IN THE HIGH COURT OF JUDICATURE AT ALLAHABAD
MAHESH CHANDRA TRIPATHI, PRASHANT KUMAR, JJ.
Smt. Madhubala Jaiswal - Petitioner
Versus
Real Estate Appellate Tribunal and Others - Respondents
Writ - C No. 15996 of 2022
Decided On : 22-08-2024
(A) Constitution of India - Article 226 - Allotment of residential plot - Delay in possession - Petitioner allotted plot but possession not delivered despite payment of 80% of premium - UPSIDA charged interest for delay caused by its own fault - Court directed UPSIDA to charge interest at 6% only and execute lease deed within 2 weeks. (Paras 44, 45)
(B) Legal Principle - Doctrine of Commodum Ex Injuria Sua Nemo Habere Debet - No party can take advantage of its own wrong - UPSIDA cannot charge interest for delay caused by its own internal issues. (Paras 32, 40)
JUDGMENT :
Mahesh Chandra Tripathi, J.
1. Heard Shri Pankaj Jaiswal, learned counsel for the petitioner, Shri H.N. Singh, learned Senior Counsel assisted by Shri Ashish Agrawal, learned counsel appears for the Uttar Pradesh State Industrial Development Authority.
FACTUAL MATRIX OF THE PRESENT CASE:
2. Uttar Pradesh State Industrial Development Authority, [UPSIDA] launched a scheme of residential plot in ‘Saraswati-Hi Tech City Naini, Allahabad’. The petitioner who is 75 years old lady, made an Application No. 1693 on 18.09.2016 for allotment of plot and had deposited Rs.1,95,930/- as Registration amount. The petitioner was found to be successful and was allotted a plot No. B 440 (measuring 200 Sq. Meter) on 18.02.2017 and the cost of plot was fixed at Rs. 36 lakhs. The allotment letter was issued on 18.02.2017, wherein it was stated that 25% of the total premium of plot after adjusting registration amount is to be deposited within 30 days.
3. From the record it emerges that the condition in the allotment letter was that the allottee while participating has to deposit Rs.1,93,320/- as registration amount and after he/she was found successful in getting the allotment, the allottee would be required to pay 25% of the total premium amount within 30 days (which was amounting Rs.7,01,680/-). The allotment also provided the facility of instalment, but, it carried an interest of 14% per annum on remaining premium chargeable from the date of allotment, payable in 12 half yearly installments alongwith interest on first day of January & July each year. Rebate of 2% was also admissible in case the payments due are made on or before the prescribed date if there are no arrears of dues.
4. The petitioner instead of depositing 25% (which was Rs.7,01,680/-) of the said total amount, has deposited around Rs. 29 lakhs which was approximately 80% of the total amount of the premium, without seeking benefit of instalments which was offered in the allotment letter. So far as the possession of the plot as per the allotment letter is concerned, it was to be delivered to the allottees after payment of 25% of the total premium of plot (after adjusting earnest money/registration amount).
5. As per the terms and condition of the allotment, the petitioner was promised to get possession by July 2017, but the same was not given to the petitioner. Aggrieved with the same, the petitioner approached Real Estate Regulatory Authority, [RERA] on 05.11.2017 and RERA vide order dated 27.02.2018 directed the respondent No. 3-UPSIDA for delivering the possession, however, no order was passed for the interest on the delayed period. Hence, the petitioner filed an appeal No. 100 of 2020 before the Real State Appellate Tribunal, Lucknow within time and after admission of appeal, Tribunal fixed date for hearing, but due to lockdown in Corona period, it was informed to the petitioner that the hearing would be conducted through Video conferencing. It is claimed that no link was provided in spite of several requests, hence, the petitioner could not appear. The matter kept pending before the RERA Appellate Authority.
6. On 03.09.2019, an office order was issued by the UPSIDA, whereby the allottees were given option if they want to quit from the project, they can take back their deposited money with 6 percent interest per annum, or in case they want to continue under the scheme they will have to pay the remaining premium amount and other charges as per the original allotment order.
7. It transpires that there was some issue between UPSIDA and the State Government and the State Government for some internal reason did not executed the Conveyance Deed in favour of UPSIDA, as a result, they were also not in position to further execute the Conveyance Deed and hand over possession to the allottees. It seems that ultimately the State Government executed the Conveyance Deed on 23.01.2021 in favour of UPSIDA, and hence the delay in executing the sale deed by UPSIDA in favour of the petitioner wa
Kusheshwar Prasad Singh vs. State of Bihar and others
Nirmala Anand vs. Advent Corporation (Pvt.) Ltd. And others
No party can benefit from its own wrong; UPSIDA cannot charge interest for delays caused by its own actions.
1. Interest will be calculated after the period of assured possession has elapsed – from when cause of action has arisen2. Arbitration is not a bar to consumer complaint
The 'as is where is' clause in the brochure was deemed unconscionable and void under Section 23 of the Indian Contract Act, 1872. The allottee is entitled to interest for every month of delay in poss....
The court held that the lessee is entitled to the provision of an approach road as stipulated in the lease deed, justifying waivers of interest and zero period until compliance by the lessor.
Developers are entitled to waivers and extensions when failure to provide essential infrastructure, such as access roads, obstructs project execution, affirming obligations under lease agreements.
Authority must provide preferential land allotment to disabled persons per applicable legislation; arbitrary cancellations and excessive interests are unjust.
The main legal point established in the judgment is the authority's power to condone the delay in exceptional circumstances and restore the plot, as supported by the GMADA Act, 1966, and previous cas....
The principle of unjust enrichment and the doctrine of legitimate expectations were central to the court's decision, emphasizing the obligation of the Development Authority to act fairly and reasonab....
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