2025 Supreme(Online)(SCDRC) 10094
STATE CONSUMER DISPUTES REDRESSAL COMMISSION
Mr. Rajesh K. Arya, Member, Mr. Preetinder Singh, Member
Hira Singh Thakur and Shyama Thakur – Appellant
Versus
Manohar Infrastructure & Constructions Pvt. Ltd – Respondent
Consumer Complaint No. SC/4/CC/22/2024
For the Complainants: Vishal Satija
For the Respondents: Samridhi Goyal, proxy for Anil Mehta
Consumers are entitled to valid possession only upon obtaining necessary completion and occupation certificates, and all promised amenities, with unfair contract terms subject to scrutiny under consumer protection laws.
Headnote:(A) Consumer Protection Act, 2019 - Section 47 - Jurisdiction of the State Commission - Complainants alleged deficiency in service due to failure to provide completion and occupation certificates for property possession - Opposite parties failed to deliver promised amenities and imposed unfair contract terms. (Paras 10, 12-26, 29-34)
(B) Legal possession and essential certificates - Court emphasized necessity of obtaining completion and occupation certificates before delivering possession, labeling occupation without them as unlawful. (Paras 14-18)
(C) Consumer rights - Commission held that consumers can claim damages for harassment due to unfair trade practices. (Paras 33-35)
Facts of the case:
Complainants sought allotment and possession of an independent floor in a residential project. Physical possession was given without essential certificates, leading to allegations of negligence and unfair practices by opposite parties.
Findings of Court:
Opposite parties to provide promised amenities, obtain necessary certificates within three months, and compensate complainants for delays and unfair practices.
Issues: Validity of possession without completion certificates, pecuniary and territorial jurisdiction, and unfair contract terms.
Ratio Decidendi: Court ruled possession was invalid legally, emphasizing the importance of obtaining completion certificates prior to possession, aligning with consumer rights.
Result: Complaint partly accepted; compensation granted including interest and mandates for rectification of unfair practices.
PER RAJESH K. ARYA, PRESIDING MEMBER
Brief facts:-
It is the case of the complainants that the complainants showed their interest for allotment of a house with the opposite parties, who allotted an independent floor, measuring 1560 sq. ft., in their project namely “THE PALMS”, New Chandigarh for total sale consideration of 65,50,440/-. However, no allotment was issued despite various requests. Buyers Agreement was executed between the parties on 21.03.2018 for Unit No.606 SF measuring 1560 sq. ft. in the aforesaid project. The opposite parties confirmed receipt of the above amount in the conveyance deed, which was got executed on 27.03.2018. It has been stated that the opposite parties gave physical possession of the flat, without possession letter and without obtaining the completion and occupational certificate from the competent authority, which is in contravention of settled proposition of law that the possession cannot be handed over without obtaining these certificates. The complainants have also alleged that the most of the terms and conditions of the buyers agreement are one sided and totally favoring the opposite parties and against their interest. It has further been stated that the conditions of the draft maintenance agreement, signed by the complainant on 21.03.2018 alongwith the buyers agreement, are also one sided and final maintenance agreement has not been executed till date. It has further been stated that there is no independent arrangement for power backup and the backup provided by the opposite parties is linked to PSPCL meters installed in the common area of the buildings. It has further been stated that there is no water meter installed and no water treatment plant exists as such, the water facility is not proper.
2] It has further been stated that the complainant’s unit is a corner flat as mentioned in the conveyance deed i.e. towards the north, there is the unit of the complainants; towards the south, there is 40 feet road; towards the east, there is again 40 feet road and towards the west, there is Floor No.629. It has further been stated that the opposite parties with malafide intentions have left open the iron bars towards the south side and when the complainants approached the opposite parties to remove those iron bars, they kept the matter pending on one pretext or the other. It has further been stated that due to dew and rain, the iron bars have caught rust, which might have affected the building as well. It has further been stated that now the opposite parties have started constructing another building right after the road and the complainants have strong assumption and presumption that they are planning to cover the road by joining the building towards south side of the unit. The complainants also placed on record inspection report dated 02.02.2024 of Block A of the Housing Project ‘The Palm’ Manohar Singh Infra & Co., Sector 3, New Chandigarh, Mullanpur, Mohali (Punjab), Annexure C-8, where the flat of the complainants is located, which they got prepared from Kamti Architects + Designers, showing various deficiencies and lack of basic amenities.
3] It has further been stated that opposite party No.6 – Effective Faclility Management Private Limited has been raising illegal demands vide their invoices on monthly basis as there is no agreement executed between the complainants and opposite party No.6. It has further been stated that the condition of the flat in question and the project is very poor as shown in photographs, Annexure C-6 (Colly.).
4] It has further been stated that not only the basic amenities as stated in the Brochure are not available but there is no one to look after the surroundings of the area as there is no proper security at the site. It has further been stated that the opposite parties have delivered the possession of the unit in jungle without obtaining the requisite completion certificate and permissions/approvals from the competent authority.
Relief sought by the complainants:-