing complete.
14. Borewell up to required depth with all fittings and pump.
15. Allround compound wall with gate.

P.S. : Water connection charges extra

 ANNEXURE B
(PAYMENT SCHEDULE)

1. Advance payment of Rs. 2 lakhs (Rupees Two Lakhs only) on the date of
signing of this Agreement.

2. Further payment of Rs. 3 lakhs (Rupees Three Lakhs only) within 30 days
from the date of this Agreement.

3. Final payment of Rs. 39.15 lakhs (Rupees Thirty Nine Lakhs and Fifteen
Thousand only) at the time of completion and handling over possession or on
or before 4 months from the date of this Agreement whichever is later.