MEMORANDUM OF UNDERSTANDING

THIS MEMORANDUM OF UNDERSTANDING entered into at Chennai this

___________ day of September 2010

BETWEEN

Mr.J.BALAJI, son of Mr.T.N.Jagannathan aged 42 years presently residing at Site No

23 Part, Balaji Padmavathy Nagar, Vadavalli, Coimbatore 641 041 and having
permanent address at New No 14, Old No 9, Krishna Nagar III Street, T.V.K.Nagar,
Chennai 600 082, hereinafter referred to as the “PARTY OF THE FIRST PART”
which term shall wherever the context so permit mean and include its successors, his
heirs, executors, administrators, legal representatives and assigns

and

Mr.J.DEVARAJAN, son of Mr.T.N.Jagannathan aged 40 years presently residing at

Site No 23 Part, Balaji Padmavathy Nagar, Vadavalli, Coimbatore 641 041 and having
permanent address at New No 14, Old No 9, Krishna Nagar III Street, T.V.K.Nagar,
Chennai 600 082, hereinafter referred to as the “PARTY OF THE SECOND PART”
which term shall wherever the context so permit mean and include its successors, his
heirs, executors, administrators, legal representatives and assigns
and
Mr.J.VENKATARAGHAVAN, son of Mr.T.N.Jagannathan aged 37 years presently
residing at Site No 23 Part, Balaji Padmavathy Nagar, Vadavalli, Coimbatore 641 041
and having permanent address at New No 14, Old No 9, Krishna Nagar III Street,
T.V.K.Nagar, Chennai 600 082, hereinafter referred to as the “PARTY OF THE
THIRD PART” which term shall wherever the context so permit mean and include its
successors, his heirs, executors, administrators, legal representatives and assigns
and

Mr.T.N.JAGANNATHAN, son of Late Ragavachari aged 70 years presently residing

at Site No 23 Part, Balaji Padmavathy Nagar, Vadavalli, Coimbatore 641 041 and
having permanent address at New No 14, Old No 9, Krishna Nagar III Street,
T.V.K.Nagar, Chennai 600 082, hereinafter referred to as the “PARTY OF THE
FOURTH PART” which term shall wherever the context so permit mean and include

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its successors, his heirs, executors, administrators, legal representatives and assigns
WITNESSETH AS FOLLOWS

WHEREAS the property morefully mentioned in the schedule A hereunder was

originally purchased by Mrs. _________ i.e. mother of PARTIES OF FIRST,
SECOND and THIRD PART and wife of PARTY OF THE FOURTH PART by virtue
of Sale deed dated ______ and registered as Doc. No.______ in the office of the Sub-
Registrar, ___________ and was in possession and enjoyment of the same as absolute
owner without any let or hindrance whatsoever.

AND WHEREAS Mrs. _________ settled an undivided 1/4th right in the A

schedule mentioned property measuring undivided 617.5 sq.ft. i.e. the property
morefully mentioned in Schedule B hereunder in favour of the PARTY OF THE
FIRST PART herein by virtue of Settlement deed dated ________ and registered as
Doc. No.______ in the office of the Sub-Registrar, Sembium.

AND WHEREAS Mrs. _________ settled an undivided 1/4th right in the A

schedule mentioned property measuring undivided 617.5 sq.ft. i.e. the property
morefully mentioned in Schedule C hereunder in favour of the PARTY OF THE
SECOND PART herein by virtue of Settlement deed dated ________ and registered as
Doc. No.______ in the office of the Sub-Registrar, Sembium.

AND WHEREAS Mrs. _________ settled an undivided 1/4th right in the A

schedule mentioned property measuring undivided 617.5 sq.ft. i.e. the property
morefully mentioned in Schedule D hereunder in favour of the PARTY OF THE
THIRD PART herein by virtue of Settlement deed dated ________ and registered as
Doc. No.______ in the office of the Sub-Registrar, Sembium.

AND WHEREAS Mrs. _________ settled an undivided 1/4th right in the A

schedule mentioned property measuring undivided 617.5 sq.ft. i.e. the property
morefully mentioned in Schedule E hereunder in favour of the PARTY OF THE
FOURTH PART herein by virtue of Settlement deed dated ________ and registered as
Doc. No.______ in the office of the Sub-Registrar, Sembium.

