• Compensation for delay in possession

Emaar MGF is refusing to pay compensation for delay in possession of emerald floors at Sec 65 Gurgaon on pretext of delay in making payments . The project is delayed by more than 5 years and as per builder buyer agreement , conoensation should be about 9 lacs rupees , Pl advise
Asked 7 years ago in Property Law
Religion: Hindu

2 answers received in 1 hour.

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6 Answers

if builder refuses to pay compensation file complaint before consumer forum against builder for unfair trade practice

2)seek compensation for 9 lakhs as per builder buyer agreement for delay in delivery of flat for 5 years

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

4) contact a local lawyer

Ajay Sethi
Advocate, Mumbai
95168 Answers
7604 Consultations

5.0 on 5.0

if builder has promised in agreement that project will be handed over in a fixed period then he is bound by that agreement. if delay is caused then builder shall pay compensation and interest on the principal amount including allotment fee @6% from the date of agreed transfer of possession (U. G. Properties vs Sant Singh 2016 SC).

you may file a case before the consumer forum.

Shivendra Pratap Singh
Advocate, Lucknow
5127 Answers
78 Consultations

4.9 on 5.0


1) Issue a legal notice to Emaar MGF demanding compensation for delay in giving possession. Be sure that time is the essence of contact. There must be such a clause in the Agreement.

2) If the builder fails to pay you can approach the Consumer Redressal Forum with your complaint . There's deficiency in the service on part of the builder as he failed to deliver possession on time.

3) Your alternate option is to file a civil suit for damages in a court against the erring builder.

S J Mathew
Advocate, Mumbai
3561 Answers
175 Consultations

5.0 on 5.0

Was there delay in remittance of payments by you? Delay in making payments is a ground on which the builder can refuse to pay the compensation agreed upon. If there is no delay made in payments by you then you may move the consumer forum against the builder to seek the compensation with interest.

Ashish Davessar
Advocate, Jaipur
30763 Answers
972 Consultations

5.0 on 5.0

Dear Concerned,

Yes the developer should pay compensation and you would be suggested to file a consumer case to recover the dues, however it would be wise to take the possession and get the registry done before considering to go legal.

Once you have the possession and registry you would be in a better possession to negotiate through court, also at the time of possession developer may ask you to sign an affidavot or agreement stating that you wont file any case for recovery etc, - you may choose to ignore it - however if you are forced to do it - you may consider signing it as these one sided agreements are also not valid in law.

Best of Luck

Atulay Nehra
Advocate, Noida
1309 Answers
58 Consultations

5.0 on 5.0

If the builder has violated the conditions of sale agreement you may initiate proper action to rectify the same.

If there is a clause for payment of interest for the period of delay beyond stipulated period, then you can very well demand the same.

If the builder refuses to pay it, then first you issue a legal notice demanding the same and after that you may drag him to consumer forum seeking relief, remedy and compensation for the mental strain as well.

T Kalaiselvan
Advocate, Vellore
85369 Answers
2231 Consultations

5.0 on 5.0

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