A developer's failure to execute a registered Agreement for Sale and commence construction after accepting a significant portion of the sale consideration constitutes a deficiency in service under the Consumer Protection Act, 1986, entitling the consumer to a refund with interest and compensation.

JUDGMENT

(Date: 16-03-2026)

Per: Hon’ble Mrs. Dr. Nisha Amol Chavhan, Member

1. The present Consumer Complaint No. CC/212/2017 is filed by the complainants against Opponents.

2. The brief facts of the case of complainant that the opposite party is a partnership firm between Nos. 1, 2 and 3 doing business of building construction and developments under the name and style M/S Solitaire and Daffodils Opposite Party. They are jointly and severally liable for all actions.

3. The Complainant stated that he was in search of flat for residence. He came to know about project of M/s. Solitaire and Daffodils. The Complainant decided to purchase flat no.403, admeasuring 1051 sq.ft (built-up) area, including parking SP76, having the total consideration amount of Rs.37,00,221. The plot on which building is to be constructed is owned by Prafulla Co-op Housing Society. The said project is of redevelopment of Prafulla Co-op housing Society. The said Society is located at survey no 50/5a/1b+50/14b, CTS No. 4395,4396 lying and being at Mouje Akurdi, District Pune within the jurisdiction of Pimpri Chinchwad Municipal Corporation.

4. The Complainant further submitted that on above mentioned plot the O.P. No. 1 to 3 were ready to begin the redevelopment of Prafulla Co-operative Housing Society. The O.P. No. 1 to 3 have executed the Redevelopment Agreement with O. P. No. 6 before Sub-registrar of Pune, vide no. 4467 of 2010 on dated 31 May of 2010. The O. P. No. 6. had given Power of Attorney to O.P. No. 1 to 3 for the convenience to follow the procedure for development. The said Power of Attorney registered before Sub-registrar of Pune, vide no. 4467 of 2010 on dated 31st May of 2010.

5. The Complainant further submitted that he filled up the booking form on 20/04/2011 in which the total consideration of flat and parking charges is mentioned.it have been agreed between the Complainant and Opposite Party No. 1 to 3. The Opposite Party acknowledged the receipt of this booking form. Accordingly, Complainant has paid of Rs.06,00,000/- and of Rs.02,00,000/- to the Opposite Party No. 1 to 3 by R.T.G.S.

6. The Complainant stated that, at the time of booking (April 2011), Opposite Party No. 2 had assured him that the 'construction work would soon begin'. However, till date (December 2016), no construction work has been started by the Opposite Party No. 1 to 3. The Complainant asked the Opposite Party to register the "Agreement for Sale" with him on several occasions, but the Opposite Party has, till date, avoided the registration of "Agreement for Sale". Complainant stated that since he has paid over 20% of the total consideration amount to the Opposite Party No. 1 to 3, as per the provision of MOFA the Opposite Party No. 1 to 3 is required to register the said "Agreement for Sale".

7. The Complainant further stated that he has paid the amount through his hard-earned money but till date no construction work has been started. Whenever asked about the progress of demolition/construction work or refund of the booking amount with interest, the Opposite Party No. 1 to 3 have simply refused to communicate (over phone/SMS/emails) with the Complainant or have given and are still giving evasive answers to Complainant. The Opposite Party has committed gross loss to Complainant. In such circumstances, the Complainant is suffering hardship. mental harassment, inconvenience, financial losses, and loss of mental peace. Therefore, the Complainant has filed this complaint. Complainant further submits that according to the brochure.

8. The Complainant stated that the Opposite Party No. 2 met the Complainant and orally committed refund Rs 08,00,000/- with 2% per month interest from the date of booking till the f