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Builders can't give excuses for delay in delivery of houses, says consumer commission

The consumer commission has said that a builder cannot make excuses like not getting approvals from authorities, land acquisition problems or any other difficulty for delay in handing out flats to homebuyers

twitter-logoBusinessToday.In | December 14, 2018 | Updated 11:42 IST
Builders can’t give excuses for delay in delivery of houses, says consumer commission

In what is likely to have repercussions across the country, the consumer commission has said that a builder cannot make excuses like not getting approvals from authorities, land acquisition problems or any other difficulty for delay in handing out flats to homebuyers. The two-member bench of National Consumer Disputes Redressal Commission (NCDRC) asked builders not to make excuses in a case where it asked real estate major DLF to hand over 16 flats to buyers in one of its projects in Panchkula, Haryana.

The bench also directed the company to pay up Rs 1 lakh per annum for delay along with home loan interest rate by banks on the payments the buyers have already made to the builder, a report in The Times of India said. The interest will be applicable from February 2014. The builder has assured the buyers that it will hand over the flats by the promised date.

The bench also asked the builder to complete the registration of the sale deeds and directed the buyers to pay for the registration.

Additionally, the builder has been asked to pay Rs 1 lakh each to the buyers to bill their litigation cost. The bench said that the builder demonstrated unfair trade practice and provided deficient services.

Moreover, DLF has been asked by the bench to give details of the structural drawings and construction, electrical, plumbing and sanitation plans to the buyers so that they can repair and maintain the flat themselves and not have to depend on the builder.

A DLF spokes person said that the issue is subjudice and that they are taking legal opinion for further recourse.

(Edited by Anwesha Madhukalya)

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