• Breach of JDA by Developer

1) JDA for development of residential sites in Hunsur Taluk, Mysore Distt on 4 Acres agricultural land was registered on [deleted]
2) Since then it has been a nightmare at every stage - 
a) Delay in payment of Goodwill amount with cheque bounce
b) Delay in "applying" for conversion - 8+ month Vs 2 months as per agreement
c) Delay in commencement of development work - Conversion & Plan Approval received [deleted] - More than 15 months delay 
d) No response to calls or messages asking for an onsite meeting for months together
It has been 4 years since we signed the agreement and we are stuck with ruthless, unresponsive developers . WHAT are our options legally or otherwise?
Asked 5 months ago in Property Law
Religion: Hindu

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8 Answers

Terminate the JDA 

 

invoke arbitration clause of any 

 

sue the developer and claim damages for loss suffered by you 

Ajay Sethi
Advocate, Mumbai
99775 Answers
8145 Consultations

You can file suit under specific relief act and seek directions of the court 

Prashant Nayak
Advocate, Mumbai
34514 Answers
249 Consultations

If a developer hasn't progressed a Joint Development Agreement (JDA) for four years, despite a respite period, the landowner can take several steps, including reviewing the agreement and potentially pursuing legal action.

 It's crucial to understand the specific clauses related to breach of contract and dispute resolution within the JDA. 

Check if there are clauses allowing for the termination of the agreement if the project isn't progressing as agreed. 

If communication and negotiation fail, consider legal action to enforce the JDA or terminate the agreement.

If the developer was granted a Power of Attorney (GPA) by the landowner, the landowner can revoke it in case of breach of the agreement by the developer,

Maintain thorough records of all interactions, agreements, and financial transactions related to the JDA. 

By taking these steps, you can protect your interests and potentially resolve the situation with the developer or pursue legal remedies if necessary. 

T Kalaiselvan
Advocate, Vellore
89977 Answers
2492 Consultations

  • File Complaint in Karnataka RERA: For delays in payment, conversion, or project execution, file a complaint under RERA Karnataka to seek compensation, refund, or enforcement of developer obligations.

  • Cheque Bounce: Send a legal notice for the bounced cheque. If unpaid after 15 days, file a criminal case under Section 138 of the Negotiable Instruments Act within the statutory timeframe.

  • Civil Suit: File a suit for damages, specific performance, or cancellation of the JDA in civil court if more relief is needed or RERA is not applicable.

  • Revoke Power of Attorney: If given, revoke it after legal notice/consultation and proceed with alternate arrangements, if contractually allowed.

Inaction by Developer: Repeated non-responsiveness also strengthens your case before authorities and courts.

Shubham Goyal
Advocate, Delhi
2070 Answers
14 Consultations

First check whether there is an arbitration clause in the JDA

If there is , then invoke arbitration 

If not then a suit will have to be filed for specific performance of contract 

Yusuf Rampurawala
Advocate, Mumbai
7899 Answers
79 Consultations

Your frustration regarding the breach of the Joint Development Agreement (JDA) by the developer over the residential site development in Hunsur Taluk, Mysore District is understandable, especially given the repeated delays and lack of communication for over four years. Here is a concise legal and practical roadmap for your situation:

Review the agreement carefully for specific timelines, milestone obligations (payment schedules, conversion timelines, commencement date), any penalty or damages clauses, dispute resolution mechanism, and termination provisions. Maintain a written record of every breach: bounced cheques, delays in conversion application or commencement, and lack of response. Save all evidence, including call logs, messages, emails, and notices.

Have a lawyer send a formal legal notice to the developer, detailing the breaches—delays, bounced payments, failure to adhere to timelines, and non-cooperation—demanding immediate payment, compliance, a meeting within a set period, and warning of legal action (including termination and damages) if there is no response.

If your JDA has an arbitration clause, initiate arbitration to seek contract termination, damages, specific performance, or refund as applicable. Otherwise, file a civil suit for breach of contract in the appropriate court. For the bounced cheques, you can file a criminal complaint under Section 138 of the Negotiable Instruments Act.

If there is a risk that the developer may wrongfully transfer or encumber your land, you may obtain an interim injunction from the court. If local regulatory processes or approvals are being maliciously delayed or misused, approach the district or planning authorities, or file a complaint before consumer forums for deficiency of service and breach.

Before entering into prolonged litigation, consider if a mediation or settlement meeting (legally supervised) might resolve the impasse. If repeated breaches persist and the developer is clearly non-compliant, you may seek termination of the JDA and claim for refund and damages, including losses suffered due to delay.

You should promptly issue a legal notice, then proceed as per the agreement’s dispute resolution clause and, if needed, seek criminal and civil remedies in parallel. Taking these formal legal steps will protect your rights and put pressure on the developer to resolve the matter.

If you need help drafting the legal notice or require guidance for follow-up arbitration or litigation, feel free to contact me for a professional consultation.

Yuganshu Sharma
Advocate, Delhi
961 Answers
2 Consultations

Dear Sir,


1.Legal Notice (First Step)

  • Send a legal notice through an advocate demanding:

    • Immediate compliance (conversion, development, payment)

    • Damages for breach

    • Cancellation/rescission of JDA if default continues

    • Compensation for delay and loss of opportunity

2. File Civil Suit


You can file a civil suit in hunsur, Mysore court for:

  • Specific performance of JDA (if you still want to continue with the developer)

  • OR Rescission/cancellation of the JDA and claim damages.

  • Injunction against further alienation of your share of property (if registered in their name).

3. Criminal Complaint

  • Cheque bounce under Section 138 of the Negotiable Instruments Act (within 30 days of dishonour notice).

  • Police complaint or private complaint under Section 406/420 IPC (only if you have evidence of fraudulent intent, e.g., promises made with no intent to fulfill).

    •  

Other Precautions & Remedies

  • Public Notice in newspapers warning third parties about your claim over the land

  • Avoid signing any further supplementary agreements under pressure

  • Check land status (mutation, khata, conversion) to see if developer has done anything behind your back

  • Preserve all communications (calls, messages, emails) — they will help in proving bad faith or misconduct

 



Kishan Dutt Kalaskar
Advocate, Bangalore
6230 Answers
499 Consultations

You can terminate the JDA for breach of contract due to repeated delays and non-performance. Since there’s cheque bounce involved, you may also file a case under Section 138 of the Negotiable Instruments Act. For the other delays and lack of response, you can issue a legal notice demanding performance or cancellation. If there's no proper action, you can approach the civil court for cancellation of JDA, claim damages, and also file a consumer complaint for deficiency in service. If land possession was given, consider filing for injunction or eviction too.

Suresh Kumar Pal
Advocate, Allahabad
106 Answers

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