Signed an agreement with a buider, work didn't start.

We have entered into a Development Agreement with a Builder M/s Alif Builders, on 19th Nov'2009, but it has been now nearly 5 years since we signed the agreement but so far said builder has not obtained the IOD nor started any work. M/s. Alif Builders has paid us an amount of Rs.3,12,000/- at the time of signing the Agreement, though our property is worth crores of rupees.

We would like to have your advise on the following: 1. At the time of signing agreement, said builder has changed pages (after obtaining signatures) he has removed the words of 90 days time limit for builder obtaining IOD, and has written time being essence of the agreement. Even the Advocate, Mr. Deepak Padwal, who we appointed has cheated us and is on the Builder's side 2. We have come to know from BMC Authorities that said builder has till date not applied for IOD 3. How long does it take to obtain IOD and what are the procedures for obtaining the same 4. The said Builder had given us a letter in writing stating that he would obtain the IOD by 31st January 2014, but still he has not done so. 5. We are getting offers from other reputed builders who are interested in purchasing the property or either entering into a Re-development Agreement.

We have informed the said builders that we have already entered into a Re-Development Agreement with Mr. Alif Builders, and they say that they will pay off the amount taken from M/s. Alif Builders to him Please could you let us know the current rate going on of the property in Bandra (West), Goathan area Under the above said circumstances can we cancel the said Re-Development Agreement, as our property is in a dilapidated condition and can collapse any time causing harm to our Tenants as well as to us and M/s Alif Builders is not at all interested in carrying our the work nor is he responding to our calls. If yes then where and how do we go about getting the same cancelled and on what grounds? Also if you could suggest us a good lawyer who can guide us enable to solve our problem Awaiting your favourable response from your end, I remain.

Answers (1)

476 votes
You have stated that builder has changed pages in said agreement which mentions 90 days time for obtaining IOD . do you have any agreement signed by builder wherein he has mentioned that IOD would be obtained within 90 days . you cannot levy any allegations against your lawyer without any evidence. If builder has till date not applied for IOD issue him legal notice to terminate the agreement. It certainly doesn't take 5 years to obtain IOD .as far as procedure for obtaining IOD are concerned local architect can guide you. If other builders are giving you lucrative offers request them to give it in writing. You can terminate the agreement with Arif Builders on grounds of delay in carrying out construction. 5 years is pretty long time, by now building should have been ready for occupation.

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