AND WHEREAS the parties hereto have jointly decided to put up construction
of residential flats over their respective shares and accordingly applied for and
obtained permission for constructing a residential apartment namely "PRIYAAS"

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comprising of four flats from Corporation of Chennai vide Plan Permission Approval
No.PPA/WDC04/03612/2010 dated 24.08.2010 and Building Permit
No.BA/CD04/03808/2010 dated 24.08.2010.

AND WHEREAS the parties hereto are desirous of reducing the terms and
conditions into writing:

NOW THIS Memorandum of Understanding WITNESSETH AS FOLLOWS:

1) The party of the First Part shall have the exclusive right to construct residential
flat measuring plinth area of 830 Square Feet in the Ground Floor marked as
Split I in the approved building plan and G1 as per the floor plan.

2) The party of the Second Part shall have the exclusive right to construct
residential flat measuring plinth area of 830 Square Feet in the First Floor
marked as Split II in the approved building plan and F1 as per the floor plan
drawing.

3) The party of the Third Part shall have the exclusive right to construct
residential flat measuring plinth area of 830 Square Feet in the First Floor
marked as Split III as per approved plan and F2 as per the floor plan drawing.

4) The party of the Fourth Part shall have the exclusive right to construct
residential flat measuring plinth area of 830 square feet in the Second Floor
marked as Split IV as per approved plan and S1 as per the floor plan drawing.

5) The Party of the First, Second, Third and Fourth Part hereunder shall enjoy the
proposed flat according to normal practices, conventions, obligations and
restrictions that are common to the system of OWNERSHIP FLATS among
others those in the particular in the enjoyment of open space, right of other
walls, passages, sewers, drains and water courses and such other items that are
common to each other.

6) The Party of the First, Second, Third and Fourth Part shall bear the cost of
construction of their respective flat buildings and the cost of common area
facilities such as Stair Case, Car Parking, compound wall, underground sump
etc., as per the detailed estimate of Licensed Surveyor.

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7) The Party of the First, Second, Third and Fourth Part, as a matter of necessity
shall and will enjoy the flat to be constructed as per this understanding
consistent with the rights and interest of their of the undivided shares in the
Schedule “A” mentioned property and to use all sewers, drains, water courses,
now in or upon hereinafter to be installed or created therein and any part
thereof in common, and permit freely to run and pass water through soil or
along the same or any of them and share among themselves the proportionate
share in the monthly common periodical charges and contributions connected
with the common amenities like Water Taxes, Electrical; Charges of pump sets,
General Lighting, Watchman and Cleaners Salary, the cost of repairing and
maintaining of all such common amenities like water courses, sewers, drains
and pump sets, compound walls, common lighting and passages.

8) This Understanding to the extent applicable shall be mutually enforceable by

every PARTY against other PARTIES of the Schedule “A” property and all the
Parties agrees for the same.

9) It is hereby agreed that the common amenities like motors, pumps, electrical
equipments and any other such equipment and accessories etc., in the
Scheduled A mentioned property shall be maintained jointly by the Parties
hereunder to this understanding.

10)It is hereby agreed and declared that the walls, floors and ceilings separating
the flats agreed to be built by the parties hereunder shall be deemed to be
partial walls, floors and ceilings and shall be used maintained and repaired
accordingly and that the spouts fall pipes and water pipes which serve the flats
shall jointly be maintained and repaired and the cost thereof borne by all the
parties.

11)The Party of the First, Second. Third and Fourth Part shall be responsible to
pay, individually the property tax, water tax, sewerage tax and other taxes in
respect of their respective flats due to the Corporation, or any other public
authority, as assessed by such authority.

12)The open terrace over and above the Second Floor as per the approved building
plan shall be common to all the Parties hereunder of the Schedule A property

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 and no construction of any type shall be done by any party without the written
consent from the other parties and also from the competent development / local
authorities.

