• Payment to builder

I had booked a flat in Rajar haat, West Bengal and been on a tripartite agreement with my banker, builder and myself. In 2009. The total consideration amount was about Rs.25.5 lacs. The payment terms of the property was construction linked. However, there was a dispute on the demand notice provided by the builder on the percentage of completion of building and banker. Rs.16.7 lacs were already paid by me and my banker till then. Finally when my banker sent a DD of approx 6 lacs to the builder, he declined to accept further payment and unilaterally cancelled the deal, with no intimation to me. This was during start of 2011. I took the case to state consumer forum and subsequently closed my loan with the banker. The builder is yet to return my money already paid. 
The state Commission directed builder to hand over flat to me in 2014. The builder challenged the Verdict in national consumer forum. The national consumer forum upheld the state commission's Verdict and asked the builder to hand over flat to me and asked me to pay remaining consideration amount @10%p.a interest for amount not offered yet to builder and for DD returned by builder (Rs. 6 lacs sent by my banker), the amount to be paid is @10% from the day of demand and the day it was refused by builder.
I had filed execution in state consumer forum and honorable Commission has fixed 24th May as compliance date.
The builder had already submitted, however, in front of national forum that the flat has already been sold to a third party.
My question:
1. I am yet to hear from the builder. My lawyer says, I must arrange for the remaining consideration amount and pay the same to builder via DD. What should I do?
2. When I am not sure of the intention of the builder, should it be right on my part to further increase my financial exposure of the additional amount? If no, what is the recourse?
Asked 4 years ago in Property Law
Religion: Hindu

3 answers received in 30 minutes.

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17 Answers

1. if the flat is already sold then getting refund of money along with interest remains the viable option left to you.

2. I do not think making the payment would be of any good to you. Inform the forum about the selling of the flat so it may necessary order for compliance.

Devajyoti Barman
Advocate, Kolkata
22515 Answers
402 Consultations

5.0 on 5.0

1) you must make balance payment as per orders passed by national commission

2) it proves your bonafide intention to comply with court orders

3) builder is bound to deliver you possession of flat

4) even if he had sold flat to third party he cannot violate court orders

Ajay Sethi
Advocate, Mumbai
87947 Answers
6207 Consultations

5.0 on 5.0

1) make arrangements for funds before 24 th may

2) send cheque for balance consideration with covering letter before 24 th may

Ajay Sethi
Advocate, Mumbai
87947 Answers
6207 Consultations

5.0 on 5.0

You better wait till 24.5.2018.

Devajyoti Barman
Advocate, Kolkata
22515 Answers
402 Consultations

5.0 on 5.0

You should arrange and keep the amount ready as per order of national commission, and you can pay same before the state commission it is prerogative of the builder to arrange flat as per the order of the national commission. It would be better to get a DD as if any alternate arrangement is made by tribunal you can cancel your DD back .

Shubham Jhajharia
Advocate, Ahmedabad
25516 Answers
179 Consultations

5.0 on 5.0

You should keep your DD ready by 24 may and can pay only when the builder hand over possession and register flat in your name as if the condition of the order is that builder shall handover possession and you shall there after pay.

Kindly reproduce order of National consumer forum for better clarity.

You can write a letter to builder stating to give possession and collect the remaining amount of DD at same time as in you are ready to pay the remaining amount and builder can collect same at time of possesion.

Also the order need to perused to see which condition subsequent like omission has order that on the payment builder shall give possession or on possession you shall pay so kindly reproduce same.

Shubham Jhajharia
Advocate, Ahmedabad
25516 Answers
179 Consultations

5.0 on 5.0

1. Your lawyer is right. You should act strictly as per the order passed by the National Commission and send him the said DD.

2. You need not assume about the intention of the builder and act strictly as per the order of the National Commission.

3. Since you have already filed an execution petition, hope you have prayed for the seizure of his bank account and attachment of flats in other projects and also his arrest.

Krishna Kishore Ganguly
Advocate, Kolkata
26603 Answers
726 Consultations

5.0 on 5.0

1. Send him the DD now through speed post collecting track record of his having received the same. Keep copy of the said DD.Alternatively, remit him the amount through the net if you are aware of his bank account details including IFS Code.

2. Thereafter submit the evidence of your having complied with the Court order on the next date of hearing.

Krishna Kishore Ganguly
Advocate, Kolkata
26603 Answers
726 Consultations

5.0 on 5.0

Hello,

I would like to suggest you to wait for the date of compliance.

Regards.

Swarupananda Neogi
Advocate, Kolkata
2941 Answers
6 Consultations

4.7 on 5.0

Even if the builder has sold this flat, he'll have to arrange another flat of similar specifications and thus, comply with the order of the State Commission.

Follow the advice given by your Lawyer, for you must perform your part of obligations. Thereupon, the builder will have to comply with the 2014 order anyhow.

Vibhanshu Srivastava
Advocate, New Delhi
9426 Answers
245 Consultations

5.0 on 5.0

You must perform your part of obligations so as to comply with the order in question; otherwise the builder will have excuse for not complying with this order.

Not you, but let the builder inform the court regarding the factum of sale of your flat.

Vibhanshu Srivastava
Advocate, New Delhi
9426 Answers
245 Consultations

5.0 on 5.0

Firstly, no need to give any more money to him as you have won the case not he because of which you should pay first then wait for the result.

Secondly, I advice to wait till next date,if nothing then he would have to go to jail plus your prayers would also be accepted.

Sanjay Baniwal
Advocate, South Delhi
5464 Answers
13 Consultations

5.0 on 5.0

The court verdict is clear that you may have to pay the amount (balance) to the builder and take possession, so better follow up with your advocate.

You do not have to go behind the builder's intention.

You are going by the court verdict.

The builder cannot disobey the court order hence you should not be worried about the builder's reaction to this.

T Kalaiselvan
Advocate, Vellore
78104 Answers
1543 Consultations

5.0 on 5.0

You can be ready and willing to pay the builder on the date of compliance, if the builder do not turn up on that date then you may file a contempt of court case too besides filing EP.

T Kalaiselvan
Advocate, Vellore
78104 Answers
1543 Consultations

5.0 on 5.0

As you haven't challenged the same in sc you need to comply with the order and keep the consideration ready. Recourse is SLP in Supreme court.

Prashant Nayak
Advocate, Mumbai
27275 Answers
88 Consultations

4.4 on 5.0

Hi,

It is better your wait response for builder and also intimate him through your lawyer regarding it. On that date, you be prepared to file contempt of court petition for builder.

Ganesh Singh
Advocate, New Delhi
6646 Answers
16 Consultations

4.5 on 5.0

You may wait till 24th may and then may make the remaining payment.

Also you can get the DD prepared and thereafter you may give the DD on the same date if they comply with the order.

Regards

Anilesh Tewari
Advocate, New Delhi
17940 Answers
377 Consultations

5.0 on 5.0

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