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Belaire Owner’s Association alleged DLF for abuse of its dominant position

Comments(6) Sub Category:Community Posted On: Aug 07, 2010

The petition before Competition Commission of India (CCI), filed by Belaire Owner’s Association against DLF Limited states DLF has failed to deliver the residential project on time and put discriminatory and abusive clauses in the rent agreement provided to the allottees of the apartments. It also says the builder is abusing its dominant position in the market. According to the Belaire Owner’s Association, DLF has till now sent 34 cancellation letters to the allottees for default of payment. While the DLF agreement entitles the buyers to seek a penalty of Rs 10 per sq ft every month for the delayed period, it allegedly has tougher norms for its customers.

In a trend-setting move, CCI has initiated proceedings on a complaint against DLF for alleged abuse of its dominant position by putting discriminatory and abusive clauses in the rent agreement provided to the allottees of the apartments.In its first hearing on Tuesday (August 3), CCI took an oral undertaking from DLF that the company would not take any coercive action till the case is resolved. CCI also directed DLF to submit all relevant information regarding the project within two weeks and fixed the next date for hearing on August 19.



A DLF executive said the company had not violated the terms of the agreement with its customers and would support CCI in the proceedings of the case. The CCI officials said they would not comment on ongoing cases. Belaire Owner’s Association filed petition before CCI against DLF Limited, Department of Town & Country Planning, Haryana and Haryana Urban Development Authority (HUDA) states DLF has failed to deliver the residential project on time and put discriminatory and abusive clauses in the rent agreement provided to the allottees of the apartments. Both the projects are expected to have 2,200 flats priced between Rs 1.5 crore to Rs 3 crore, making the apartments worth Rs 4,500 to Rs 5,000 crore.

Sector analysts see this as a trend-setting case as the practice of asking customers to sign on the dotted lines without giving them an opportunity to negotiate the terms of agreement with the real estate developer is a common norm in the industry.

“The Competition Commission of India has received information alleging abuse of dominance by four developers– DLF New Gurgaon Homes Developers, DLF Home Developers Ltd and Others, DLF Limited and others, and DLF New Gurgaon,” Corporate Affairs Minister Salman Khurshid said in a written reply to the Lok Sabha. Khurshid was responding to a query whether government was aware of the various kinds of fraud and malpractices being adopted in the realty sector. He informed Lok Sabha that CCI has received complaints of “abuse of dominance” against DLF New Gurgaon Homes Developers, DLF Home Developers Ltd, DLF Ltd and DLF New Gurgaon.

The petitioners’ counsel M L Lahoty said DLF collected advances for bookings (in September 2006) much before they had any approved building plan. The actual agreement was also given to customers months after the company collected initial payments, he said. “By the time DLF gave the agreement letters to its customers, it had collected 27 per cent of the total money from the buyers,” Lahoty said.

Source:business-standard.com



6 Responses to “Belaire Owner’s Association alleged DLF for abuse of its dominant position”

  1. Ciby74 says:

    dear Sanjay please provide me your contact details mobile no as well as email id to ciby74@yahoo.com. i need your urgent help in handling DLF here in kochi. i’ve already send in a request to the yahoo grp mentioned above. ciby varghese

  2. Soorain Vahie says:

    Please provide me the address, telephone number and e-mail adress of the Belaire owner’s Association. Also the contacy person.

    I own a flat there and may want to join the association.

    Thank you.

  3. [...] abuse of dominance by changing original provisions of agreements without informing the buyers-Belaire Owners’ Association and Park Place Residence Welfare Association in [...]

  4. Sanjay Bhasin says:

    Mr. Sanjay Bhasin is the president of Belaire Owner Association. Please send a mail to him. You can also find the group at Yahoo Group – “DLFBelaire_owners · DLF Belaire Apartment Owners”. You stand to gain a lot of money, if you join the group. The office bearers are doing a fantastic job.

  5. HARI CRP says:

    I AM ALSO IN THE VERGE OF FILING SUIT AGAINST DLF. CAN U GIVE ME THE CONTACT NOS OF BELAIRE OWNERS ASSOCIATION REPRESENTATIVES SO THAT I CAN DISCUSS THE MATTER WITH THEM AND GET THEIR GUIDANCE.

  6. harbhajan singh says:

    we are also owner of dlf belaire gurgaon need to join the association of belaire owner association . also suffering from the same problem

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