Haryana RERA has been stringent with its approach to dealing with real estate developers and promoters on account of defaulting or not holding their end of the bargain when it comes to building houses or commercial hubs. Recently, HRERA directed one of the prominent Realtors to repay the full amount with interest to a buyer after failing to deliver a commercial space. The ruling, passed down earlier this week, is being seen as a victory for consumer rights and a warning to real estate developers who do not adhere to their obligations.
According to a contract executed in September 2013, the complainant paid the builder Rs 16,38,379, and the promoter agreed to provide the commercial unit within four years in exchange for the payment. The allottee had reserved a store space in Gurugram’s sector 109 as part of the ISH Realtors Private Limited project. The mentioned unit’s entire sale price was Rs. 41,69,280, and possession was supposed to be turned over by September 2017, but there has been a significant delay in the project.
As reported by HRERA, the real estate developer failed to deliver a commercial unit to the buyer even after receiving full payment. The buyer had reportedly filed a complaint with the authority, alleging that the developer had not kept its promises and had not delivered the unit even after several months had passed.
The court ruled that the Authority directs the Promoter, i.e. ISH Realtors Private Limited, to repay a sum of Rs 16,38,379 with a 10.60 per cent interest rate as mentioned under Rule 15 of the Haryana Real Estate Regulation and Development Rules, 2017, from each payment date until the actual date of refund of the amount within the timelines as provided in Rule 16 of the Haryana Rules 2017.
The complainant further asked the Authority to intervene and order the promoter to pay him Rs. 5,00,000 in damages for his mental anguish and harassment and Rs. 55,000 to cover his court costs.
After investigating the matter, HRERA determined that the real estate developer failed to deliver the unit and breached its obligations under the contract. The authority ordered the developer to repay the full amount of money that the buyer had paid, along with interest.
The ruling is expected to have far-reaching consequences for the real estate industry, as it will likely encourage buyers to be more vigilant about their rights and hold developers accountable for their actions. It is also likely to make developers more cautious about their obligations and ensure they meet their promises to buyers.
