Chat with Supreme Court Judgments



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Query: A person has purchased the property which is situated in Ghaziabad in the state of UP. The builder has delayed the possession of property by three years. The buyer is my client. What is the best legal remedy across civil, consumer or commercial court to get speedy refund of property value and compensation?
The best legal remedy for the buyer in this case would be to file a Consumer Complaint under the Consumer Protection Act, 1986 before the appropriate Consumer Forum. The delay in possession of the property by the builder amounts to deficiency in service, and the buyer is entitled to seek refund of the amount paid along with compensation.

In the case of Pioneer Urban Land And Infrastructure vs Govindan Raghavan (02 Apr 2019), the National Commission held that the buyer could not be compelled to take possession of the apartment at such a belated stage after almost 3 years of delay. The Commission directed the builder to refund the entire amount deposited by the buyer along with interest as compensation. The clauses in the Agreement were deemed unfair and not binding on the buyer.

In Ireo Grace Realtech Pvt. Ltd. vs Abhishek Khanna (11 Jan 2021), the developer argued that there was no delay in offering possession of the flats as per the Agreement. However, the National Commission in a similar case held that certain clauses in the Agreement were unfair and one-sided, leaving the buyer remediless for a significant period in case of delay in possession. The Commission ruled in favor of the buyers, ordering refund of the amount paid along with compensation.

Based on these judgments, the buyer in Ghaziabad can seek a similar remedy by filing a Consumer Complaint before the appropriate Consumer Forum. The buyer can argue that the delay in possession of the property by the builder amounts to deficiency in service, and seek refund of the amount paid along with compensation. The buyer can also highlight any unfair or one-sided clauses in the Agreement that may work against their interests.

It is important for the buyer to provide all relevant documents, such as the Agreement with the builder, proof of payment made, and any communication with the builder regarding the delay in possession. The buyer should also mention the specific provisions of the Consumer Protection Act, 1986 that support their claim for refund and compensation in case of deficiency in service.

By following the legal remedy of filing a Consumer Complaint, the buyer can expect a speedy resolution of the matter and a favorable decision from the Consumer Forum based on the principles laid down in the aforementioned Supreme Court judgments.

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