• Booking cancellation amount not being refunded

I have booked a property under me and my mother's name. The property is being developed by Vishwakarma Group of Companies and marketed by Modern Property. So all our conversation. transaction took place with the Modern Properties agents. During the time of booking we gave an amount of INR 3,00,000. After that they provided the documents pertaining to the property which was an incomplete and have not recieved the complete set yet. Also the plan mentioned in those documents were different from what they have showed us and they confirmed to send the updated plan which again didn't turn out to be true. Next after a few months they asked for INR 5,00,000 towards the building and only after that they provided the agreement paper that is also in soft copy. After reading the agreement we discovered that it includes some charges which were not disclosed while making the booking. Hence due to all the bitter experience we decided to cancel the booking and we informed the same in writting about 4 months back asking for full refund. The modern property agents kept on delaying the issue stating they are in the terms of talking with developers to work out the deal. After 4 months due to dire need of money we decided to pay INR 50,000 as fine as mentioned in the agreement (NOTE: The agreement which we recieved only after paying the INR 8,00,000) but even then the agents are not responding to my calls nor they are communicating through emails.

Kindly suggest what should be my next action.
Asked 2 years ago in Property Law from Kolkata, West Bengal
1) contact a local lawyer 

2) issue legal notice for refund of rs 8.50 lakhs together with interest .mention all facts  mentioned by you that plans forwarded were different from those shown at time of booking . 

3) if  agents as well as builder fails to refund your money move consumer forum against builder and his agent for deficiency in service 

4) seek refund with interest and also compensation for mental torture undergone by you
Ajay Sethi
Advocate, Mumbai
23351 Answers
1221 Consultations
5.0 on 5.0
1. In absence of the agreement or booking contract it is difficult to advie on penal liability of the aprties herein.
2. prima facie the builder can not deviate much from what they have marketed the product through the brochure though it is equally right that all the nitty gritty of a detailed sale agreement can never be mentioned in the marketing booklet.
3. Check the cancellation clause and apply for it.
Devajyoti Barman
Advocate, Kolkata
5245 Answers
54 Consultations
4.9 on 5.0
1.  The real estate sector in India is not known for its transparency. You must have booked the property in pursuance of a contract with the builder. So, both of you are now bound by the terms of contract. None of you can go against the contract and having paid the money. If the contract has been signed and you have made payment in acceptance of the contract, repudiation thereof will be difficult.

2. Is there any cancellation clause in your agreement? If yes, you can demand for refund of the money. Cancellation of the booking and refund of the earnest money paid can be made strictly in terms of the contract.

3. You have to issue a lawyer's notice to the builder to seek the refund of the money paid to him. If he refuses to refund it then file a suit for for recovery of money.
Ashish Davessar
Advocate, Jaipur
18183 Answers
449 Consultations
5.0 on 5.0
Hi, issue legal notice for claiming. 8.50 lack amount. There afterwards file a complaint under consumer protection act and it is better you can file through advocate.
Pradeep Bharathipura
Advocate, Bangalore
4105 Answers
133 Consultations
4.3 on 5.0
1) the agreement has not been signed by you and hence builder cannot seek to deduct Rs 50,000 from the amount of Rs 8.50 lakhs  paid by you 

2) if at time of booking flat certain  terms and conditions were mentioned by builder  in MOU signed by you then builder could have deducted amount of Rs 50,000 as cancellation charges
Ajay Sethi
Advocate, Mumbai
23351 Answers
1221 Consultations
5.0 on 5.0
1. Did you not execute the sale agreement before paying the booking amount? If the agreement does not bear your signature then no agreement has been entered into between you and the builder. It was not wise on your part to pay the booking amount without entering into an agreement with the builder.

2. Now issue a lawyer's notice to the builder to refund the booking amount with interest, compensation and bear the litigation cost. If the builder does not accede to your demand then move to the consumer forum against him.
Ashish Davessar
Advocate, Jaipur
18183 Answers
449 Consultations
5.0 on 5.0
A. Have you signed any booking application form at the time of booking the flat? Is there any hidden terms and conditions mentioned in the Application form. Usually, terms and conditions of the agreement will be prevail, subject to follow the Indian Contract Act's principles. 

B. However, Notwithstanding anything contained in the terms and condition which is mentioned in the application form, the builder has no right to deduct the said cancellation amount because of the terms and conditions mentioned in the application cannot be treated as an agreement in the eyes of law. Every agreement should be executed by paying sufficient stamp duty and must follow the basic requirements of the Indian Contract Act.

C. As per your statement, you have not been signed in the agreement paper, hence you are not liable to waive Rs. 50,000/- towards the flat cancellation. 

D. You can issue a legal notice to the builder then you can approach the Consumer Forum under the deficiency in the Service and unfair trade practice.
B.T. Ravi
Advocate, Bangalore
736 Answers
31 Consultations
5.0 on 5.0
1. File a complaint case before the local District Consumer Dispute redressal Forum alleging deficiency in service and unfair business practice claiming refund of the entire amount, interest, damage and cost,

2. It is a good case to win.
Krishna Kishore Ganguly
Advocate, Kolkata
12131 Answers
233 Consultations
5.0 on 5.0
Even if you have signed such an agreement, you can definitely claim that you were forced to sign that agreement to get back your money which you dearly needed.
Krishna Kishore Ganguly
Advocate, Kolkata
12131 Answers
233 Consultations
5.0 on 5.0
Even an oral agreement also considered as agreement or contract. 

1.Send a issue legal notice for refund of rs 8.50 lakhs together with interest .
2.File a  case before the  District Consumer  Forum advance the claim of  deficiency in service and claiming refund of the entire amount, interest, damage and cost,
Ajay N S
Advocate, Ernakulam
1916 Answers
19 Consultations
5.0 on 5.0

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