13)The covered car parking space in the ground floor shall be common to all the
parties and hence each of the parties hereto are entitled for exclusive one car-
parking space. The Party of each Part has to Park his/her car only in the allotted
place agreed between the parties and shall adjust with the other parties.

14)It is clearly agreed between the parties hereto that as and when any Party
hereunder transfers/sells/assigns/conveys their portion of property to any third
party, the said Party shall ensure the due compliance of all the terms and
conditions contained herein by the successors of the Party of the Second Part
and shall further ensure that such of his/her/their nominees/s or successor/s
shall not do anything in relation to their respective property contrary to the
conditions contained hereunder, which shall be binding on the Party of the
Second Part or any other person claiming under him/her/them in any capacity.

15)The parent document i.e. original sale deed 12.07.1971 registered as Doc. No
3405/1971in the office of Sub Registrar, Sembium along with copies of
relevant document shall be retained by the Party of the Fourth Part and the
same shall be produced to the other parties as and when required by them for
the purpose of verification to the Banks / Institutions for the purposes of raising
housing loan for construction of their respective building.

16)Any dispute arising between the Parties with regard to any of the terms of this
agreement or any matter under this agreement, interpretation of its terms etc.,
shall be referred to a Sole Arbitrator to be mutually agreed between them. The
venue of the arbitration shall be at Chennai and courts at Chennai alone shall
have exclusive jurisdiction and the arbitration proceedings shall be only in
English.

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 SCHEDULE A
(Entire property)

All that piece and parcel of house site measuring 2470 sq feet or 5 cents and 292
square feet bearing Plot No 7, Old Door 9, New Door No 14 in Krishna Nagar III
Street, T.V.K.Nagar, Chennai 600 082, originally comprised in Survey No 67/1 Part,
Peravallur Village, Corporation Division No 50 (old division 11 then 82), as per patta
comprised in TS No 860, Block No 1 of Peravallur Division, Purasawalkam-
Peravallur Taluk, within the following boundaries

On the North by - Vetri Nagar

On the South by - 24 Feet wide road (Krishna Nagar III Street)

On the East by - Plot No 8 ( Door No…….)

On the West by - Plot No 6 (Door No ……..)

Admeasuring

East to West on the Northern side - 38 Feet

East to West on the Southern side - 38 Feet

North to South on the Eastern side - 38 Feet

North to South on the Western side - 38 Feet

In all measuring 2470 square feet, situated within the Registration District of Chennai
North and Sub Registration District of Sembium, in Chennai Corporation Limits
(Division No 50, Zone IV)

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 SCHEDULE B
(Property belonging to the PARTY OF THE FIRST PART)

In the A schedule property, an undivided 1/4th right, share, title and interest measuring
undivided 617.5 sq.ft. of land.

SCHEDULE C
(Property belonging to the PARTY OF THE SECOND PART)

In the A schedule property, an undivided 1/4th right, share, title and interest measuring
undivided 617.5 sq.ft. of land.

SCHEDULE D
(Property belonging to the PARTY OF THE THIRD PART)

In the A schedule property, an undivided 1/4th right, share, title and interest measuring
undivided 617.5 sq.ft. of land.

SCHEDULE E
(Property belonging to the PARTY OF THE FOURTH PART)

In the A schedule property, an undivided 1/4th right, share, title and interest measuring
undivided 617.5 sq.ft. of land.

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 SCHEDULE “B”
(Details of building to be constructed)
I Flat Building Area

Identification Identification as
Extent in
as per Building per Floor Plan
Sq.Ft
Name of the Party Floor Plan (As per (As per
(Plinth
Annexure I Annexure I
area)
attached) Attached)
Party of First Part – Ground Floor Split I G1 830
J.Venkataraghavan
Party of Second Part First Floor Split II F1 830
– J.Balaji
Party of Third Part – First Floor Split III F2 830
J.Devarajan
Party of Fourth Part – Second Floor Split IV S1 835
T.N.Jagannathan
Total 3325

II Common Area

Description Floor as per approved building plan Extent of Plinth

Area in Sq.Ft
Car Parking Ground Floor 720
Stair Case and Head Room Ground, I and Second Floor 376
Total 1096

Grand Total 4416