• Cancellation of flat booked

Hello everyone
I booked a flat costing Rs 39.87 lacs and paid Rs 3.88 lacs to builder and executed a agreement to sell.
Now i wish to cancel the allotment and builder is saying that he will deduct 10% of total consideration of flat (which has been mentioned in application form) but as per agreement executed, no such clause for cancellation is there and in fact, there is a clause stating that the agreement supercedes all previous agreements, arrangements, memorandums, brochures etc.
Now, is there any chance to recover my money through legal proceedings and if yes, then please guide through the process.
Asked 11 months ago in Property Law from Jaipur, Rajasthan
Religion: Hindu
1) if there is no such clause in agreement builder cannot deduct 10 per cent as cancellation charges 

2) if builder fails to refund the amount deducted by him move consumer forum against builder for deficiency in service seek refund with interest and compensation for mental torture undergone by you 
Ajay Sethi
Advocate, Mumbai
24723 Answers
1323 Consultations
5.0 on 5.0
The agreement to sell, once executed, can be unilaterally cancelled only if there is a breach of any of the conditions prescribed in the agreement or if the agreement cannot be executed due to a supervening reason. The forfeiture clause, if any incorporated in the agreement or the application form, would alone give to the builder the right to forfeit the earnest money paid to him. It is not clear as to on what ground you wish to cancel the allotment. Subject to the ground for cancellation of allotment, you may sue the builder through a lawsuit for for recovery of the entire earnest money paid to him with interest.
Ashish Davessar
Advocate, Jaipur
18860 Answers
472 Consultations
5.0 on 5.0
It is better to take back 3.88 lacs by deducting 10%.  Try to convince the Builder to deduct 5%.  You can also go for consumer court, by it is lenghthy process, waste of time and waste of money.  
Ravinder Pasula
Advocate, Hyderabad
316 Answers
69 Consultations
4.9 on 5.0
You should cancel your booking and seek refund 

If builder fails to refund file complaint before consumer forum and seek refund with interest 
Ajay Sethi
Advocate, Mumbai
24723 Answers
1323 Consultations
5.0 on 5.0
Personal reason is no reason, the reason has to be illegal. If no date for delivery of possession is mentioned in the agreement then possession is to be delivered within a reasonable span of time. If it can be proved that the builder has violated the agreement then alone you can recover your money without losing any part of it.
Ashish Davessar
Advocate, Jaipur
18860 Answers
472 Consultations
5.0 on 5.0
I booked a flat costing Rs 39.87 lacs and paid Rs 3.88 lacs to builder and executed a agreement to sell.
Now i wish to cancel the allotment and builder is saying that he will deduct 10% of total consideration of flat (which has been mentioned in application form) but as per agreement executed, no such clause for cancellation is there and in fact, there is a clause stating that the agreement supercedes all previous agreements, arrangements, memorandums, brochures etc.
Now, is there any chance to recover my money through legal proceedings and if yes, then please guide through the process.

if you would like to cancel the booking you may do so by giving a notice to this effect to the builder.  The builder may tell thousand stories, you may reject his contentions.  You ca quote the non-forfeiture or non-deduction clause in the consumer court while demanding recovery of your 10% deducted amount. 
You can drag the builder to the consumer forum seeking relief and remedy if he is not returning the 10% deducted amount. 
T Kalaiselvan
Advocate, Vellore
15249 Answers
139 Consultations
5.0 on 5.0
Reason behind cancellation is personal as i do not want to purchase the flat as there is lack of occupancy.
I know most of you will think that these things should be looked before booking but at the time of booking, builder assured that building will be occupied by feb,16 but there is no one in the building at present and builder is also not doing any further work as he is completing only those flats whose full payment has been received.
However, the above mentioned promise of builder regarding occupancy is oral and not written.
Please advise the way out through which i can recover atleast 60% of my money

You issue a legal notice communicating your decision to cancel the booking and demand refund of your booking amount.  First take whatever he gives under protest and then you drag him to civil court or consumer court for recovery of balance mount.
T Kalaiselvan
Advocate, Vellore
15249 Answers
139 Consultations
5.0 on 5.0

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