Can builder cancel booking w/o telling for delay in 3 installments?


Can a builder cancel a booked flat without intimation because of delay in 3 installments from my end? I booked a flat wherein 3 installments were delayed and I did not get the intimation from the builder as I shifted my residence and did not inform the builder about the change in the address.

However, instead of following up with me for the payment, my allotment was cancelled and the money paid as advance has been credited to my bank account by the builder. Now they are offering me the same apartment at twice the cost.

How can I get my apartment back at the same price? Please advise.

Answers (1)


475 votes


It depends on whether the flat has been registered in your name or not. Once it is legally registered then the titles passes to you and the allotment cannot be cancelled except by the Court of law. 

However, if the registration has not been completed, then it depends on the terms of the agreement. A builder can cancel your allotment if the terms and conditions of the Agreement entered into between you and the builder allow him to do so.

The other option which will again depend on the terms and conditions of the agreement is filing a consumer complaint. You can give your reasons as to why you there was a delay in making payment of the instalments and seeking relief from the court. You can also state that no intimation was made to you regarding the non-payment and the allotment was cancelled unilaterally. We would like to know was there any covenant in the contract which ensure time bound construction. 


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