• Discrepancy in property plan - less carpet area - want entire booking amount back

On the basis of a under construction property plan layout shared with us on 14-Aug-2017, we had selected a flat of super built-up area of 919 sq. ft. and also made necessary payments (cheques dated 19-Aug-2017 and 21-Aug-2017) as booking on 16-Aug-2017.
(The property is being marketed by Indiabulls Ltd. and I heard about the project from a pamphlet circulated by them, near our office.All discussions during flat selection and booking were done with Indiabulls agents.
This booking amount submission included a customer cancellation clause of no-refund of Rs. 2 lacs.)AT THAT POINT, WE DID NOT CALCULATE THE CARPET AREA FROM THE SHARED PLAN TO VERIFY THE CORRECTNESS OF AREA DEDUCTION FROM SBU TO CARPET AREA MAINLY BECAUSE A REPUTED ORGANISATION LIKE INDIABULLS IS ASSOCIATED WITH THE PROJECT.
On 17-Aug-2017, we calculated the carpet area and observed that there is a discrepancy between the apartment area proposed by Indiabulls/developer(SBU 919 sq. ft.- standard carpet area is 70% of the same i.e. around 640 sq. ft.) and the carpet area of the apartment exhibited in the layout.
The carpet area of C1 block as per the plan is around 400 sq. ft. (only 45% of 919 sq. ft.) which is much less than the deduced carpet area for a 919 sq. ft. apartment i.e. 640 ft.
Immediately the same concern was raised with Indiabulls sales agent on 18-Aug-2017 and we got a response in email with an attachment, that the plan to be followed in real is the e-brochure plan (attachment) that depicts a carpet area of around 554 sq. ft. 
This resolved our concern to some extent and hence we DID NOT stop payment of the first cheque dated 19-Aug-2017.
Later upon raising concern repeatedly with the Indiabulls sales agent about this gap between the original shared plan and the e-brochure, it was communicated by him that this deviation is a printing mistake in the original plan and will be rectified shortly by the developer.
(NB - When we tried to contact the developer for resolution of the concern, we were told that we, customers, will have to connect with Indiabulls regarding ANY matter of the construction or purchase as we have purchased the property from them)
After the above said both cheques were cleared, the first demand for payment arrived and the developer agreed to meet us in person.
We visited the developer’s office on 25-Nov-2017 and learned from the developer that the original plan (that was told to be INCORRECT by the IndiaBulls sales agents, is the actual plan. The e-brochure will NOT BE FOLLOWED and its AREA DEPICTION SHOULD NOT BE CONSIDERED by us.
Hence the carpet area, based on which we had proceeded for the purchase and NOT STOPPED PAYMENT of the booking amount, DOES NOT HOLD GOOD. 
Based on the above scenario, here are MY questions :
1. What are the legal options that I can take for this matter (grouper into 2 categories) ?
2. Can I get my entire booking amount back as the cancellation is a result?
CanIclaimAReductionOfEqvAmt
Asked 8 years ago in Property Law
Religion: Hindu

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20 Answers

1. Send a legal notice seeking refund of your full deposit with the builder together with the refund.

2. RERA section 12 is being re-produced here-under for your perusal:

""12. Where any person makes an advance or a deposit on the basis of the information

contained in the notice advertisement or prospectus, or on the basis of any model apartment,

plot or building, as the case may be, and sustains any loss or damage by reason of any

incorrect, false statement included therein, he shall be compensated by the promoter in the

manner as provided under this Act:

Provided that if the person affected by such incorrect, false statement contained in the

notice, advertisement or prospectus, or the model apartment, plot or building, as the case

may be, intends to withdraw from the proposed project, he shall be returned his entire

investment along with interest at such rate as may be prescribed and the compensation in the

manner provided under this Act."

If the lgeal notice fails to help, approach RERA.

Vibhanshu Srivastava
Advocate, Lucknow
9765 Answers
323 Consultations

You are liable to be refunded your entire investment/deposit with the builder, together with interest thereupon. The Builder has failed to discharge his obligation as contained under section 12 of the RERA Act.

Vibhanshu Srivastava
Advocate, Lucknow
9765 Answers
323 Consultations

The notice that you send to any person, giving him one last occasion to do the needful, before approaching the Court and taking a legal action against him/her is called a legal notice. This is always sent through a lawyer.

This will pave the way for you to get the entire refund. However, it is not sure that the legal notice will always be effective. Sometimes, these notices fall on deaf ears and in the said case, one has to take the next step, that is approaching the Curt and filing a case. That's the reason why I said, in case the notice fails to help you will have to approach RERA.

