• Developer asking for more payment on account of increase in super area

I had booked a flat in one of the projects in Zirakpur(Pb.) in July 2011, for which I was given a allotment letter dtd. 30th May 2012. The Super area of the flat as mentioned in the allotment letter is Approx.1851sq.ft.. I've paid 95% of the total amount (Rs.4990000+taxes) with the last installment paid on 30th Oct. 2013. The possession of the flat was to be made in 36mnts from the date of allotment letter. Now, couple of days ago I got a letter from the Developer stating that the Super Area of the flat has been increased to 1910sq.ft. and I need to make the payment of 2.61lacs for the increased area(59 sq.ft) within 15days of the letter issue date else interest of 24% may apply . I met one of the managers of the Developer company yesterday and discussed with him the validity of this increased Super Area payment. Below are some of the key points from my discussion with the Developer.
1. The drawings for the increase in the super area to 1910 sq.ft.were known in Mar.2012 itself. 
2. The sanction plan is only available for 1851sq.ft. but there is  no sanction plan for 1910sq.ft and would be applied for while submitting drawings for completion.
3. After my much protest the developer agreed that the payment asked for on account for incr. in Super area has been calculated based on today's market price of the flat and he would charge me on the price of the flat at the time of allotment hence I can pay 1.65 lacs only.
4. The developer has started giving possession of some of the flats in 1st tower, even though the sanction plan is still under process and no Occupation certificate has been granted.

The points which are raising question in my mind are.

1. How can they ask for increased super area, moreover they don't even have sanction plan in place to justify the increase.
2. The increase in super area is 3% of the initial Super area, and moreover the increase is no where visible in the Carpet area of the flat. Isn't it unreasonable.
3. The possession of the flat being offered without occupation certificate.
4. The carpet area of the flat is 1185sq.ft whereas the Super area being quoted is 1910sq.ft. which is 60% more. Is this justified. Is there any regulation to check the applicable areas of Super Area.

Kindly quide me what should be my next step. 

Thanks.
Asked 1 year ago in Property Law from Zirakpur, Punjab
Religion: Hindu
1) you  can  file complaint before consumer forum against builder  for unfair trade practice for demand of Rs 2.61lakhs against alleged increase in super built up area . you can also obtain orders that builder be directed to handover possession of flat and obtain OC from muncipal corporation 

2) as per your allotment letter area of flat is 1851 square feet and you have paid 95%of flat price . at most you are liable to pay balance 5%only . demand made by builder for increase in contribution is unjustified . please note builder cans ell flats only on basis of carpet area . 

3) in your case sanctioned plan has not changed to justify demand for increase in payment by flat owners . claim for interest at 24%is unjustified 

4) builder can give possession of flat only after obtaining OC 

5) you can in alternative pay money demanded under protest take possession of flat them move consumer forum for refund of money paid with interest 
Ajay Sethi
Advocate, Mumbai
23291 Answers
1220 Consultations
5.0 on 5.0
1. Was it mentioned in your agreement for sale that there may be increase or decrease in super built up area for which you will  pay the amount for either the increased area or the decreased area?

2. If yes, then the builder can ask for the increased area provided he has obtained the necessary plan sanctioned,

3. If the plan for construction of the increased area is not sanctioned then the building or its increased constructed area is liable to be demolished,

4. Send a legal notice to the builder for obtaining the sanction for the said construction beyond the sanctioned plan before claiming the amount for the increased area from you,

5. If he fails to obtain the said sanction, you might have to approach the Consumer Forum for getting relief. 
Krishna Kishore Ganguly
Advocate, Kolkata
12123 Answers
231 Consultations
5.0 on 5.0
1. How can they ask for increased super area, moreover they don't even have sanction plan in place to justify the increase.
The developer or the builder cannot go beyond the sale agreement and he has to restrict only to the agreement in respect of the property area. If the agreement was for 1851 area alone, he cannot claim extra money for the extra space he has built on his own violating the conditions of agreement. 

2. The increase in super area is 3% of the initial Super area, and moreover the increase is no where visible in the Carpet area of the flat. Isn't it unreasonable.
If the increase in super area is not visible, ask him to confirm it by making a measurement in front of you, this is not fair on his part to simply say that the area measures the one what he says now contrary to the one what he had agreed to build for you.


3. The possession of the flat being offered without occupation certificate.
You insist on OC because if there is an unacceptable deviation in construction, the authorities may not grant OC at a later stage and may even order to demolish the unapproved constructions.

4. The carpet area of the flat is 1185sq.ft whereas the Super area being quoted is 1910sq.ft. which is 60% more. Is this justified. Is there any regulation to check the applicable areas of Super Area.
First you ascertain the fact through a engineer friend  and then ask the developer/builder to explain you the concept of super area and carpet area, etc after which you may take into task. 

These days the developers/builders take the purchasers for a good ride by mentioning lot of technical terms in order to indirectly extort money from them on one or the other pretext, so it is buyer who should question each an every aspect that involves cost. 
T Kalaiselvan
Advocate, Vellore
14069 Answers
127 Consultations
5.0 on 5.0
1. After the property has been booked through execution of agreement or remittance of money, the developer or builder, as the case may be, is restrained from doing any unilateral act which is likely to increase the cost of project or defeat the legal rights of the applicant.

2. You can issue a lawyer's notice to the developer refusing to pay the cost of the increased area as it has been increased without your consent. If the possession is refused you can sue the builder to recover the possession. Alternatively, you may cancel the booking to seek the refund of the amount paid and also compensation.

3. Without OC the possession cannot be given. A building which is possessed without OC can be demolished by the civic authorities in accordance with the law. You may not get the time to even seek a stay order from the court.

4. Your next step should be to issue a lawyer's notice to the developer.
Ashish Davessar
Advocate, Jaipur
18158 Answers
449 Consultations
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1) since you are in punjab you would be governed by provisions of punjab apartment ownership act 1995 

2) it provides that The actual built-up area should be taken into account for the calculation of the  undivided percentage in common areas and any different area which may be stated in the agreement of sale between the promoter and the person taking the apartment, shall be ignored:

3) sale should be on basis of buiilt up area of apartments
Ajay Sethi
Advocate, Mumbai
23291 Answers
1220 Consultations
5.0 on 5.0
As you have rightly understood that the law related to such issues differ from one state to another across the country. 
If you want to know the correct law governing the issue, you may issue a legal notice through a local lawyer to the builder seeking his explanation for seeking additional amount in the name of increase in super area which was not in the sale agreement and deny the payment until he quotes relevant clause in the agreement.  He will certainly refer the matter to his legal department or lawyer who will quote the relevant provisions  of law, which if not convincing you may decide to proceed legally as per the same law which has been quoted. At least you will come to know  about the relevant rules or law in this regard to take precaution accordingly..
T Kalaiselvan
Advocate, Vellore
14069 Answers
127 Consultations
5.0 on 5.0
The property law in its basic spirit is uniform throughout the country. The basic law is that the builder cannot increase the area of the property except through an agreement with the prospective buyer. 
Ashish Davessar
Advocate, Jaipur
18158 Answers
449 Consultations
5.0 on 5.0

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