• Delay in possession

I booked a flat in Oct 2010 and the builder issued letters for posession in sep 2016. Am I eligible for delayed posession penalty from the builder if I am to take the posession now. There is no mention of completion date in the agreement. Also the agreement value was 45 lakhs ( which has been paid) and the builder is asking for development and other miscellaneous charges in cash from me for posession. He also wants 6.5 lakhs from me as delayed payment charges for the delay by the housing finance co LIC as the housing co found that the demand letter has more amount than the work completed.Why he wants the money in cash and what can I do for all the above mentioned points.
Asked 7 years ago in Property Law
Religion: Hindu

Ask a question and receive multiple answers in one hour.

Lawyers are available now to answer your questions.

6 Answers

dont make any cash payment

2) refuse to pay Rs 6.5 lakhs claimed by builder as amount demanded was more than work completed

3) file complaint against builder before consumer forum and seek orders to direct builder to pay compensation for delay in delivery of possession

4) seek orders to direct builder to hand over possession to you

Ajay Sethi
Advocate, Mumbai
94695 Answers
7528 Consultations

5.0 on 5.0

1. You Are liable for payment anything more which is not mentioned in the sale agreement.

2. It is not clear whether the construction is fit for possession or not.If not then possession letter is not supposed to be issued.

3.Only of the the builder has delayed delivery of possession beyond any reasonable time then only you are liable for penalty for which you will have to file case in consumer forum. Few months of delay is not damaging.

Devajyoti Barman
Advocate, Kolkata
22816 Answers
488 Consultations

5.0 on 5.0

It is extraordinary delay

2) builder should have delivered possession within period stipulated in sale deed

3) if there is no period mentioned in sale deed then he should have delivered possession in reasonable period of say 3 years

4) interest for delayed payment by you has to be made by cheque and not cash

Ajay Sethi
Advocate, Mumbai
94695 Answers
7528 Consultations

5.0 on 5.0

6 years delay is not usual and hence you can file case before the consume forum for claiming damages and compensation.

Devajyoti Barman
Advocate, Kolkata
22816 Answers
488 Consultations

5.0 on 5.0

Also the agreement value was 45 lakhs ( which has been paid) and the builder is asking for development and other miscellaneous charges in cash from me for posession. He also wants 6.5 lakhs from me as delayed payment charges for the delay by the housing finance co LIC as the housing co found that the demand letter has more amount than the work completed.Why he wants the money in cash and what can I do for all the above mentioned points.

You can deny the payment of any additional amount demanded by the builder for an reason which is beyond your control

You can state the same reason which has been quoted by the financier for the delay in settlement.

In fact you can seek penal interest for the delay in completion of construction beyond the stipulated period.

T Kalaiselvan
Advocate, Vellore
84896 Answers
2190 Consultations

5.0 on 5.0

1. He has offered possession after 6 years. It is fit for possession so is it reasonable delay or extraordinary delay.

You hav to go through the sale agreement where it would be mentioned about the period of handing over possession after completion of construction.

If the delay is extra ordinary as per the agreement, then you may claim penal interest for the period of delay.

2. Is he justified in asking for delayed payment and that too in cash.

You can deny the payment and also ask him to give in writing so that you can give a reply in writing about the circumstances that led to the delay in payment.

3. I didnt understand point no 1 where you say i am liable for payment even if not mentioned in the sale agreement

You draft a reply through your advocate denying the allegations and the payment demanded, let him take legal action, which can be challenged.

T Kalaiselvan
Advocate, Vellore
84896 Answers
2190 Consultations

5.0 on 5.0

Ask a Lawyer

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