In the present matter, the Complainant booked a Residential floor in the Project ‘Omaxe Cassia’ of the Developers. The Allotment letter (26.07.2012) provided that the floor would be delivered within 24 months from the date on which Agreement will come into effect but not later than 30 months (25.01.2015). The Complainant paid about Rs.51 lacs of the total amount of Rs. 56 Lacs. Developers through various emails sought the extension of the period for delivery but failed to transfer the possession of the Floor within the stipulated time.

The Complainant filed the Complaint in State Commission, U.T. Chandigarh holding the Developers responsible for Unfair Trade practises and deficiency in services. The Complainant claimed possession of floor along with interest, compensation and cost of litigation.

Claimed possession of floor along with interest, compensation and cost of litigation

The Developers challenged the complaint on the following grounds:

  • The matter was to be referred for Arbitration as per the Agreement.
  • The suit cannot be filed in the State Commission of Chandigarh as payments were made in New Delhi.
  • The State Commission did not have the Monetary Jurisdiction to deal with the case.
  • The Complainant being an NRI has bought the property for commercial purposes.
  • Time is not the essence in the case of sale of immovable property.

The Commission directed the Developers to complete the construction of the project and handover the possession along with fine or interest @12% p.a. and compensation for mental agony and harassment (as the Complainant invested huge amount of money with the hope to get a roof over his head but could not because of the Developer’s failure), and also Rs. 50,000 as the Cost of litigation.

Read Full Judgement

Click here to download full Judgement