NCDRC Directs Mahindra Lifespace Developers To Pay Delayed Compensation With An Interest On The Deposit Of The Home Buyer

The opposite party is engaged in the business of development and construction of group housing project. They launched a project in the name of ‘Mahindra Aura’at a village called Chouma in Gurgaon in the year 2011. Accordingly, the complainants booked a residence in the project and paid the booking amount. They were allotted an apartment and an apartment buyer agreement was executed by the opposite party for the same flat. A construction linked payment plan was opted for the agreement. More importantly, Clause 15 of this agreement provided a 32 month period from the start of construction for delivery of possession. However, the due date of 04.10.2014 was surpassed and it was offered in the later half of the year 2016.

The opposite party submitted before the commission that under the apartment buyers agreement, the delayed compensation was agreed to be @ Rs. 5/- per sq.ft. per month. It was also submitted that they are not liable for the rent paid by the complainants.

The bench referred to the decisions of the Hon’ble Supreme Court in the case Wg. Cdr. Arifur Rehman Khan & Ors.Vs. DLF Southern Homes Pvt. Ltd. In this decision, it was held that the delayed compensation @7.5 per sq. ft. p.m. was inadequate and fixed delayed compensation in the form of interest @6% per annum on the deposit of the home buyer.

It was highlighted by the counsel for the opposite party that the complainant has asked for a compensation of Rs. 5/- per sq. ft. p.m. this amount has been paid and hence no further amount can be granted. At this, the bench observed that the complainants have also prayed for reimbursement of rent @Rs.24,080/- per month for the delayed period. The bench therefore observed that delayed compensation can be provided as per the terms of the case Wg. Cdr. Arifur Rehman Khan & Ors.Vs. DLF Southern Homes Pvt. Ltd.

In the light of the aforementioned, the bench directed Mahindra Lifespace Developers to pay delayed compensation on the home deposit paid by the complainants at an interest rate of 6% p.a. this compensation is to be paid within 2 months from the date of the order.

Case: ALOK RANJAN SINHA & ANR. V. MAHINDRA LIFESPACE DEVELOPERS LTD.

CONSUMER CASE NO. 691 OF 2016

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