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Filing a consumer case against builders


28-Aug-2023 (In Consumer Court Law)
Hello, I'm in the verge of filing a consumer case against a builder who has delayed the handover for 2 years and for demanding extra amount as late payment cost! They sent arbitration letter but no response on the dates of action. The question is, for filing a case, do we need to initially page a huge sum of amount to the court? Do we have to pay the dispute amount - 4L initially to the court?Building cost - 37 lakh and late payment dispute - 4 lakh.
Answers (4)

Answer #1
734 votes
First, the agreement between the parties has to be scrutinized. You need not pay upfront court costs as court fees. Subject to the nature of dispute , it can be decided whether relief can be sought before civil or consumer forum.
Answer #2
651 votes
Any claim less than 20 lacs it will come under the District forum and if it is more than 20 lacs it will be before the state commission. It looks like your builder is trying to invoke the arbitration clause contained in your construction agreement. Do not worry the consumer forum fee is much lesser then you think, for your claim on service defect of the builder. It is necessary to see whether he can invoke such arbitration clause for the sake of not attracting consumer law. This need much in depth study of facts and better interpretation of law.
Answer #3
618 votes
You just have to pay a very nominal court fee, and that's all. You need not deposit the amount in the curt. based on your claim amount, you have to approach the appropriate consumer forum, if the claim is high, you may have to approach the State Commission, and if not the district Commission. The consumer courts in Chennai are in Frazer Bridge Road, near dental hospital and fort railway station.
Answer #4
578 votes
No. There is absolutely no court fee in case of consumer dispute. Also you don't have to initiate arbitration agreement too. Consumer remedy is an additional remedy and not an alternative remedy. I have filed 4 cases indentical to your facts.

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