• Can builder keep on appealing and prolong the court case?

Hello i booked 3 flats , one in 2014 and two in 2015 out of which one flat was registered (possession date mentioned March 2018) and rest two just have the allotment letters.

The builder has taken 80% booking amount without registration along with service taxes and now the building is at its completion asking for 7 lakhs fungible charge for each flat , he also didnt mention 3 lakh development charge for each flat at the time of booking. 

i'm yet to pay him 43 lakh basic flat cost and because of his extra demands 30 lakhs more.

in the allotment letters which he gave us after 1 year of booking (back dated) he mentioned payment schedule as per his convenience (e.g 50% on booking) there is also a clause written exclusive of fungible charge, service tax and other charges 

Is it advisable to Rera or pay the builder what he demands since he will appeal to tribunal and then HC/SC and prolong the case. i have financial issues and cant wait 10 years more for court case.
Asked 3 years ago in Property Law
Religion: Hindu

11 answers received from multiple lawyers

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11 Answers

Pay the amount demanded to builder under protest 

 

take possession of flat 



litigation is long drawn and expensive proposition 

Ajay Sethi
Advocate, Mumbai
97656 Answers
7904 Consultations

If the builder is reported to adopt delaying tactics you may have to approach appropriate legal forum,  at least RERA for immediate relief. 

You should concentrate on your relief alone and should not be bothered about what builder will do against your approach to legal forum. 

T Kalaiselvan
Advocate, Vellore
87858 Answers
2366 Consultations

You can pay the disputed amount but not to the builder but deposit the same in the Rera court 

In your complaint you can seek relief of handover of possession on payment of balance to the builder and disputed amount being deposited in Rera court 

If Court comes to a conclusion that the builder has wrongly charged you then the deposited amount will be refunded to you with interest 

If Court finds the builder has charged you as per law then that amount will be released to the builder 

So it's not that only the builder can go in appeal. Even you may have to file an appeal. But as interim relief you can always take the possession (provided the Court grants you that relief)

The above will work only if you have the financial capacity to make arrangement for the disputed amount for being deposited in Rera court 

Yusuf Rampurawala
Advocate, Mumbai
7776 Answers
79 Consultations

There is no other way. But even in rera the case will not go for 10 years. He will have to pay you the same. If you need any further assistance then you can approach me through LinkedIn.

Prashant Nayak
Advocate, Mumbai
32962 Answers
211 Consultations

Dear Sir, 

1. Since you signed an agreement with him, you are obliged to fulfil the obligations prescribed in the contract.

2. you can amicably reach a common solution with the builder.

3. since the terms and conditions were written in the agreement, the builder can approach the tribunal and courts in case of non fulfilment. 

Thank You!


Dear sir,

If the builder is stalling the case, you can approach the RERA court for immediate relief and seek possession of your property before the court. If the court deems fit, it may grant you the possession. If the builder goes for an appeal you would still have possession of your property.

Thank you

Anik Miu
Advocate, Bangalore
10435 Answers
121 Consultations

- As per Sub-Section 1 of Section 13 of The Real Estate (Regulation and Development Act,), A builder will have to enter into an agreement to Sell with a home buyer, and then accept the booking amount which should not be more than 10%. 

Hence demanding full payment at the time of sale agreement and before the registration of sale deed is against the Law.

- Further, if you pay the amount demanded by the said builder against the Act , then you may face problem , specially when the builder could not get OC etc. from competent authority or delay in handing over the  possession., 

- Further, if the builder is delaying the possession and adopting the delaying tactics , then you can lodge your compliant before the RERA or consumer forum. 

Mohammed Shahzad
Advocate, Delhi
14793 Answers
225 Consultations

It's better to approach rera if you don't trust him. 

Prashant Nayak
Advocate, Mumbai
32962 Answers
211 Consultations

Cases before RERA also take more than a year to be disposed of 

 

amicable settlement is best option 

Ajay Sethi
Advocate, Mumbai
97656 Answers
7904 Consultations

If the extra charges demanded now are unjustified and not covered in the agreement conditions,  you can refuse to pay and can issue a legal notice followed by a complaint with RERA  

You can decide based on prevailing circumstances. 

T Kalaiselvan
Advocate, Vellore
87858 Answers
2366 Consultations

Dear sir,

You should approach the  RERA  and enforce the agreement

Thank you

 

Anik Miu
Advocate, Bangalore
10435 Answers
121 Consultations

- As per the RERA Act, if the builder is delaying in construction & delay in possession, then the builder will have to pay 10% interest on the value of the property for delayed possession of flats.

- Hence, if builder fails to delivers the possession of the flat to you on time, then you can cancel the agreement due to his fault and you are liable to get full refund of paid amount with 10 percent interest. 

- Further, if you get the possession of the said flat lately, then also you can claim 10% compensation from the builder. 

Mohammed Shahzad
Advocate, Delhi
14793 Answers
225 Consultations

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