How to get refund back from builder on cancellation of flat
Let me first update you. Yesterday I had met with Builder CRM team about there Flat cancellation procedure. The highlights of meeting is as below:-
1. They want all original documents to submit and filled one cancellation form . They will provide acknowledgment of the same with stamp and sign.
2. 4 ?deduction of agreement value( 1.28 lac), which they are confirming only verbally not ready to give in writing.
3. PDC cheque after 9 month in 3 parts of 2 lac but they will tell the date....almost 1 year horizon.(Aug2017), not ready to give in writing how much amount of cheque and in how many parts.?
4. Option to transfer in ready( 6month) possession but rate too high not possible as there is no job in hand.
1.We had given 20 ? of agreement value approx. 670000/- lac to them on March 2014 agreement value is Rs.32lac
2.We have only proof of 20? receipt with no terms and conditions on receipt.
3.No allotment letter till date from builder side.
4.No welcome kit/No LOI/ No Annexure till date.
5.No stamp duty till date as our stamp duty , registration is free. They are forcing now to do that but no work is going on site till date. According to them work will start soon.
6.two month before only they got CC.
7.Fourth time we have sanction our home loan for them only but builder were not ready to go for free stamp duty registration for last 2 years, from last 1 month he is forcing us to go for stamp duty n registration now we deny as builder financial position is very very poor.
5. Actually they should return our amount with interest ...but let's forget it ,but why deduction? We have not given anything in writing of the same not aware about deduction as it was not disclosed by builder at the time of booking.
We are confused what to do???
We should go Legal or not legal
Asked 8 months ago in Property Law from Mumbai, Maharashtra
1) since builder has obtained CC from BMC and stamp duty and regsitration is free better get sale ded executed in your favour from builder
2) ask builder to furnish draft copy of sale deed for your perusal
3) if builder financial condition is poor chances of getting speedy refund are bleak
4) if you want refund ask builder to give in writing amount to be deducted by them and period within which refund would be made
5) chances of obtaining refund is bleak as builder is willing to give PDC after 9 months only
6) you will have to move consumer forum against builder if he fails to refund your money
7) cases before consumer forum take 2 years
8) execution of sale deed is better option
1. In what circumstances have you applied for cancellation? Was the cancellation necessitated due to breach of contract by the builder? The cancellation would be governed by the cancellation clause in the agreement.
2. It first needs to be ascertained if the deduction by the builder is legal or not. If he is making an unlawful deduction then you are free to move the consumer forum against him to seek the refund of amount in entirety with interest thereon
You must immediately send a legal notice to the builder stating that owing to his incapability to start construction work despite passing of many years of taking avance amount, you are no more interested to continue with the booking of flat hence you are cancelling the booking for the fault of the builder who has not clearly signified the commencement of construction nor specified the date of completion etc.
You can demand the booking amount in full with the interest from the date of booking failing which you will be constrained to aproach consumer forum and civil court for compensation and recovery.
After this you can drag him to the consumer forum for relief and respite.