Yes, RERA is applicable to West Bengal. You can find details about WB RERA at:

http://apnarera.com/rera-west-bengal

You are advised to get in touch with a lawyer, so that he does the needful on your behalf.

Vibhanshu Srivastava
Advocate, Lucknow
9765 Answers
323 Consultations

You should cancel your booking on account of discrepancies in carpet area of flat

2) seek refund of money paid with interest

3) if builder refuses file complaint before consumer forum and seek orders to direct builder to refund your money with interest

4) also claim litigation costs and compensation for mental torture undergone by you

Ajay Sethi
Advocate, Mumbai
99994 Answers
8163 Consultations

1) it is not necessary to issue legal notice

2) you can cancel your booking and seek refund of money paid by you

3) you can file complaint against builder before RERA if you so desire

4) it is applicable in West Bengal too

Ajay Sethi
Advocate, Mumbai
99994 Answers
8163 Consultations

Legal notice is a not remedy for a dispute,if any.

It is mere seeking resolution of your remedy which is often ignored.

In the rpesent crcumsatcnes the most efficaicious and expeditious remdy is to file a case beofre the consumer forum wherein you griveances apart from being redied will be awarded with nough damages and comoensation as well.

So if you need further assistance on this feel free to contact.

Devajyoti Barman
Advocate, Kolkata
23659 Answers
538 Consultations

Hi , in Bengal the RERA court is still not formed .. However , its provisions are applicable on every developer .. The developer cannot alter the layout Map and the details of carpet are mentioned in the brochure ... It is advisable that you lodge a criminal Complaint of cheating and criminal breach of trust with the police station .. Also file for refund seeking compensation alongwith Interest in the consumer court

Hemant Chaudhary
Advocate, Gurgaon
4632 Answers
67 Consultations

It would take at Least 2 years for complaint in consumer forum to be disposed of . It all depends upon number of cases pending in consumer forum

2) you should get refund order on account of discrepancy in carpet area of flat

3) you can seek refund only after cancellation of booking

Ajay Sethi
Advocate, Mumbai
99994 Answers
8163 Consultations

There are bright chances that you get your money. Ack alongwith interest by filing a case in the consumer forum alongwith the interest.

The same will take 2 years to get decided

Anilesh Tewari
Advocate, New Delhi
18103 Answers
377 Consultations

Legal notice means a notice from an Advocate asking him to refund the money because he has failed to deliver the property as promised. The Advocate through the legal notice will call upon the developer to refund the money failing who h you will file a case in the consumer forum.

If he fails to refund the money even after getting the legal notice then case will be filed in consumer forum.

Anilesh Tewari
Advocate, New Delhi
18103 Answers
377 Consultations

Contact a local lawyer.

This amounts to unfair trade practice and you will get the money back.

Claim litigation charges and damages towards mental harassment.

Regards

Anilesh Tewari
Advocate, New Delhi
18103 Answers
377 Consultations

1. First of all take a letter from the Developer confirming that fact that they are constructing the project strictly as per the original plan and not as per the e-brochure since you shall have to first establish that there has been deviation from their e-brochure before taking any action at this stage. You can collect audio/video recording of the conversations of the builder also as an evidence in support of your claim of the deviation from what has been mentioned in the e-brochure. Otherwise you shall have to file the case after you receive the possession of the flat having deviation from the e-brochure claims.

2. Once the deviation is established, send a legal notice to Indiabulls Ltd. asking them to refund you the amount paid by you with interest as per bank rate within next 15 days.

3. If they fail or refuse to refund you the said amount, file a complaint case before your District Consumer Dispute Redressal Forum against Indiabulls Ltd. also making the Developer a party, alleging deficiency in service and unfair business practice claiming refund of the amount paid by you with interest, damage and cost.

4. It is a very good case to win.

Krishna Kishore Ganguly
Advocate, Kolkata
27736 Answers
726 Consultations

1. By legal notice you claim for justice. it is also called demand for justice. it shall have to send first as otherwise the other side might say later on that you have not asked for the same from them and had you asked, they would have given.

2.Legal notice is a legal requirement before filing suit.

3. If they do not pay, then your legal notice fails.

4. You should not go by the cancellation clause now since your claim for refund will not be governed by the said agreement as they have violated the first clause of the agreement i.e. area of your flat being purchased. Once the first clause has been violated, further clauses of the agreement becomes unenforceable.

