Cheated by your Developer? Here’s how you can Ask for Legal Help
Feb 27, 2020 Legal Guidance
The real estate sales have been witnessing a slow down for a while now and the major reason behind the same is the delay in project completion and financial irregularities with the developers. However, the government brought RERA into action in 2016, which aims at making sure that the homebuyers are handed exactly what they are promised.
RERA protecting the interest of the homebuyers
Under Section 31 of RERA, the homebuyer can file a complaint against the developer with the RERA authorities. The authorities are directed to act on the complaint and look into the matter within 60 days of the complaint filing. If the buyer is not satisfied with the order given by the RERA authorities, then they can move to the appellate tribunal and challenge the order. If the consumer is still not satisfied with the result given by the appellate tribunal then they can approach the high court for the remedy of the issue.
It is important to note that the buyers can approach the RERA authorities against the complaint filed for the RERA approved under-construction projects. However, there have been cases where the authorities have heard the cases against the completed projects but no everyone.
Approach the Judicial system for justice
Criminal Court: Before approaching the high court, the homebuyer must file a report against the builder. In 2018, Bombay High Court ruled that the developers committing the fraud is criminal in nature and criminal cases must be filed by the victim. A criminal case can be filed even if there are no actual or physical damages, where the actions intended to cheat a buyer was taken by the offending party.
Sessions Court: criminal cases can be filed in the sessions court under various provisions of the Indian Penal Court (IPC). The victim can be called as a witness and the prosecutor holds the responsibility to prove the crime.
Civil Court: If the developer breached the contract, the homebuyer has the right to approach the civil court of the country. There should be proof that actual damages have been occurred for the homebuyer to file the case with the civil court. Unlike other courts, the responsibility to prove the offence lies with the buyer.
Higher Courts: The homebuyers are free to move to the higher courts, High Court and Supreme Court if they feel unsatisfied with the result of the lower courts.
Consumer Court: Before the real estate laws came into action, the consumer court was responsible for the complaints filed against the developers. However, there is a three-tier mechanism: the buyer must first approach the district consumer court which will only address the complaints if they are less than Rs 20 lacs. For the complaints that are over Rs 20 lacs by less than 1 crore, the buyer has to approach the state forum. If the complaint exceeds Rs 1 crore, then the National Commissions looks into the details.
Competition Commission of India
The consumer can also approach the CCI for unfair trade practices. The developers can be dragged into CCI for market monopoly. The body has the power to investigate any anti-competitive practices and impose stringent penalties on the offenders.
RERA protecting the interest of the homebuyers
Under Section 31 of RERA, the homebuyer can file a complaint against the developer with the RERA authorities. The authorities are directed to act on the complaint and look into the matter within 60 days of the complaint filing. If the buyer is not satisfied with the order given by the RERA authorities, then they can move to the appellate tribunal and challenge the order. If the consumer is still not satisfied with the result given by the appellate tribunal then they can approach the high court for the remedy of the issue.
It is important to note that the buyers can approach the RERA authorities against the complaint filed for the RERA approved under-construction projects. However, there have been cases where the authorities have heard the cases against the completed projects but no everyone.
Approach the Judicial system for justice
Criminal Court: Before approaching the high court, the homebuyer must file a report against the builder. In 2018, Bombay High Court ruled that the developers committing the fraud is criminal in nature and criminal cases must be filed by the victim. A criminal case can be filed even if there are no actual or physical damages, where the actions intended to cheat a buyer was taken by the offending party.
Sessions Court: criminal cases can be filed in the sessions court under various provisions of the Indian Penal Court (IPC). The victim can be called as a witness and the prosecutor holds the responsibility to prove the crime.
Civil Court: If the developer breached the contract, the homebuyer has the right to approach the civil court of the country. There should be proof that actual damages have been occurred for the homebuyer to file the case with the civil court. Unlike other courts, the responsibility to prove the offence lies with the buyer.
Higher Courts: The homebuyers are free to move to the higher courts, High Court and Supreme Court if they feel unsatisfied with the result of the lower courts.
Consumer Court: Before the real estate laws came into action, the consumer court was responsible for the complaints filed against the developers. However, there is a three-tier mechanism: the buyer must first approach the district consumer court which will only address the complaints if they are less than Rs 20 lacs. For the complaints that are over Rs 20 lacs by less than 1 crore, the buyer has to approach the state forum. If the complaint exceeds Rs 1 crore, then the National Commissions looks into the details.
Competition Commission of India
The consumer can also approach the CCI for unfair trade practices. The developers can be dragged into CCI for market monopoly. The body has the power to investigate any anti-competitive practices and impose stringent penalties on the offenders.
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