IMPORTANT POINT
Compensation has to be paid in terms of agreement between parties.

JUDGMENT :

M.R. Shah, J.

1. Feeling aggrieved and dissatisfied with the impugned common order dated 05.02.2020 passed by the National Consumer Disputes Redressal Commission, New Delhi (for short, ‘National Commission’) passed in the respective Appeal Executions dismissing the same, the developer – Parsvnath Developers Limited (hereinafter referred to as the ’Developer’) has preferred four appeals bearing Civil Appeal Nos. 6380/2021, 6383/2021, 6385/2021 & 6384/2021.

1.1 Feeling aggrieved and dissatisfied with the orders dated 04.10.2017 passed by the National Commission in I.A. Nos. 14331 & 14332 of 2017 (for modification) dismissing the said applications, the Chandigarh Housing Board (hereinafter referred to as the ‘CHB’) has preferred Civil Appeal Nos. 6382 and 6381 of 2021.

2. The facts leading to the present appeals in nutshell are as under:

That the Chandigarh Administration on 01.12.2005 appointed CHB as the nodal agency for development of residential, commercial and other related infrastructure facilities as an integrated project at Rajiv Gandhi Chandigarh Technological Park in Chandigarh by the name “Pride Asia”. The bid of the appellant – developer was accepted by the CHB. Consequently, CHB and the developer entered into a Development Agreement dated 06.10.2006 for grant of development rights in respect of land measuring 123 acres. The said land was allotted to the appellant – developer by CHB for constructing residential units, who then advertised its project for the sale of flats and pent houses in the name and style as “Parsvnath Pride Asia”.

2.1 The respective private respondents applied for allotment of apartments in the said project. Later, Tripartite Agreements were executed between the Developer, CHB and the private respondents/flat owners/allottees. Clause 9(a) of the said agreement provided that the construction of the flats was likely to be completed within 36 months from the date of signing of the Development Agreement between CHB and the appellant, i.e., 06.10.2006. That the appellant could not carried out the construction as, according to the appellant, the CHB failed to handover the possession of the unencumbered land to it for raising the construction.

2.2 A dispute arose between the appellant – developer and the CHB and in terms of the development agreement, the dispute was referred to the arbitrator. A former Judge of this Court was appointed as the sole arbitrator to adjudicate the dispute between the appellant and the CHB.

2.3 Pending arbitral proceedings, due to delay in allotment of the flats to the allottees, the allottees filed individual complaints before the District Consumer Disputes Redressal Commission (for short, ‘District Forum’), the State Consumer Disputes Redressal Commission (for short, ‘State Commission’) and before the National Commission. The District Forum and the State Commission allowed a batch of almost 75 complaints which were impugned before the National Commission by way of First Appeal No. 269 of 2012 and other connected appeals and the revision petitions, which were disposed of by the National Commission vide its common order dated 05.03.2013. The National Commission modified the orders passed by the District Forum and the State Commission to the extent that it had directed payment of uniform rate of interest to the allottees, i.e., 9%. Insofar as the payment of compensation under clause 9(c) of the Flat Buyer Agreement was concerned, the National Commission directed that the payment of compensation be made by way of interim measure, subject to final outcome of the arbitration proceedings between the appellant and the CHB.

2.4 Being aggrieved by the common order dated 05.03.2013 passed by the National Commission, the appellant filed Special Leave Petition bearing S.L.P.(Civil) Nos. 17133-17134 of 2013 and connected matters. This Court vide order dated 10.05.2013 issued notice and stayed the operation of the judgment and order dated 05.03.2013 of the National Commission in part to