• Builder not provided completion certificate and work incomplete

1) I purchased a flat in Chennai in 2015 (there are total 6 house in the apartment). In 2015 I rented out the apartment. The builder has, however, not provided the completion certificate. He has also not completed plastering of external walls, hence I have held back some payment as mentioned in the construction agreement which says 3% of payment should be made on completion of plastering. When I contacted the builder he is asking to pay the balance then he will do the work and provide completion certificate. He has not provided marked car parking and few such amenities that was part of agreement.
We do not have a registered association. How to go about this legally?? I want the pending work to be completed and to get completion certificate, after which I am willing to make payment.
2) ALso advice on how the common expense (selling a bore well) should be shared among owners in absence of association. 4 of the flats are owned by 2 owners and 3 other flats by 3 owners. Is it by owner or by number of flats??
Asked 8 years ago in Property Law
Religion: Christian

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5 Answers

draw attention of builder to clauses in your agreement that 3 per cent payment was to be made on completion of plastering

2) further builder is duty bound to provide completion certificate . however you will have to make payment before issue of completion certificate . payment is to be made as per clauses in your agreement

3)common expenses have to be divided equally among all flat owners

Ajay Sethi
Advocate, Mumbai
99775 Answers
8145 Consultations

1. Has sale deed of your said flat been registered by the builder? If no, then you can not state that you have purchased the flat. Have you at least got the possession letter from the builder? For registering the sale deed of the flat, the builder is required to collect completion certificate from the appropriate authority and thereafter register the sale deed collecting payment strictly as per the agreement for sale signed by and between you and the builder. If you have taken possession of the flat with out any possession letter and the builder is refusing to register the sale deed in your name after completion of plastering and other works, then you can file a complaint case before the local District Consumer Dispute Redressal Forum against the builder alleging deficiency in service and unfair business practice praying for direction upon the builder to complete the pending construction and plastering work with in next 15 days failing which pay Rs.2,000/- per day's delay for another 30 days. If he still fails to comply with then said order you should complete the work by engaging a third party by paying yourself and deducting the said amount from the balance amount to be paid to the builder at the time of registration. The builder may also be directed to pay damage and cost to you.

2. The individual flats are to be counted for sharing common expenses and not their owners. In fact in most of the places, owning multiple flats by same person in a society of the same building/complex is not legally permitted. However, forming an association of individual flat owners are required for the maintenance of common areas and general amenities provided to the flat owners.

Krishna Kishore Ganguly
Advocate, Kolkata
27703 Answers
726 Consultations

Send the builder a legal notice to complete the project expeditiously, so that possession of the flat may be soon handed over to the buyers. Insist that his demand of payment of last installment, even before the project is constructed fully is not justified.

If the notice fails to help, knock the doors of the Consumer Forum.

Vibhanshu Srivastava
Advocate, Lucknow
9763 Answers
323 Consultations

Division will be by the number of flats in absence of registered association.

Also you may send him a legal notice and then can file a case in the consumer forum, this can be filed by all the flat owners together as in the consumer class action suit will be filed.

Regards

Anilesh Tewari
Advocate, New Delhi
18103 Answers
377 Consultations

The builder has to give the completion certificate and should handover possession only after the CC is given.

In fact you should not have occupied the premises without getting the completion certificate because it is not advisable to occupy the incomplete building/flat.

However, at this stage you can d nothing to rectify yor mistake except to issue a legal notice to the builder pointing out his deficiency in service and demand him to complete the same immediately or else to face the music of law. You can even demand the car parking space to be allotted to you as per the sale agreement

If the builder is not complying with the demands made then you may decide to aproach consumer court for relief and remedy.

The owners to sit and decide about the sharing of expenses of common utilities like lift, bore well, water motor.

The sharing of expenses should be based on number of units and by number of owners.

T Kalaiselvan
Advocate, Vellore
89976 Answers
2492 Consultations

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