10 April 2024 Civil Appeals >> Civil & Consumer Law   |   Consumer Law >> Civil & Consumer Law   |   Property/Real Estate Law >> Property & Real Estate  

A recent court order has brought relief to homebuyers who faced delays in receiving their flat. The case involved a dispute between homeowners (Appellants) and a developer (Respondent) where the developer failed to deliver the flat on the promised date.

Background:

The homeowners had paid 90% of the total cost by the designated date. However, the developer failed to deliver the flat by the promised timeline. This delay prompted the homeowners to file a consumer complaint.

Initial Ruling:

The National Consumer Commission initially ruled in favor of the homeowners. They were awarded delayed compensation, and the developer was allowed to charge a reduced interest rate on the remaining balance owed by the homeowners.

Appeal and Court's Decision:

The homeowners appealed the decision, objecting to the developer charging any interest on the remaining balance. The court agreed with the homeowners' argument. They overturned the part of the order that allowed the developer to collect interest.

What This Means for Homebuyers:

This court order sets a precedent for similar cases. In this specific instance, the developer is now required to inform the homeowners of the outstanding amount within two months. Once the homeowners pay the remaining balance, the developer must deliver possession of the flat within 30 days.

Key Takeaway:

This case highlights the importance of legal recourse for homebuyers facing delays in flat possession. It also emphasizes the court's role in ensuring fair treatment for both parties involved in such disputes.