Builder Delayed Your Property? Here’s How to Get a Refund with Interest

-

 

Case: Refund Claim under RERA – Ozone Urbana Project


1 min read

Introduction 
This case, filed under Sections 12 and 18 of the Real Estate (Regulation and Development) Act, 2016 (RERA), involves a complaint against the project Ozone Urbana for refunding the paid amount of ₹38,00,998/- with interest. The complainant cited the respondent's failure to adhere to the agreement terms, including delay in project completion and changing the possession date without consent.

Key Facts of the case:

  1. Agreement Details:
    • Initial sale agreement dated 10.07.2018.
    • Revised agreement on 25.10.2021 included the complainant's husband as a co-buyer.
  2. Project Completion Dates:
    • Original completion date: December 2022.
    • Revised completion date (without consent): September 2023.
  3. Payments:
    • The complainants paid ₹38,00,998/-.
  4. Complaint Filing:
    • The complainants filed a case for refund with interest citing non-completion of the project and sought relief under Section 18 of RERA.

Proceedings

●        The complainants presented payment receipts, agreements, and a memo of calculation (MOC), showing the total refund due with interest as ₹61,60,638/-.

●        On 06.01.2025, the respondent again failed to file objections and sought further time. Objections were filed by the builder but lacked critical evidence or documents showing the project’s status.

Findings and Conclusion

  1. Entitlement to Refund:
    • Under Section 18 of RERA, the promoter must refund the amount with interest if the buyer withdraws due to delays or non-compliance.
    • The respondent neither contested the claim with valid evidence nor provided proof of project completion.
  2. Refund Determination:
    • Principal amount paid: ₹38,00,998/-
    • Interest calculated: ₹23,59,640/- (up to 01.12.2024)
    • Total refund amount: ₹61,60,638/-
    • Interest continues to accrue until the final payment is made.
  3. Order:
    • The respondent must refund ₹61,60,638/- within 60 days, including additional interest from 02.12.2024 until the final payment date.
    • Complainants may initiate legal recovery if payment is delayed.

Comments

Post a Comment

Popular posts from this blog

Court says it's unfair for Private Institute to refuse for refund of fees and cannot retain advance fee.

-
Image
Read Time - 2 minutes. Case Analysis: FIITJEE Ltd. vs. Mr. Rajeev Luthra Background of the Case The dispute arose when Mr. Rajeev Luthra’s daughter enrolled in FIITJEE’s two-year classroom program for CAT preparation but discontinued after two months. The reason cited was her inability to manage the intense schedule of school and coaching, resulting in academic pressure. Mr. Luthra requested a refund of ₹1,34,015, which was the entire course fee paid in advance. FIITJEE denied the refund, referring to specific clauses in the enrollment agreement stating that fees once paid were non-refundable. Key Issues Was FIITJEE justified in retaining the entire two-year course fee despite the student discontinuing after two months? Whether the non-refundable fee clause in the enrollment agreement constituted an unfair trade practice? Did FIITJEE comply with the directions set by the Supreme Court I slamic Academy of Education and another versus State of  ...
Read more

Claim Restrictions of Insurance Rejected: Cancer Patient Secures Justice.

-
  Garima Singh v. New India Assurance Co. Ltd. in the Delhi High Court revolves around cancer treatment and insurance claims. 1 min read: - Facts: Diagnosis & Treatment: The petitioner, Garima Singh , was diagnosed with Stage-IV breast cancer in 2021. The cancer spread to the lymph nodes and lungs . She underwent Chemo-immunotherapy , a combination of chemotherapy and immunotherapy. Insurance Claim Dispute: She held a health insurance policy covering Rs. 44.5 lakhs . The insurance company refused to fully reimburse her treatment costs, citing a sub-limit of Rs. 2 lakhs for Monoclonal Antibody injections . The Insurance Ombudsman ruled in her favor , directing the insurer to pay for the treatment . But the insurance company failed to comply with the order. Legal Arguments: The cancer Patient had approached Hon’ble High Court for directing the Insurance company to comply with the order.  The petitioner argued that Chemo-immunotherapy is different from Monoclonal Antibody i...
Read more