In recent past a Mumbaibased lady gynaecologist Sudha Seth and her surgeon husband Mr. Naren put their heart and soul together on ink and white as for the past 5 long years they have been writing mails and letters against the robust property builder Lodha Developers to the National Consumer Commission. Finally after 5 years they are under a shining sun with a favourable verdict. For a renowned builder having a bunch of good advocates for his defence is just a matter of pressing buttons of mobile. But the consumers it’s like a mouse that fears of a giant flying hawk. The verdict came when the couple left every expectation for getting positive justice.
The Seths are amongst several homebuyers who have gone against real estate builders and have won cases in the National Consumer Disputes Redressal Commission in the recent times. While there is no record of how many verdicts have been gone in the favour of homebuyers. The commission received over 1700 housing related cases in 2014-15. The National Commission’s jurisdiction (in Housing) is higher than 1 crore. Most of the urban apartments of our times are priced above that mark; so they make it to the apex consumer court easily. Also complaints against builders have become a regular sore- this is the way the real estate expert lawyers think. Usually homebuyers have limited options after they realize that they have been made ninny by the fussy builders. They can either go to district, state or national level commission depending on the value of their asset else file a criminal suit. There is a common traits of these complains- 1. Delay in delivery 2. Fraudulent agreements 3. Additional money claiming for parking plot 4. Faulty construction 5. Unreasonable maintenance charges or 6. Delay in registration of booked property etc.
About the legal route– Consumer courts are there to help endangered consumers. They are bound by the consumer protection laws of the land. The court shouldn’t be biased, but have to give fair and patient hearing to the consumers. For example the builders impose 18% interest on payments due from homebuyers. Now when there is any case related to this concern to bring impartiality consumer courts direct builders to pay same rate of interest in case if he delays in handing over the property. Generally builders pay 4-6% interest for project delays. To prevent builders from further delay on not attending any session of hearing Commission has the right to fine them 10-20000 per missed hearing. Consumers can apply in civil court too.
The impact of new law– With the implementation of RERA people can expect more transparency between buyers and the builders which will boost up consumers’ level of confidence towards Indian real estate laws. RERA mandates every builder to register their project with state real estate regulatory authority along intensive information about the project, construction plan, tax clearance and needed approval from local bodies.
By –Liyans, one the most happening property portals in Kolkata.