Builder hasn't given the possession on the promised date

I booked my flat in Feb 2014 and as per the agreement the builder has to handover my flat by Feb 2016 which is not still handed over. As per the agreement the builder has mentioned that in case of any dispute, both parties should appoint a retired judge and settle the issue through arbitration. As the above clause if practically not tangible, kindly let me know whether I could file a case in Consumer court to get the compensation. Will the arbitration clause will delay or hinder the progress of the consumer court proceedings.

Answers (3)

285 votes

This will not affect the consumer. The agreement clause is clear on the arbitration process. The person shall move to the RERA authorities at Egmore through a legal counsel. The consumer courts has already transferred like these cases to RERA

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131 votes

Hello Sir,
Your case is a tricky one. The Supreme court have held that Arbitration Act doesn't exempt any disputes from conducting Arbitration which implies Arbitration Proceedings can done even in consumer disputes. But, in a recent Judgement by National consumer forum, Consumer Disputes can't be referred to Arbitration proceedings. Now a Writ is pending before Supreme Court for Final Decision on this. As of Now, You can file a petition in consumer forum depending upon the judgment pronounced by National consumer forum.

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99 votes

You can avail any one of facility as per your agreement. As per agreement deed you may go to arbitrator to settle the matter. If you are not interested then you may go for consumer court. There is no delay as per arbitration clause. My suggestion is you better go to arbitration. So that matter will be solved quickly rather than consumer court.

Disclaimer: The above query and its response is NOT a legal opinion in any way whatsoever as this is based on the information shared by the person posting the query at and has been responded by one of the Consumer Court Lawyers at to address the specific facts and details. You may post your specific query based on your facts and details to get a response from one of the Lawyers at or contact a Lawyer of your choice to address your query in detail.

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