5. RERA is not all that effective in West Bengal.

Krishna Kishore Ganguly
Advocate, Kolkata
27736 Answers
726 Consultations

1. Consumer forum is the right forum to be approached by you in the given circumstances. it is the fastest and the case is expected to be disposed of within 1 to 1/2 years from the date of its filing. There are several such cases where the entire amount with interest and cost has been directed to be refunded to te buyer.

2. You need not calculate what should be the carpet area against the SBU. Your case has now become straight jacketed since Indiabulls Ltd. have mentioned a particular area of the flat which you have booked which is not being constructed by the Developer and he is constructing your fjhat with lesser area than what has been mentioned in the e-brochure sent by Indiabulls Ltd. while claiming payment from you which can be considered as deficiency in service and unfair business policy being the two legal ingredients required for filing consumer cases.

3. Do not go for the cancellation at all. ask or the refund with interest and substantial amount towards damage (mental and physical) caused to you along with the legal cost from the Consumer Forum.

Krishna Kishore Ganguly
Advocate, Kolkata
27736 Answers
726 Consultations

Based on the above scenario, here are MY questions :

1. What are the legal options that I can take for this matter (grouper into 2 categories) ?

2. Can I get my entire booking amount back as the cancellation is a result?

CanIclaimAReductionOfEqvAmt

Since the developer has clearly mentioned the actual fact, you cannot agitate your matter with the developer, you can attack the India Bulls company directly by first sending them a legal notice with the observation and express your regret to continue the booking due to their act of cheating the customer this manner.

You can inform them that you are cancelling the booking due to this act of cheating done by the company and demand full refund of the booking amount or else to face the issue in consumer forum.

Drag them to appropriate forum for relief and remedy

T Kalaiselvan
Advocate, Vellore
90196 Answers
2506 Consultations

Legal notice is the notice to be given by your lawyer or you expressing your grievances in this regard.

You can discuss the issue at length with your lawyer and proceed as per the suggestions received if convinced.

Complaints can be filed under Section 31 of the Real Estate (Regulation and Development) Act, 2016, either with the Real Estate Regulatory Authority or the adjudicating officer. Such complaints may be against promoters, allottees and/or real estate agents. Most state government rules, made appurtenant to the RERA, have laid out the procedure and form, in which such applications can be made.

A complaint under the RERA is required to be in the form prescribed under the respective states’ rules. The complaint can be filed with respect to a project registered under RERA, within the prescribed time limit, for violation or contravention of provisions of the act or the rules or regulations framed under RERA.

T Kalaiselvan
Advocate, Vellore
90196 Answers
2506 Consultations

1. The consumer forum may take at least two years to dispose such complaints owing to several factors that govern the issue.

2. The law regarding the super built up area and the carpet area and the conditions mentioned therein in the agreement should be gone through again to challenge the same if it is unjustified.

The builder or developer cannot impose his own condition affecting the interest of the buyer to a larger extent.

Whether the RERA is effective or not in WB, you can still approach them

3. You cannot approach the court directly without cancelling the booking and demanding the refund of the booking amount, either way you have to cancel the booking without which refund is not maintainable, you may discuss this issue with your advocate before proceeding to court.

T Kalaiselvan
Advocate, Vellore
90196 Answers
2506 Consultations

1) not wise to accept the offer as there are no flats currently available

2) don’t know when cancellation would occur

3) ask them to give in writing that within 6 months they would offer larger flat failing which your money would be refunded with interest

Ajay Sethi
Advocate, Mumbai
99994 Answers
8163 Consultations

This offer for an upgradation is uncertain as on the present date, hence instead of waiting for a non-existent flat and getting disappointed at a later date, you may better utilise the opportunity what is available in the present day circumstance.

You can take a firm decision based on your needs and the prevailing circumstances.

You can refuse the offer made by them if you do not trust their assurances.

You should not have a wavering mind on this.

You communicate your decision based on your desire and the situation firmly without any hesitation, let them decide the next course.

T Kalaiselvan
Advocate, Vellore
90196 Answers
2506 Consultations

If you want to go ahead and accept this offer, but before finalising ask them as to how many cancellations have occurred in last few months, and what is the scope for cancellation.

And yes you will always face those problems stated by you.

Therefore it is advised that you go for this situation subject to the condition that you get a flat of your choice.

Regards

Anilesh Tewari
Advocate, New Delhi
18103 Answers
377 Consultations

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