Dear Sir, I have booked a flat in KUL Nation (Kumar Builder) at Pune in T8 Building. From last 2yrs there is no progress of work after basement slab except some column of said building. So, right no I am paying Bank interest and Rent also. And Builder every time is saying that they will start work. But they are not in a mood to start the work. In my Previous agreement they have written that possession date will be after 5yrs of agreement date. But verbally they told us it will be by end of 2016. For that I like to cancel my flat. And in previous agreement, they have written that cancellation amount will be refund after rebooking of flat and right now there is no booking and they are saying to refund it will take more then a Year after cancellation bid process. And they are saying they will deduct more then 2.5 lakh, where we don’t have any fault. My registration date was :15th july 2015 Booking date was : 05 June 2015
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1. The builder is surely at fault for wich you can not be made wait for another year.
2.Any such clause , if any in the agreement has no legal validity to enforce your rights to say the least.
3. So file a case in the consumer forum wherein you will not only get the full money refunded but interest , damages and compensation out of the delay.
4.So meet a lawyer and do the same as advised above.
it is necessary to peruse agreement entered into by you with builder to advice
2) if possession is to be delivered after 5 years from agrement date then you cna claim possession only by July 2020
3) in case you cancel the booking you will have to pay cancellation charges as per agreement
4) dont cancel the booking now .
5) most builders are facing financial constraints and unable to refund booking amounts
Delay in delivery of possession in a building is one of the most commonly faced and frustrating problems for a property buyer. As in any legal matter, you should posses evidence to prove your stand or allegation. Get all papers and documents ready—advertisement brochure, booking receipts with payment details, any letter sent by the developer, signed agreement, all payment details, emails exchanged, photographs collected, and others. Avoid verbal communication. Buyers should always send a legal notice before approaching any forum or court with their grievance. They should have taken objection with the builder against violations or illegal demands by sending a letter so that evidence can be created in their favour to be produced at the time of proceedings.
You can raise the claim as per recitals in agreement. What the clause with regard to completion of the work and handed over the possession of the flat. As per your query it is understood that the cancellation of the flat is not advisable.
What remedies are available in case the builder delays the construction of the building?
1. You can ask for a refund. If the builder delays the completion of the construction beyond the stipulated time, you are entitled as a property buyer to seek a refund from the builder. Demand compensation from builders for construction delays
2. If you are buying the property for personal use, you can file a case in the consumer dispute redressal commission at all the three levels i.e the district , the state and the national commission depending on the value of the property or the amount of damage you have suffered. Any dispute over 20 lakhs can be directly filed before the State Commission and any dispute over 1 crore can be filed before the National Commission in New Delhi. Any dispute for a value lower than 20 lakhs has to be filed in the District Commission in your District.
3. There are special provisions in some states for the benefit of consumers. For example, if you are in Maharashtra, you can get remedy through Section 8 of the Maharashtra Ownership Flat Act 1963, which makes the builder liable to refund the money obtained from a consumer with interest if he is unable to justify non-completion or delaying possession of his project. This section clearly works to safeguard the interest of the consumer and it is the duty of the builders to complete the construction on time.
4. There are some additional provisions which you should be aware of. For example, the Domestic Building Contracts Act 1995 states that the builder has given the following warranties (a) That all the work would be completed on time (b) That all work will be carried out in accordance with the plans and specifications set out in the contract (c) That all material to be supplied by the builder will be of a high quality (d) That the work will be done in a legal manner with reasonable care and skill, and
5. when the work is completed, the home will be fit for occupation. As per this law, you are entitled to take action for delays. Please remember that before you take any action, it is always advisable to send a legal notice to the opposite side giving them a chance to respond. Once a legal notice is sent, the builder may take action to solve the problem, and you can save the needless time and expense involved in going to court.
A. As you said, your flat possession will be delivered after completion of 5 years from the date of agreement which means 16th July 2020 as agreed by you under the terms and conditions of the Agreement. Generally, terms and conditions of the agreement will prevail before the court of law.
B.Any oral representation, conversation and promise is very difficult to prove before the Court of law. However, if you have any mail transaction, voice record, sms, or whatspp chat (electronic evidence) towards delivery commitment that amounts new obligation and promise created by the developer under new oral contract. Hence, you can claim the possession and insist for the builder to completed the construction. Moreover, you can demand for possession and claim damages under deficiency in service by approaching the Consumer Forum by issuing prior legal notice.
C. In the absence any record to establish oral conversation had with him that you may loose your claim under the agreement clause which will be prevail before the court of law. Therefore, you can write a new e-mail and try to get his commitment as he promised in earlier days vide electronic communication and get relief from the court in the absence documentary proof.
The builder may impose plenty of conditions but are they really maintainable?
You first send a legal notice communicating your decision to cancel the booking ans seek refund of the booking amount owing to the inordinate delay in starting the construction.
Let the builder quote any reason for the delay or not refunding the amount, just be firm in yor decision to cancel the same.
You may drag the builder to the consumer forum seeking refund as well as compensation for deficiency of service.
