Order Date: 23rd January 2025
Order Name: Lalita Tanwar & Anr vs Hamilton Heights Pvt. Ltd. & Anr A/W 1 Other
Case No.: Consumer Complaint No. 1852 of 2017 A/W 1 Other
The National Consumer Disputes Redressal Commission recently ruled in favor of homebuyers who faced delays in receiving their apartment’s occupation certificate. The Commission, with Subhash Chandra and AVM J. Rajendra presiding, directed the builder to compensate the homebuyer for this delay.
Here’s a breakdown of the case: The homebuyer had booked a 3 BHK apartment in a project called Hamilton Heights in Faridabad on January 15, 2008, for Rs. 78,42,825. According to their agreement, the builder was supposed to hand over the apartment by December 2011. However, possession was only given in October 2015, and the crucial occupation certificate, which is a legal requirement, was obtained much later in August 2023.
The homebuyer then filed complaints seeking compensation for the delay, legal possession, reduced maintenance charges, and litigation costs. The builder argued that the buyer was not a “consumer” under the Consumer Protection Act since they owned two flats and used one for commercial purposes. Additionally, the builder claimed the complaint was filed too late, beyond the two-year limit set by law.
The Commission disagreed with the builder’s arguments. It clarified that the complaint was filed within a reasonable time since the occupation certificate was still pending. Also, owning multiple properties doesn’t automatically mean a commercial purpose, as backed by previous court rulings.
As a result, the Commission ordered the builder to pay compensation at 6% per annum on the amount paid from the promised possession date until the occupation certificate was issued. They were also directed to adjust maintenance charges to start from the actual possession date and pay Rs. 50,000 in litigation costs to the homebuyer.
This judgment highlights the importance of timely delivery and legal possession of property, affirming that homebuyers are entitled to compensation for delays due to deficiencies in service.
