Is builder responsible for the delay he is doing?

Q: Think, is builder really responsible for the delay or you as a Indian consumer have encouraged him to behave in the way he is behaving.

I would ask you if you were given money say 100 crores at the annual rate of 1.8% per annum what would you do and would you like to return the money at the earliest possible or continue to pay the interest

Ashwaane Kumar Singhal,

30th June 2016

Buying property in Mumbai

delay in completion of project

delay in possession of flat

compensation for delay flat possession

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Replies (4)

Dear All,

Thank you for your responses, yes you are all right and I have also referred on the internet of various ruling given by consumer courts, but I have come across many people who are suffering due to the absence of any Law regarding standard formats of sale agreement and its compulsion of implementation by the mighty builders and secondly slowness and costliness of the Indian judicial system has discouraged many and continue to do so.

I am talking specifically of NCR Region.

Ashwaane Kumar Singhal,

30th June 2016

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Hi Ashwaane,
Which project and developer are you talking about? Where is the project located? When was builder promised to handover the property? Check you registration clause, is there any clause for compensation for delay in possession? If yes, then consult a good lawyer and file suit against builder.

Now-a-days, court has become very strict and penalizing builders for delay possession of properties.

Yash Panth, Ghaziabad

30th June 2016

Comment

I am agree with Lalit. You may complain against him to consumer redressal forum where he will be asked to pay damages to you for the delay if proved.

You may also serve a notice on him to do so failing which you may appeal for him for specific performance in a court of Competent Jurisdiction asking him to honor the word of the agreement. But if he has a genuine cause to explain such delay for example government policy change, or unforeseeable bad whether and such then the chances for having to pay damages is minimal.

James, Delhi

30th June 2016

Comment

Hi Ashwaane,
If your builder delays the possession, you can claim interest on the payment made till date. Under the Maharashtra Ownership of Flats Act, 1963, the developer is liable to refund the amounts received, with minimum 9% simple interest. This interest can range between 9-18%. Also, the interest is payable only on the amount that be proven as paid to the developer.

One can fight the case in a consumer court without hiring a lawyer, if the evidence is strong and can be proven.

Lalit Verma, Mumbai

30th June 2016

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