Issue legal notice to builder to refund your balance amount
if he refuses file complaint against builder before RERA and seek orders for refund of money with interest
How to get the token amount from builder after cancelling the purchase process
Hi Team, I have planned to buy a property and paid some amount where named as Token in builder words. After few days(20 to 25) i have decided to turn around and cancel the purchase due to personal reasons(unable to arrange the total amount). Builder accepted the cancellation request and said he will return the amount soon. After 45 days builder gave a post dated cheque with three months buffer. I have approached the bank with cheque on mentioned Date. Banker said there is no funds in Builder bank account. It has dragged me 4 more months after lot of struggles, i have received 60% of the initial amount. For remaining amount the builder is said "he is not having funds now and will pay when he received" without any tentative dates or exact date. Every time i call the builder they are saying the following things: 1. Not answering the calls. 2. Saying will give in 15 days. 3. Director is not in city will call you once he is back. 4. We have kept our site(select flat) aside for 1 month and we lost valuable clients because of you. Now wait untill we get amount. Note: I am getting mental depression because of this funds, i have taken the amount from outside and i need to clear the debts. I am paying the interest from past 8 months. Can you please help me on this, any sources for this?
Asked 4 months ago in Property Law
Religion: Hindu
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10 Answers
Can you please help me with the process and expenses and timelines for this. I am going through lot of mental and financial pressures because of this, my Personal life is completly messed. I have receipt and check details which is already over dated.
Asked 4 months ago
1. Send a legal notice to the Builder to pay you the remaining amount.
2. If the Builder does not pay you the remaining amount, complain against him to the RERA.
The project is in Pre-Launch stage, its been almost a year and still the project is yet to go for RERA application login. Can i file a complain agaist the builder?
Asked 4 months ago
Legal fees vary depend upon lawyer engaged by you
disposal of case would depend upon pendency of cases in trial court
If it is pre launch state you cannot approach RERA
If you don't get back your balance amount even after serving the legal notice to the Builder, then you complain against the Builder to RERA.
Instead of repeatedly requesting or begging him, just issue a legal notice demanding the balance of token amount immediately.
If he fails to respond or doesn't comply with the demands made, you may file a money recovery suit to recover the balance amount legally.
You can use the cheque and the receipt as evidence to claim your money by filing the money recovery suit.
The time taken for the disposal of suit cannot be predicted owing to various factors involved in it.
The court fee and other expenses will be let known by the lawyer engaged for the purpose.
If the project is not RERA registered then you may not get any relief from them therefore it is advisable that you approach civil court for recovery of balance of token amount.
Dear Client,
I understand how annoying and demanding it is to get your token amount from the builder. Let me explained a straightforward technique to address this issue pursuant to the Indian laws.
First, as the builder has not returned your money and the cheque which you presented to him has been dishonoured this is considered a breach of contract. Nonetheless, you should first write a legal notice to the builder for due payment and interest towards the delayed amount. There is usually a response from the builder to this notice. On failure to grant the payment after receiving the said notice, the builder can be reported to the District Consumer Disputes Redressal Forum. Such messages of this forum can assist you to recover your lost money and in addition, claim for compensation for the inconvenience. Also, you can seek civil remedy under section 138 of the Negotiable Instruments Act, 1881, for the bounced cheque so as to claim the amount along with the criminal sections of the bounced cheque. Despite the fact that the project is not yet registered under RERA you can report the builder to RERA if he has deceived you or if he has not followed the proper channel. It is advisable that one should seek service of a property lawyer who may assist one in undertaking these steps and he or she protects you in the process.
These are measures that should assist you to get your money back and reduce stress that you are undergoing.
I hope this information brings clarity to your situation. If you have any further queries regarding this matter, do not hesitate to contact us again.
- There is no law to forfeit the booking amount for the cancellation, and the deduction is done at the builder’s discretion.
- Hence, legally, the builder cannot deduct any money out of the advance payment you have made for the booking till the time; a builder-buyer agreement is made and registered with the sub-registrar.
- Further, A builder-buyer agreement is not created until the buyer pays at least 10 per cent of the property value.
- Further, as per RERA, home-buyers can cancel allotment of the apartment booked with a builder at any stage even if there is no default on the part of the developer. The builder is bound by law to return the money collected from buyers within 45 days.
- Hence, if you have already paid 10 percent of the flat value, and the said agreement signed by you , is not registered in the office of the Registrar , then you are liable to get full amount refund paid by you ,even there is a clause present in the agreement for not refunding , and if the said agreement is registered , then builder has right to deduct booking amount from the paid amount.
- If, builder not refunding the same ,then you should lodge your complaint before the Consumer court , and thereby prayed for the refund of paid amount with interest.
- However , before filing the complaint you can send a legal demand notice to the builder.
