Builder not giving delay compensation
2 years ago
The builder was supposed to give delay compensation for 15 months as per the agreement. But he has charged me holding charges of Rs:5000/- per day from the date of intimation to inspect the property to the date of intimation to register the property. As per the agreement the builder can charge "holding charges" only if the buyer not registered the property after getting the letter for registration/possession. but in this case the intimation to register the property come along with holding charges. Which is illegal. There was no communication from the builder that the flat is ready for possession. Kitchen work was pending and seepage issue mentioned in the first inspection was also pending. However I have taken possession of the property on 30th July 2020 with out getting any delay compensation. But now I want to file a legal case against the builder for not giving the delay compensation and illegally charging holding charges. Also the seepage issue not yet resolved.
Sanjay Kumar Jha
Responded 2 years ago
As per u/s 18 of the R E R A Act, 2016 you can issue alegal notice to that Builder to pay amount @ Bank rate of Interest plus 2% percent interest on the value of the property for delayed possession of your flat which is specified under the RERA Act, 2016 . You may file a case in default of non payment , before the State Real Estate Regulatory Authority.
You have option to move to Consumer Court but before you must send a legal notice against the Builder for deficiency in service, claiming the refund of that excess amount paid plus interest and damages also for compensation for delay in hand over of the Flat .
Ayantika Mondal @ Prime Legal
Responded 2 years ago
If a project is delayed, developers must pay 10% interest to purchasers on the money invested, as opposed to the Rs 5 to Rs 10 per sq ft penalty stipulated in the sales agreement under RERA, which carries a penalty of up to three years in prison or a fine of up to 10% of the invested amount.
Thank you very much. Please give the answer a rating.
If a project is delayed, developers must pay 10% interest to purchasers on the invested money, as opposed to the Rs 5 to Rs 10 per sq ft penalty specified in the sales agreement under RERA, which prescribes imprisonment for up to three years or a fine of up to 10% of the invested amount.
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Advocate Sinjari Bandyopadhyaya
Responded 2 years ago
If the RERA is not functioning properly in your State, then it is necessary on your part to send a legal notice to that Builder on the ground of deficiency in service, claiming the refund of that excess amount paid along with interest and/or damages as well as for compensation for delay in hand over of the Flat within 30 days from the date of receipt of that Notice,failing which you are entitled to file a consumer complaint for ‘deficiency in service’ as defined under the Consumer Protection Act, 1986,as amended up to date against that Builder .
You may get issue a legal notice and continue to fight with him by approaching the Consumer Court. You have all chances of winning. Nothing to worry but it will take some time. Engage an advocate or get drafted the petition/complaint and appear in party in person.
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