Delay in delivery of possession in a building is one of the most commonly faced and frustrating problems for a property buyer. As in any legal matter, you should posses evidence to prove your stand or allegation. Get all papers and documents ready—advertisement brochure, booking receipts with payment details, any letter sent by the developer, signed agreement, all payment details, emails exchanged, photographs collected, and others. Avoid verbal communication. Buyers should always send a legal notice before approaching any forum or court with their grievance. They should have taken objection with the builder against violations or illegal demands by sending a letter so that evidence can be created in their favour to be produced at the time of proceedings
What remedies are available in case the builder delays the construction of the building?
1. You can ask for a refund. If the builder delays the completion of the construction beyond the stipulated time, you are entitled as a property buyer to seek a refund from the builder. Demand compensation from builders for construction delays
2. If you are buying the property for personal use, you can file a case in the consumer dispute redressal commission at all the three levels i.e the district , the state and the national commission depending on the value of the property or the amount of damage you have suffered. Any dispute over 20 lakhs can be directly filed before the State Commission and any dispute over 1 crore can be filed before the National Commission in New Delhi. Any dispute for a value lower than 20 lakhs has to be filed in the District Commission in your District.
3. There are special provisions in some states for the benefit of consumers. For example, if you are in Maharashtra, you can get remedy through Section 8 of the Maharashtra Ownership Flat Act 1963, which makes the builder liable to refund the money obtained from a consumer with interest if he is unable to justify non-completion or delaying possession of his project. This section clearly works to safeguard the interest of the consumer and it is the duty of the builders to complete the construction on time.
4. There are some additional provisions which you should be aware of. For example, the Domestic Building Contracts Act 1995 states that the builder has given the following warranties (a) That all the work would be completed on time (b) That all work will be carried out in accordance with the plans and specifications set out in the contract (c) That all material to be supplied by the builder will be of a high quality (d) That the work will be done in a legal manner with reasonable care and skill, and
5. when the work is completed, the home will be fit for occupation. As per this law, you are entitled to take action for delays. Please remember that before you take any action, it is always advisable to send a legal notice to the opposite side giving them a chance to respond. Once a legal notice is sent, the builder may take action to solve the problem, and you can save the needless time and expense involved in going to court.
Approach the consumer court.