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STATE CONSUMER FORUM DIRECTS A BUILDER TO REFUND HOME BUYER WITH COMPENSATION


CA Ramesh Agrawal

 

A builder of Chandigarh namely Sushma Buildtech Limited has been directed by the State Consumer Disputes Redressal Commission (SCDRC) to refund Rs 52.74 Lakh and a compensation of Rs 50,000 to an Army official for delaying the possession of an apartment by five months.

Major Ashish Saurabh Sharma, booked a residential apartment in a project known as  Sushma Crescent  located at Gazipur, Zirakpur, Punjab. The total price of the apartment was Rs 55.77 Lakh and the buyer paid Rs 52.74 lakhs during January 2015 to June 2016.

As per agreement, the Company was committed to give possession of the apartment within 36 months from the date of execution of the agreement. The Company failed to deliver the possession in time.

During the case the company pleaded that the homebuyer made a default in making payment and his allotment was cancelled as per the terms of the buyer agreement after giving many opportunities to clear outstanding dues.

However, the court stated that the homebuyer had booked the unit under a construction linked payment plan and he had already made a payment of Rs 52.74 lakh, which is more than 95% of the total consideration price of apartment. Further, as per the agreement payment schedule, the homebuyer was required to pay Rs 50.99 lakh.

Therefore, the objection raised on the part of outstanding payments does not hold good. The company also stated that possession was offered vide letter dated April 24, 2019, but the homebuyer did not come forward to take it.

The court stated that the possession was offered without a completion certificate (CC) and there  is no obligation on the part of the homebuyer to take possession when there is no completion certificate.

 

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  1. Unknown19 April 2021 at 00:21

    Proper action taken by the court , I wish in our case , similar verdict should be given.

    ReplyDelete
  2. Unknown19 April 2021 at 00:22

    Nice information by Mr. Ramesh

    ReplyDelete

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