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VINOD S. BHARDWAJ
Puri Construction Pvt. Ltd. – Appellant
Versus
Permanent Lok Adalat – Respondent
| Table of Content |
|---|
| 1. factual basis of the refund application (Para 1 , 2 , 3) |
| 2. arguments regarding refund liability and limitation (Para 7 , 8 , 9 , 10) |
| 3. court's detailed analysis on limitation issues (Para 11 , 12 , 13 , 14 , 15) |
| 4. final ruling on the award's validity (Para 16) |
JUDGMENT
Vinod S. Bhardwaj, J. (Oral)
The present petition has been filed for seeking quashing of the award dated 08.03.2019 (Annexure P-6) passed by the Permanent Lok Adalat (Public Utility Services), Faridabad in case No. 2906 dated 16.10.2017.
2. Learned counsel appearing on behalf of the petitioner submits that the respondent-applicant had filed an application under section 22 (C) of the Legal Services Authorities Act, 1987 before the Permanent Lok Adalat (Public Utility Services), Faridabad stating that he had booked a flat with an area of 1720 sq. feet in the project advertised by the petitioner in the year 2007 for Sector 82 to 85 in Faridabad with the name "The Paranayam". A sum of Rs. 5,41,800/- had been deposited by the respondent vide receipt No. 22 dated 10.12.2007. The basic sale price of the flat was Rs. 36,12,000/-. Till 21.08.2008, a sum of Rs. 16,33,068/- had been deposited by the respondent-a
The court ruled that a Lok Adalat's decision does not meet the requirements for res judicata, allowing the plaintiff’s appeal for specific performance to proceed.
The Permanent Lok Adalat lacks jurisdiction over property disputes not involving public utility services, and awards obtained through fraud are void.
The Permanent Lok Adalat can decide a dispute only after following the procedure outlined in Section 22C of the Legal Services Authorities Act, 1987.
The Lok Adalat exceeded its jurisdiction by making a non-party to the original suit a party and failing to provide a fair hearing, violating the Legal Services Authority Act.
An allottee has the right to choose a refund over an alternative plot when possession is not delivered, reinforcing the principle of contractual freedom.
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