• Legal possibilities against the big construction company

Purchased an apartment with top real estate company who handles many residential projects. Committed reference bonus as benefit while booking at 40% payment. It’s been a year still the referral bonus adjustments are not done inspite of continuous followup and multiple visits to their office. Now they charging penalty for one year and threatening termination. Project was booked three years before and now the price is increased so the termination would be loss for me. For one year crm team is not replying to any of my mails and even visiting to their office not making any positive progress as they just spinning up stories just to pass that specific day knowing I cannot come every single day. I’m losing my patience and impacting my mental health. Since they are big real estate firm hesitant on legal approach. Please suggest how to handle the situation and how effective would be the legal actions against the big real estate firms.
Asked 1 day ago in Property Law
Religion: Hindu

First answer received in 30 minutes.

Lawyers are available now to answer your questions.

9 Answers

Pay amount under protest 

 

sue the company to recover amount due and payable by you 

 

also seek litigation costs and compensation for mental torture undergone by you 

Ajay Sethi
Advocate, Mumbai
96913 Answers
7819 Consultations

- If the said company backtracking from their promises which is mentioned in the agreement , then the said company is under obligation to pay the same 

- Further, if the construction is delaying and not handing over the possession on time then you have right to claim 10% penalty from the said company. 

- You can send a legal notice for getting the same and if no positive response then file a complaint before the Consumer Forum and thereby you can claim compensation as well for the harassment caused to you. 

Mohammed Shahzad
Advocate, Delhi
14495 Answers
221 Consultations

1. File a complaint case as per RERA applicable in your State against them alleging deficiency in service and unfair business practice.

 

2. You have fair chance to win the case provided you have preserved all the evidence to establish your allegations.

 

3. It is immaterial that the opposite party is a big construction company.

 

4. Engage a local lawyer having expertise in this field.

Krishna Kishore Ganguly
Advocate, Kolkata
27457 Answers
726 Consultations

You should not stop the payment due to the builder, however you create a record by sending a letter to the builder in writing and sent by registered post demanding the promised referral bonus.

You don't have to be scared by the size of reputation of the builder company, if they have not fulfilled their promise to pay the referral bonus and the same was found in their brochure, then it is an unfair trade practice, you can drag them to consumer distress redressal commission for deficiency in service and unfair trade practice.

You can also give a complaint to the RERA and seek their intervention as well as remedy.

T Kalaiselvan
Advocate, Vellore
87113 Answers
2338 Consultations

What is reference bonus?

Which is going to be terminated?

Rajaganapathy Ganesan
Advocate, Chennai
2185 Answers
8 Consultations

 


  • Legal Notice: Hire a lawyer to send a notice demanding referral bonus adjustment and penalty waiver.

  • RERA Complaint: File a case if the project is RERA-registered for breach of agreement.

  • Consumer Forum: File for breach of agreement, mental harassment, and financial loss.

  • Negotiate: Notify them in writing about legal steps to push for resolution.

  • Document Proof: Maintain records of payments, emails, and visits.

  • Stay Persistent: Legal actions via RERA and consumer forums are effective even against big firms.

 

Shubham Goyal
Advocate, Delhi
135 Answers

Dear Client,

In the Present Scenario, you may take several legal steps to address the issue. Firstly, you may have to gather the communication records, the relevant agreements, receipts and other documentation evidences, that refer to the bonus commitment. Herein, you may file a complaint with the RERA Authority, that mandates the developers to adhere to the terms of the agreements, and further imposes a penalty for non-compliance. However, if the developer fails to respond to the complaint filed, you may also approach to the consumer court, under the Consumer Protection Act, for failing to deliver the promised bonus, and imposing unjust penalties. Besides, if there is a breach of contract, you may also seek for specific performance or compensation under the Indian Contract Act. You may firstly, send a legal notice through a lawyer, demanding the developer to stay with their commitment and withdraw the penalty. However, on failure to reply for the notice, you may take the matter to the consumer court, and take the necessary legal action.

Hope you find this answer beneficial for resolving the dispute.

Anik Miu
Advocate, Bangalore
10159 Answers
119 Consultations

You can approach consumer court against the said company if the flat was not booked for resale by you 

Prashant Nayak
Advocate, Mumbai
32479 Answers
200 Consultations

is there any agreement in writing stating that you will be entitled to a rebate on account of referral bonus?

Yusuf Rampurawala
Advocate, Mumbai
7678 Answers
79 Consultations

Ask a Lawyer

Get legal answers from lawyers in 1 hour. It's quick, easy, and anonymous!
  Ask a lawyer