Authorities must clarify payment structures and ensure timely refunds, as consumer rights are pivotal in contractual agreements.

1. These two (2) appeals under S.19 of the Act 1986 have been filed apropos the same Order dated 25.9.2018 of the State Commission in complaint No. 314 of 2018.

2. We have heard the learned Counsel for Bathinda Development Authority (the "development authority") and for Mr. Sunish Gupta (the "complainant"). We have also perused the record including inter alia the State Commission's Order of 25.9.2018 and the two (2) memoranda of appeal.

3. Relevant facts, as material for appreciating the issues germane, may first be recapitulated.
The complainant applied for allotment of a residential plot with the development authority on 30.10.2010. The tentative total price of the plot was Rs.44 lakh. 10% thereof, i.e. Rs.4.40 lakh was to be paid as earnest money. The complainant paid the same with his application. He was successful in the draw of lots held on 18.3.2011.
Letter of Intent (LoI) dated 9.5.2011 was issued by the development authority to the complainant. Clause 5 of the LoI stipulated that 15% of the total price of the plot will be payable within 30 days. The said clause is reproduced below for reference:
5. A sum of Rs.6,60,000, being 15% of total price of the plot shall be payable within 30 days from the date of issue of this Letter of Intent.
The complainant paid the amount of Rs.6.60 lakh on 7.6.2011.
Two schemes apropos further payment were provided for in Clause 6 of the LoI. The said clause is reproduced below for reference:
6. As per your payment plan (Option - A) you are required to deposit the amount given against each option as under:
Option - A
A sum of Rs.27,72,000, being 70% of total price of the plot after giving 10% rebate on balance principle amount to be deposited within 60 days from the date of issue of this letter of intent i.e. on or before 7 Jul, 2011.
Option - B
Balance 70% of the total price of the plot is to be deposited in 7 half yearly instalments along with interest @ 12% per annum as under:

As such under Option 'A' 70% of the total price was payable within 60 days of issue of the LoI with rebate of 10% on the balance principal amount payable. Under Option 'B' 70% of the total price was payable with interest at the rate of 12% per annum in 7 half - yearly instalments from the date of issue of the LoI, i.e. on 9.11.2011, 9.5.2012, 9.11.2012, 9.5.2013, 9.11.2013, 9.5.2014 and 9.11.2014.
The complainant opted for Plan 'B'. The first instalment of Rs.6.248 lakh was due on 9.11.2011. The complainant paid the same on 4.11.2011.
The complainant paid a total amount of Rs.4.40 lakh (earnest money with his application) plus Rs.6.60 lakh (within 30 days of issue of the LoI) plus Rs.6.248 lakh (first instalment under Option 'B') equal to Rs.17,24,800 in all.
The LoI provided for payment of 10% of the total price as earnest money, then 15% of the total price within 30 days of issue of the LoI under Clause 5, and then 70% of the total price under Option 'A' or Option 'B' under Clause 6 i.e. total 95%. It did not give the timeline for depositing the balance 5% of the total price.
After depositing the first instalment of Rs.6.248 lakh on 4.11.2011 the complainant did not make any further instalment(s).
The development authority issued notice apropos default to the complainant on 11.7.2012, 28.8.2012, 23.10.2012 and 20.3.2013.
Meanwhile an allotment letter dated 16.4.2014 was issued. Clause 3 of the allotment letter gave the timeline for paying the balance 5% of the price of the plot. The said clause is reproduced below for reference:
3. A sum equivalent to 5% (Rs.2,20,000) of Price of plot i.e. total of Rs.2,20,000 is to be made within 30 days from the date of issue of this letter.
Notice regarding default