file complaint against builder before RERA and seek orders to direct builder to refund your money
2) builder can deduct only 10 per cent of booking amount in case of cancellation of booking
Cancellation of Booking
Dear Sir, I jointly booked a flat along with my family members with one of the reputed builders. The project is registered under MAHARERA and due for completion in 2023. At the time of paying booking amount, application was signed from all of us and in which in it is mentioned that in case of cancellation of application it shall be open for the company to cancel our application or booking and forfeit and/or claim 9.9% of the total sale price towards cancellation charges. I have paid so far Rs 8,50,000/- of which the booking amount inclusive of GST is Rs 85,000/- which is 1%. Due to sudden illness with one of the family members(co-applicant) and financial constraints and relocation to Bangalore from Mumbai, I requested thru e-mail for refund after deducting 1% i.e 85,000/- from Rs 8,50,000/- I paid. I got a reply from builder that they cannot refund any amount. Kindly advice what action I should take to get back my hard earned savings which is urgently required for medical expenses.
Asked 4 years ago in Property Law
Religion: Hindu
10 Answers
At the most you booking amount will be forfeited but all their payment will be refunded through rera or consumer court if you approach
Dear
You can just send a legal notice to builder for refund of the amount. But chances of getting refund are very vague because you have signed the agreement in which cancellation charges are mentioned as 9.9% on total sales consideration.
The other option you can try is selling your flat to some one else and make triparty agreement with builder and buyer and get your advance deposit from the buyer.
Gst amount is not returnable.
As to booking amount if is more 10 % of the cost of apartment then builder must enter into a written agreement for sale duly registered where cancellation chares shall be mentioned.
If there is no such agreement with you booking amount being more than 10 % as above, then there is a clear violation of Rera provisions. In such case you can complain to Rera of such violation and claim for refund of your booking amount.
otherwise the booking form condition shall prevail and you will have to bear the cancellation charges.
Dear Sir,
The circumstances went beyond your control. It was not your true intention to cancel the booking. It is settled principle that no one will be allowed to enrich at the cost of other. The unilateral rules framed by them has no legal sanctity. You may get issue a strong legal notice and get back your amount if not you can file a complaint before civil court. The builders always afraid of litigations also due to their reputation.
You have make complaints to RERA office and Consumer Forum of your city.
They can deduct 10% of earnest money and refund the amount back to you.
See since there is no agreement signed then on that case you can file try by filing by RERA complaint for the refund of the amount.
Issue notice to refund the booking amount within the given time, if the said builder didn't turn up then you may file a suit for recovery of money. You will have to pay the court fee on the claimed amount.
Apart from you can also file complaint before District Consumer Court.
In your case, the builder will apply cancellation charges of 9.9% of the total sale price and hence the builder is stating that you will not get any refund.
In this case scenario, you will have to get issued a legal notice informing the builder that due to medical grounds and on account of relocating you are opting for cancellation and hence you should be liable to get back your hard earned money.
Recently the Consumer Protection act was amended, in which case, you can file the consumer complaint in bangalore against the builder and seek for refund in Bangalore. But for that you should first issue a legal notice.
Contact a good consumer advocate in Bangalore and start the process.
You first send a letter in writing by registered post to the builder communicating your decision to cancel the booking signed by all the purchasers, seeking refund of money after deductions of amount towards administrative costs or whatever they may name it,
If the builder is not responding or complying with the demand made, you may either approach RERA or consumer forum for relief and remedy.
This condition what the builder states is one sided agreement hence it is not maintainable in court of law when you drag the builder to the consumer forum.
