• Delay in delivering flat

Hello all,

My brother booked a flat in omaxe in 2009 worth rs 60 lakhs in construction linked plan and as per contract the had to deliver in 36 months with a delay clause of 6 months. 
The payments were made accordingly with some of them delayed. Now in September 2015 we got a letter for possession with final payment to be deposited and details of increased charges and interest @24% but they have not given compensation for delay in delivery which according to them is just rs8000/-month. I.e @5rs /sqft.
My question is 
1. If they charge 24%interest in delay of payments shouldn't  they give the same in the case of late delivering ?
2. Can we go to the consumer court and ask for the compensation ?
3 When should we approach the court ? Before taking the possession or after taking it ? As we want to shift there.
Asked 1 year ago in Property Law from New Delhi, Delhi
Religion: Sikh
1) you are absolutely correct . if interest is charged at 24%pa for delay in payment they should also pay same interest rate for delay in delivery of possession 

2) you can move consumer forum against the builder and seek compensation for delay in delivery of possession 

3) you should take possession under protest and then move consumer forum .

4) cases before consumer forum take 2 years to be disposed of 
Ajay Sethi
Advocate, Mumbai
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1483 Consultations
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1) at time of taking possession builder will take letter from you that you have taken vacant physical possession, complete in all respects of the  flat and that keys have been handed over to you 

2) in said letter you should mention possession taken under protest  

3) if you dont take possession under protest and move consumer forum for claiming interest for delayed possession builder will take the plea that at time of taking possession no such grievance was raised by  you .  
Ajay Sethi
Advocate, Mumbai
27284 Answers
1483 Consultations
5.0 on 5.0
The developer are very much involved in these malpractices as the consumer / customer are not vary to the fact that the developers can be bogged down because of such illegal practices. 

It is suggested to send a legal notice to the developer mentioning the relief you are seeking for , in case the developer does not agree , file a complaint at the consumer forum and CCI.
Atulay Nehra
Advocate, Noida
679 Answers
20 Consultations
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1. If the agreement provides for compensation for delay in the delivery of possession the builder cannot escape his liability to pay the same.

2. You can move to court to recover the compensation which he is obligated to pay.

3. You can take possession under protest through a legal notice from your lawyer and then move the court to seek the amount payable as compensation.
Ashish Davessar
Advocate, Jaipur
19587 Answers
507 Consultations
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1. If they charge 24%interest in delay of payments shouldn't  they give the same in the case of late delivering ?
You may refer to the conditions mentioned in the sale agreement in this regard.  The charges seemed to be exorbitant on the part of the builders in proportion to the compensation from their side. 


2. Can we go to the consumer court and ask for the compensation ?
On being aggrieved by their irrational demand, you may first issue a legal notice claiming your demand as per the losses incurred by you due to their delay in handing over possession/completion.


3 When should we approach the court ? Before taking the possession or after taking it ? As we want to shift there.
It Is always advisable to take possession first and then fight for your rights gradually but firmly.



How shall we protest on the time of possession?
You can raise your protest in writing and have a copy with the acknowledgement from the builder in this regard. 
T Kalaiselvan
Advocate, Vellore
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165 Consultations
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