• NCDRC - case against builder

We are only 3-4 people who want to file a case in NCDRC against the builder of an apartment. Each flat is of 40 lakh so we are thinking if we 3-4 people get together, we can submit a case at NCDRC under Section 12 (1) (c) of the Consumer Protection Act.

We do not have an association of any kind and it seems next to impossible to get 7-9 people to form an association. We do not want to file a case at the state level because it would be more costly and difficult.

How should we plan to file this case?
What is the procedure?
Is there a better option?
Is it possible to somehow form an association with 3-4 people?
What do you recommend (we know we need to contact a lawyer but we are unable to find a good one, we are still searching)
Asked 7 years ago in Property Law
Religion: Hindu

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12 Answers

f a complaint is against a builder under Section 12 (1) (c), i.e by an unregistered group of persons, it can be filed only on behalf of or for the benefit of all buyers who have the same interest and grievance against the builder. It cannot be filed seeking relief for the benefit of only some of the buyers. b. A complaint under Section 12 (1) (c) is maintainable before the NCDRC where the aggregate value of the all the apartments combined and the total compensation claimed in respect of all the buyers exceeds Rs. 1 crore. The value of each individual apartment is wholly irrelevant in such a complaint.

2) if any false statement has been made by one buyer under section 12.1.b it would affect the case . it is well settled law that a person who does not come to court with clean hands is not entitled to any relief

3) under the circumstances dont form any association to file case under section 12.1.b of consumer protection act

4) More than one complaints under Section 12(1)(c) of the Consumer Protection Act are not maintainable on behalf of or for the benefit of consumers having the same interest i.e. a common grievance and seeking the same / identical against the same person...

5)In case more than one such complaints have been instituted, it is only the complaint instituted first under Section 12(1) (c) of the Consumer Protection Act, with the requisite permission of the Consumer Forum, which can continue and the remaining complaints filed under Section 12(1)(c) of the Consumer Protection Act are liable to be dismissed with liberty to join in the complaint instituted first with the requisite permission of the consumer forum....

6)those persons who are not part of complaint filed under section 12.1.c can raise their concern before NCRDC . it would delay disposal of complaint and affect the whole group

Ajay Sethi
Advocate, Mumbai
96803 Answers
7810 Consultations

Yes you can file the case in ncdra, you need not form any association, but you all 3-4 people will become party as separate individuals. As a first step you can send a legal notice to the builder and thereafter a complaint needs to be drafted and filed in ncdrc.

Varnika Singh
Advocate, New Delhi
327 Answers
2 Consultations

I can help you out with the case, if you find it suitable

Varnika Singh
Advocate, New Delhi
327 Answers
2 Consultations

1. If the dispute the regarding common facilities then you must required to give notice to all the flat owners about filing of this case or majority of the total flat owners should join you.

2. if the valuation is within 1 crore then you can file cases individually in state commission.

3. To file case beofre the consumer forum there is no need to form any association.

Devajyoti Barman
Advocate, Kolkata
23198 Answers
510 Consultations

Dear Client,

Its hard to form association of 4 persons.

Please check below link for better understanding the interpretation of Sec 12 1 (c).

http://www.thelogicalbuyer.com/blog/ncdrcs-full-bench-judgement-on-section-12-1-c-of-the-consumer-protection-act/

Yogendra Singh Rajawat
Advocate, Jaipur
22987 Answers
31 Consultations

Hello sir , you all together can file a single petition in national consumer forum as your jurisdiction exceeds 1 crore jointly ..

Hemant Chaudhary
Advocate, Gurgaon
4630 Answers
67 Consultations

Under 12(1) (c) the respondent and the cause of action should be the same , to file a joint petiton .. It is not essential to form a association ..

Hemant Chaudhary
Advocate, Gurgaon
4630 Answers
67 Consultations

You may file the case in the State Consumer Forum Also

Bear in mind that association can not be formed for 4 people and then it will become difficult to maintain the class action suit before the NCDRC

One option is that you move the complaint before RERA, the committee has been constituted in Lucknow

Otherwise if you want that your case is filed before the SCDRC in cheaper rate then you can contact me, I have my head office in Lucknow itself, I can help you with regards to the same.

Regards

Anilesh Tewari
Advocate, New Delhi
18090 Answers
377 Consultations

Class actions suits have recently been permitted to be filed under the CP Act, by the NCDRC.

If your are 3-4 flat buyers, this would be filed in NCDRC.

Get in touch with a lawyer having a prior experience of handling litigation in NCDRC.

If for some reason you are unable to reach the threshold of 1 crore, all f you will have to file individual complaints before the SCDRC at Lucknow.

No need to form an Association. This cant be filed without an Ass.

Please get in touch.

Vibhanshu Srivastava
Advocate, Lucknow
9659 Answers
307 Consultations

Please note you need to file before district consumer forum since its individual property.... even if 3-4 people jointly file petition it will be individual case as cause of action is different ....

Swarnarka Chowdhury
Advocate, Mysore
1879 Answers
5 Consultations

Hi

1) In order to file a petition under 12(1)(c) at NCDRC the most important thing NCDRC considers is whether

a) there should be 2 or more persons and

b) there is common interest or a common grievance against the same persons(s) and are seeking the same / identical relief against the same person....

2) Kindly pursue the Judgment of NATIONAL CONSUMER DISPUTES REDRESSAL COMMISSION in CONSUMER CASE NO. 97 OF 2016(Also referred to as AMBRISH KUMAR SHUKLA & 21 ORS) to understand how 12(1)(c) is applicable in your case.

3) Also forming an association will not help unless and until association is a consumer. i.e association is also owner of a flat.

4) So it is better to file 12(1)(c) petition like Mr. ABCD & 4/5/6 Others

5) In general before admitting a 12(1)(c) petition, a two member bench will hear out your case and issue leave of appeal to list the case under 12(1)(c) . So at the time of admission we need to establish common cause/grievance, common relief, pecuniary jurisdiction etc.

6) Also once the petition is admitted, you will need to issue a news paper advertisement to notify whether other buyers in your apartment complex are also willing to be impleaded in the 12(1)(c) petition. Costs of news paper advertisement should be borne by you.

7) In general 12(1)(c) petition should help avoid multiple litigation and costs. However at NCDRC, I will say that it is taking about 2 -3 years time for an 12(1)(c) petition to get adjudicated. So when compared to state commission, NCDRC seems to be working slow but you need to consider that you are indirectly saving in appeal time if you approach NCDRC directly (subject to pecuniary jurisdiction)

8) The court fees for filing a 12(1)(c) at NCDRC is only Rs5000-/-. Lawyers professional fees and documentation charges are extra .

Hope this information is useful.

Rajgopalan Sripathi
Advocate, Hyderabad
2173 Answers
394 Consultations

You first reduce all yor grievances to writing, see the common grievances among you all, list them out first.

Prepare a complaint as per provisions of consumer protection act, you can get guidance from internet or through a lawyer in the local.

If you all have common grievances then first put them across in the complaint and then list the individual grievances also followed by the common grievances, seek relief for the common issues first and for the individual problems next, if you justify for a joint petition, then go ahead becasue the hidden danger is tht individual grievances may not be looked into while common grievances may be handled effectively.

You may better take the assistance of a lawyer for further steps in this regard.

T Kalaiselvan
Advocate, Vellore
87004 Answers
2335 Consultations

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