Delay in possession of one’s own flat has become a common concern among the homebuyers today. This takes a toll on their hard-earned life savings and can be very distressing for the buyer. In a recent case, the State Consumer Disputes Redressal Commission, Punjab ordered the builder to pay Rs. 30,000 as compensation along with interest to the aggrieved buyers for delaying the possession of the flat.

Facts of the Case
In the present case involving Jayant Chawla, and his wife Ashima Chawla, the issue of delayed flat possession was brought up. The complainant party had booked a flat in SBP South City, Bisanpura village, VIP Road, Zirakpur, for around Rs. 38,00,000. Even though they received the possession letter in December, 2013, they weren’t provided with the actual possession of the flat until 2014; and even then basic facilities like electricity supply, water supply, garbage disposal system etc were not provided for. The accused in the case was Singla Builders and Promoters Limited who was based in Kharar. The complaint was claimed to be false by them and they sought dismissal of the same. According to the accused, the complainants had been provided with the possession of the flat well in time along with all the promised and basic facilities.

Decision of the Commission
The State Consumer Disputes Redressal Commission, Punjab held that the complainants were entitled to compensation as the ‘possession was offered beyond the stipulated date and even the completion certificate was obtained by the developer in 2016’. The State Consumer Disputes Redressal Commission ordered Singla Builders and Promoters Limited to pay Rs. 30,000 as compensation owing to the inordinate delay in providing the physical possession of the property to the complainants, along with 7% interest.

Remedies Available to the Buyer
The National Consumer Disputes Redressal Commission (NCDRC) recently (in may, 2019) declared that if the homebuyers are not provided with the possession of their flats within one year owing to inordinate delay, they can claim refund from the builders. The buyer has further been provided with various remedies under the Indian law:

  • A legal notice can be sent to the builder for the possession of the flat.
  • The buyer can file a consumer complaint in the appropriate court for deficiency of service under the Consumer Protection Act, 1986.
  • A criminal case can be instituted against the builder for committing fraud as well.
  • The Real Estate Regulation Act of 2016 comes to the rescue of the aggrieved party as section 18 of the act directs the builder to provide refund or compensation to the victim, whichever is preferred by the buyer, for the delayed possession of the flat.

You can also consult expert/best/top Consumer/Delay in Possession lawyers for your case to get justice. This post is written by Simranjot Kaur from Army Institute of Law.

Consumer Complaint against SBP South City
Consumer Complaint against SBP South City

For more adept legal help or information about the possession of property in India, dial 7888356908.

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