Late possession penalty when no registration or agreement done

836 votes

Hi. You have two options. Either you can continue in the project and be entitled to claim interest on the amounts so far paid by you, calculated from the agreed date of handover of possession till final handover of possession OR you can withdraw from the project and claim the entire amount so far paid by you along with interest. It is quite surprising that you have paid majority consideration without insisting for a registered agreement. I hope atleast the builder has issued an allotment letter to you stating therein the date by which possession of your flat will given. If the builder has registered the project with RERA as an ongoing project, then you have remedy under RERA which is faster. If the builder has not yet registered the project with RERA then this gives you an additional ground for complaint against the builder to the RERA tribunal for not registering an ongoing project required by law. I suggest you first issue a legal notice to the builder and see what is his response. If he is willing to comply then well and good, if not you must then immediately approach RERA for redressal of your grievance. Recently RERA tribunal has constituted conciliation benches where you can attempt to resolve your dispute amicably. It is upto you to waive the interest and penalty from the builder in the conciliation proceedings or press for the same before the RERA tribunal. In your case since there is substantial delay and since the builder is sitting over your money for a long time, it is justified to seek interest penalty along with compensation from the builder. So do weigh in your options. For more clarification kindly contact me directly.

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