Can I compel builder to buy back the house on current value

570 votes

The National Consumer Disputes Redressal Commission (NCDRC), has clearly held that in case of projects where deposit has been taken by the builders but the project is no where near completion, the builders are liable to compensate the buyers with the amount so deposited along with 18% interest per anum thereon from the date of deposit.
The said order of NCDRC has been upheld by the Supreme Court of India on the ground that the Supreme Court found no cogent reason to interfere with the decision of the NCDRC.
In light of the aforesaid, the builder is liable to repay the deposit amount along with 18% interest pa thereon from the date of deposit by you. Also, the agreement, if any, signed between you and the builder has to be examined to see if there is any penalty/ compensation clause. in such cases, generally the compensation/ penalty clause is downplayed by the builders. However, NCDRC has time and again protected buyers even where the compensation/ penalty clause is not clear, since the buyers have little or no say at the time of signing the agreements. Since no straight jacket formula can be laid down to determine the compensation and the same varies from case to case, facts like amount deposited, delay in the project, whether the project can be delivered in forseeable future, penalty clause in agreement, mental harassment caused to the buyer, etc. are relevant factors that determine the compensation.

Advocate Kawaljit Singh Bhatia LawRato

836 votes

yes..you can demand compensation from them. at any stage you can file a complaint application....the compensation.. the interests which incurred, cost of mental agony, cost of litigation , but you must be fast as the limitation period is 2 years when the cause of action arised

Advocate Dhananjay Srivastava LawRato