• Advance paid but registration not completed

I had made an agreement for purchasing a bit of land with private real estate company around two years and paid an advance amount to them Till today i haven't received any necessary document to complete the registration . Hence i applied for cancellation of the agreement and now the real estate company is saying that they will not pay for the interest of the advance given for the duration they kept this amount . 

I want to know the following 
1) How much interest rate i can claim from them for these two years which includes my other expenses incurred in going to their offices and my mental pressure i had faced for these two years and for loosing the other opportunities(even though i don't have solid proof for prooving loosing opportunities)

2) What rights i will hold as a customer against the private real estate company 
3) What actions i can take against the real estate company legally .
Asked 24 days ago in Property Law from Visakhapatnam, Andhra Pradesh
Religion: Hindu

1. You can file a RERA compliant and can seek for interest around 10 percent along compensation.

2. Alternatively you can also file for consumer complaint if project is not RERA registered.

Shubham Jhajharia
Advocate, Ahmedabad
19206 Answers
75 Consultations

5.0 on 5.0

You xam claim any amount of interest but court will grant you bank rate. 

You can go to consumer court and get compensation for delay and mental agony and torture

Prashant Nayak
Advocate, Mumbai
12732 Answers
22 Consultations

4.6 on 5.0

1) claim interest at bank rate of interest 

 

2) even if you get your principal amount accept it 

 

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

 

4) in alternative file application before RERA and seek orders to direct builder to refund your money with interest 

Ajay Sethi
Advocate, Mumbai
66757 Answers
4037 Consultations

5.0 on 5.0

Interest is payable at the state bank of India prime lending rate plus 2% .

File complaint to rera claiming refund along with interest.

Kallol Majumdar
Advocate, Kolkata
1312 Answers
2 Consultations

5.0 on 5.0

1. You can file a Police FIR, requesting investigation and charge-sheet, for offences like cheating, intimidation, fraud, breach of trust etc.... against the person, supported with all relevant supporting documents.

2. IF the Police does not take action, THEN you can file private criminal case u/s 156(3) Cr.P.C., in the local Magistrates court, seeking directions to the Police to investigate and file charge sheet. The said Person may come down for settlement.

3.  You can also file a grievance petition before the local Consumer Court, for the trade malpractice, harassment, negligence & deficiency and claim the original amount alongwith interest (minimum 12% pa basis) and also compensation & damages.  For all the above you would require proper relevant documentary evidences & witnesses.

Hemant Agarwal
Advocate, Mumbai
2403 Answers
14 Consultations

5.0 on 5.0

Hi

Issue notice asking for refund of your advance amount alongwith interest.

You can ask interest @ 18% to 24%, however, if it goes into litigation and you prove your case the court will give bank interest and may grant more rate of interest from date of decree till realization.

You may accept the principal if the quantum is not high.

You can also lodge complaint with RERA bringing to their knowledge about the issue.

You can also file case before consumer  forum.

 

S Srinivasa Prasad
Advocate, Hyderabad
735 Answers
6 Consultations

5.0 on 5.0

Interest you can claim interest later better recover principal amount first. 9%

Interest with compensation and refund will get from consumer court.

Can FIR for cheating and consumer court.

Yogendra Singh Rajawat
Advocate, Jaipur
13088 Answers
15 Consultations

4.6 on 5.0

1. You may claim the interest here at the prevailing bank rate.

2. First seek refund of principal amount and later on claim interest and compensation/damages etc.

3. You may first take recourse to sending a legal notice.  

Vibhanshu Srivastava
Advocate, New Delhi
8549 Answers
133 Consultations

5.0 on 5.0

1. You can claim 18% interest. 

2. You have all the right to recover the money. 

3. File a case before the consumer forum. 

 

Regards 

Anilesh Tewari
Advocate, New Delhi
16907 Answers
259 Consultations

5.0 on 5.0

If the project is registered with RERA than you can make complaint against developer and in the Consumer Forum as well of your city.

 

For you initial agreement kindly check termination clause in it.

