Back
2025 Supreme(Online)(SCDRC) 1869
STATE CONSUMER DISPUTES REDRESSAL COMMISSION
MR. RAJESH K. ARYA, PRESIDING MEMBER, MR. PREETINDER SINGH, MEMBER
MS. SURJIT KAUR – Appellant
Versus
MANOHAR INFRASTRUCTURE & CONSTRUCTIONS PVT. LTD – Respondent
CONSUMER COMPLAINT NO. SC/4/CC/115/2024
For the Appellants/Petitioners: SANDEEP BHARDWAJ
For the Respondents: ANIL MEHTA
Possession given without a completion certificate is deemed insufficient, constituting a deficiency of service under consumer protection law, justifying compensation.
Headnote:(A) Consumer Protection Act, 2019 - Basic rights of consumers - Unfair trade practices - Complainant alleged failure of the builder to deliver a developed plot with amenities; mere paper possession without completion certificate not sustainable. (Paras 8, 10, 17)
(B) Contractual obligations - Builders must provide complete legal possession with amenities. Failure results in deficiency of service, justifying compensation for delay. (Paras 10, 18)
(C) Jurisdiction of consumer forums - Valid for consumer complaints despite existence of RERA provisions. (Paras 9)
(D) Compensation - Builder to pay interest and damages for mental agony and harassment -Maintenance charges not to be imposed prior to occupation certificate. (Paras 18)
Facts of the case:
The complainant booked and paid for a residential plot in a development project, but the builder failed to complete the project and provide necessary amenities, leading to an inadequate offer of possession. Relief sought included completion of construction and compensation for delay.
Findings of Court:
Builders have the obligation to secure completion certificates and provide promised amenities. The court ruled that delivery of possession without these is deemed insufficient.
Issues: Validity of possession delivered, responsibilities of builders, applicability of consumer law amid RERA provisions.
Ratio Decidendi: The court held that possession offered without completion certificates constitutes a deficiency of service. Builders must adhere to their commitments of delivering functional properties.
Result: Complaint partly allowed; builders directed to complete development and compensate the complainant for mental distress and financial loss.
| Table of Content |
|---|
| 1. factual background of the complaint (Para 1 , 2) |
| 2. opposite parties' objections and defenses (Para 3 , 4 , 5) |
| 3. maintainability of the consumer complaint (Para 6 , 7 , 8) |
| 4. legal possession and absence of completion certificate (Para 9 , 10) |
| 5. basic amenities and developer's obligations (Para 11 , 12 , 13) |
| 6. charging maintenance fees and completion status (Para 14 , 15) |
| 7. compensation for the complainant (Para 16 , 17 , 18) |
| 8. final orders and disposition (Para 19 , 20) |
RAJESH K. ARYA, PRESIDING MEMBER Factual scenario:-
It is the case of the complainant that despite the fact that substantial amount stood received from her by the opposite parties against the plot located in their project, details of which are given below, they (opposite parties) failed to develop the same by the committed date and in order to evade their liability, paper possession was offered to the complainant and that too in the absence of basic amenities, which is not sustainable in the eyes of law and the same is also not accompanied with completion certificate. It has been stated that even the terms and conditions contained in the agreement i.e. buyers agreement and draft maintenance agreement are wholly one sided and heavily loaded in favour of the opposite parties and nothing has been left for the complainant therein. However, under compelling circumstances, the complainant took over possession of her plot and got the conveyance deed executed.
Details of the project/plot;-
| Project name | “The Palm”, Sector 3 New Chandigarh, SAS Nagar, Punjab |
| Plot booked/allotted on | 18.07.2013 |
| No. and Area of the plot | 341A, 400 square yards |
| Total cost/amount paid | 85,10,000/- inclusive of all |
| Plot Buyers Agreement | 14.08.2020 (C-3) |
| Possession due date | 14.08.2020 with grace period of 6 months as per clause 4.1 of agreement C-3) |
| Possession delivered on | 18.09.2020 (C-4) |
| Sale deed executed on | 18.09.2020 (C-5) |
| Allottee | Original |
| Final Completion Certificate | Not obtained |
Relief sought by the complainant:-
2. Following relief has been sought by the complainant :-
(i). To fully develop the plot immediately by providing proper access, demarcation of the plot with water, sewerage and electricity supply in order to enable the complainant to raise construction.
(ii). To provide all the facilities and amenities as promised and advertised in the brochure along with club facilities as promised and also provided in the maintenance agreement.
(iii). To provide the treated water for drinking with separate water meter for the plot, provide power back up with separate meter for the plot and construct all the roads approachable to the plot.
(iv). To clear all the salvage and raw material of construction lying around the plot and clear all the hindrance from the approach road till the plot.
(v). To pay interest @12% on the deposited amount i.e. Rs. 85,10,000/- by the opposite parties to the complainant from the agreed date of possession i.e. 14.08.2020 till the date of issuance of final completion certificate from GMADA/competent authority.
(vi). Not to demand any non-construction charges as the completion certificate has not been issued and obtained by the opposite parties till date and the plot is not developed.
(vii). Not to demand any maintenance charges till the date of obtaining the final completion certificate from the competent authority.
(viii). To declare the terms and conditions of agreement and maintenance agreement as unfair, which are against the interest of the complainant being null and void being unfair as proven form the documentary evidence of the present case.
(ix). To pay compensation of Rs. 5 Lacs, on account of mental agony. physical harassment, financial loss, caused to the complainant and deficiency in service, negligence and adoption of unfair trade practice on the part of Ops.
(x). To grant additional relief if any, as per the provision of the Consumer Protection Act, 2019 .
(xi). To pay cost of litigation of Rs, 1 lac to the complainant. and/Or
Any other order, direction, this Hon'ble
