• Cancellation of flat in Krish Aura

I have booked a flat in Krish Aura in Bhiwadi in July-2013. And I have not signed any application form, but i had deposited the booking amount and shared my details with broker and that broker has submitted the application form. They sent me agreement copy in Mar-2014 but i have not signed on that agreement. But i made a payment on their every demand. I have paid Rs. 15,50,000 till now. I have received new demand from builder but i cannot pay due to some reasons.
So i called builder to cancel the flat, they refused me to cancel the flat and said that i can cancel the flat  within the 6 months of booking as mentioned in application form and agreement copy which i have not signed. But when i looked into agreement, it is clearly mentioned that i can cancel the flat within the 6 months and they will deduct the 10% to net cost (R. 3300000) . So now what can i do to cancel the flat?
Asked 1 year ago in Property Law from Delhi, Delhi
Religion: Hindu
1) how can broker  submit application form without your signature? why did you not sign the agreement for sale ? 

2)  i do hope you have made payments by cheque and have receipts for payments made by you 

3)if you are not in position to make further payments and want a refund of payments made by you send a letter to builder informing him of your inability to make further payment and request him to refund  the amount of Rs 15.50 lakhs paid by you as you dont want to purchase the flat 

4) if builder refuses to refund move consumer forum against the builder for deficency in service and seek refund with interest . 

5)  contact a local lawyer
Ajay Sethi
Advocate, Mumbai
23383 Answers
1228 Consultations
5.0 on 5.0
So the booking agent and/or developer is correct in stating that it had to cancelled within six months.  If you fail to comply with the payment terms then what does the agreement state? Does it state that your entire amount becomes non-refundable or does it say that the very high percentage of deduction will occur. Such term of the agreement will be honoured in all likelihood because even if you have not signed the contract your action of having paid money in terms of the contract will imply that you had accepted the agreement hence bound by the terms of it.


Now it depends on the reason for failure to be able to honour the agreement is what can save your money and/or any part of it. In a suit for recovery you may claim non acceptance showing that you never signed however such contention will be a subject matter of adjudication and as stated earlier your having paid the money might just make your case flimsy.

If however you can show any delay in the developers action? any breach of the agreement by the developer and/or his agent earlier than you failing to make your payments, then such instances might help you withdraw from the contract and recover your money.  

Are there any instances of failure on the part of the developer and/or his agent?
Saptarshi Banerjee
Advocate, Kolkata
183 Answers
4 Consultations
4.9 on 5.0
Hi, Broker is not supposed to file an application on behalf of you  and i think you have making payment through the cheques/ draft only.

2. From your narration you have not signed any agreement so your are not abide by the terms and conditions of the agreement  so write a letter to the  builder and ask him to repay the amount and cancel the flat and if he refused to do so then issue a legal notice and file a complaint before the consumer forum for deficiency of services.
Pradeep Bharathipura
Advocate, Bangalore
4105 Answers
133 Consultations
4.3 on 5.0
1. What is the new demand? Is the demand saved by the agreement you entered with the builder?

2. The new demand could have been raised and sustained by the builder only if the agreement provides for it. None of you can traverse the agreement. 

3. You booked the flat in July 2013. So 6 months have expired long back. 

4. To cancel the flat now you should forthwith issue a lawyer's notice to the builder for cancellation of the flat. If he does not return the advance amount even after the notice from your lawyer then feel free to move to court and file a case for recovery of amount with damages. 
Ashish Davessar
Advocate, Jaipur
18256 Answers
450 Consultations
5.0 on 5.0
1. Take the stand that you have signed the application for booking the flat and the said application is with the builder and also that you have paid the money as demanded by the builder,

2. Also take the stand that the builder has not submitted any agreement copy for your executing the same,

3. Without the signed agreement, the builder can not claim anything based on te said non existant agreement,

4. Send him a legal notice asking the amount paid by you back since you have cancelled the booking,

5. if he refuses, file a consumer case before the local consumer forum.
Krishna Kishore Ganguly
Advocate, Kolkata
12143 Answers
233 Consultations
5.0 on 5.0

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