Ganesh Kadam
Advocate, Pune
7453 Answers
65 Consultations

4.9 on 5.0

You can cancel the agreement and claim compensation for losses and expenses and interest.

you can also approach before district consumer forum on defiency of service and claim refund along with compensation for mental agony.

you can file FIR u/s 406 and 420 of ipc against real estate company. 

Mohammed Mujeeb
Advocate, Hyderabad
10125 Answers
3 Consultations

4.5 on 5.0

1.  You cannot demand the interest beyond the market rate hence you may claim 24% per annum as interest towards the refund.

2.The agreement is generally valid for 3 years, hence you have an option to file a specific performance of contract suit against the realtors instead of cancelling the booking therefore the realtor may escape the interest portion under the cover of that he was always ready for  performing his part of contract, you may have to be exercise caution on this if the builder is taking a defence on this ground.

3. For recovery you can either approach civil court or the consumer forum.

T Kalaiselvan
Advocate, Vellore
56549 Answers
695 Consultations

5.0 on 5.0

1. Yes as the default is from there side they have to refund same.

2. Court based on the circumstances on there default may decide it in your favor.

3.Yes.

4  2-3 years.

Shubham Jhajharia
Advocate, Ahmedabad
19206 Answers
75 Consultations

5.0 on 5.0

 

All such clause regarding non refund of payment are now irrelevant after rera. You are entitled to get refund for non delivery of possession within the time schedule.

Kallol Majumdar
Advocate, Kolkata
1312 Answers
2 Consultations

5.0 on 5.0

1) you can claim refund with interest as seller has not executed registered sale deed in your favour 

 

2) you would not get refund at 24 per cent 

 

3) you would at most get bank rate of interest 

 

4) cases in consumer forum take 2 years to be disposed of 

 

4) cases before RERA take  6 months or so to be disposed of 

Ajay Sethi
Advocate, Mumbai
66757 Answers
4037 Consultations

5.0 on 5.0

For cancellation you may either approach RERA or consumer forum, but for recovery of the amount with interest you may have to approach civil court.

No doubt the unregistered sale agreement is not enforceable in law however you can claim the booking amount based on this deed because it can be considered as receipt for the money given to the builder.\

There is nothing wrong even if you claim interest , let the court decide about it on merits.

 

 

T Kalaiselvan
Advocate, Vellore
56549 Answers
695 Consultations

5.0 on 5.0

1. yes

2.If not registered still it has evidentiary value in court and you can get the same registered later with penalty.

3.Yes its sufficient

4.It takes 2 to 3 months in RERA and atleast a year in consumer court. Consumer court is in favour of consumers than rera. you can file the case there to get good results 

Prashant Nayak
Advocate, Mumbai
12732 Answers
22 Consultations

4.6 on 5.0

Agreements made on white paper also valid. so an agreement made on 100 rupees stamp paper can surely be valid if it fulfills all other conditions under the law and as per the law. But, if the agreement requires to be stamped and registered then it cannot be used as an evidence of proof before a Court of law.

Mohammed Mujeeb
Advocate, Hyderabad
10125 Answers
3 Consultations

4.5 on 5.0

1) Since he failed to perform his part of contract i.e., breach of trust you are entitled to cancel as he breached the contract.

2) Your notice is valid.  If it goes into litigation mode, more often than not, court will grant @6% from date of filing till Order (if you win), thereafter they may increase the interest to 12 to 18% from date of order till realization.

3) The same is enough, you file Case before Consumer Forum.

4) Depending on the pending cases, it may take 2 to 3 years.

S Srinivasa Prasad
Advocate, Hyderabad
735 Answers
6 Consultations

5.0 on 5.0

Dear Sir,

Normally the Consumer Court may not award you entire interest as claimed by you and even after getting award/decree it is very difficult to execute the same. It seems you are in dreams for interest etc. First get your case filed and then fight by engaging an competent advocate.

Kishan Dutt Kalaskar
Advocate, Bengaluru
4405 Answers
112 Consultations

5.0 on 5.0

Ask a Lawyer

Get legal answers from top-rated lawyers in 1 hour. It's quick, easy, and anonymous!
  Ask a lawyer