The main legal point established in the judgment is the duty of the opponents to provide peaceful and vacant possession of the flat to the complainants and the entitlement of the complainants to compensation and costs of litigation.

ORDER :

Usha S. Thakare, Presiding Member

Complainants have filed present consumer complaint under Section 17 of the Consumer Protection Act, 1986 by alleging deficiency in service against the opponents.

2. Complainants are resident of 501, Devi Mahal, Goal Maidan, Ulhanagar. They wanted to buy a flat for self-occupation and for occupation of their family members. Opponent No. 1 is a partnership firm and opponent No. 2 is a partner in the said partnership firm. Parties entered into an agreement. Opponents are builders/developers who have sold a flat to the complainants for consideration in the year 2007. By virtue of said transaction, the complainants have become consumers of the opponents. Opponents have rendered services by way of sale of flat bearing No. A-402, admeasuring 672 sq.ft. stands erected on a plot bearing Survey No. 14 and City Survey No. 507 (part), Village Kirol at Tilak Nagar, Chembur, Mumbai 400 89, belong to Maharashtra Housing and Area Development Authority (MHADA). It is submitted that building No. 96 is consisting of 24 tenements. Condition of the building was deteriorated. The society decided to re-develop the property by demolishing the building No. 96 and to erect new building by appointing builder for development work. By development agreement dated 15.3.2005, the society granted development rights to the opponent No. 1 by stipulating that building No. 96 shall be demolished and a new building shall be erected at that place. Pursuant to the development agreement, the society granted a power of attorney in favour of the opponent No. 2 to do all acts, deeds and things required for completing the redevelopment work. Opponent undertook to construct a ground plus 7 floors. Opponent Nos. 1 and 2 represented to the complainants that they have obtained all the necessary approvals from all the authorities to complete the redevelopment work. It is also represented to the flat purchasers that plans for the building have already been sanctioned by the Municipal Corporation of Greater Mumbai. It is informed that IOD had been granted to them vide letter dated 8.11.2006 and opponents also obtained commencement certificate on 14.12.2006. They also represented to the flat purchasers that they wanted entire consideration amount to be paid upfront so that the project did not get delayed due to defaults of some of the flat purchasers. It was indicated that the cost of the flat would be Rs. 24,60,000 excluding stamp duty, registration and other legal and incidental charges. Opponents promised that they would complete construction work in record time and that they will not seek escalation in price in future under any circumstances.

3. It is alleged that the complainants paid amount of Rs. 24,60,000 since 2.12.2007 to 29.12.2007 by cheques. Agreement was executed on 27.12.2007 between the complainants and the opponents regarding sale of flat No. A-402, admeasuring 672 sq.ft. at a total consideration of Rs. 24,60,000. It was duly registered in February 2008. Opponents agreed to hand over possession of the flat on or before December 2008. However, complainants were shocked by seeing that certain clauses of agreement which were not disclosed earlier. It was mentioned in the agreement that in terms of Clause 6 of the agreement executed between the parties, the developer was entitled to extension of time for giving delivery of possession of the said flat if the completion of the said building was delayed on account of—

(i) Non-availability of building material, or

(ii) War, civil commotion, strikes, riots, Act of god or

(iii) Any notice, order rule, notification etc. of any Government/Semi-Govern-ment/local body or authority, or

(iv) Any legal proceedings in any Court of Law, and/or any quasi-judicial body or authority and the orders passed in such proceedings, or

(v) Any other circumstances which are beyond the control of the develo