What Can a Buyer Do If the Contract Date Is Not Specified?

There  are many cases where developers go to the extent of not specifying the contract date, leading to mental and financial distress for home buyers.

Recent Ruling by Maharashtra Real Estate Regulatory Authority (MahaRERA)

In  a serious note on this issue, the Maharashtra Real Estate Regulatory Authority (MahaRERA), in a recent ruling, directed Skyline Construction Company to refund Rs. 1.06 crore and also ordered 10.55% interest to be paid to actor Varajesh Hirji for failing to hand over the properties as per the registered contract, leaving the ownership clause vacant. In another case, Aparna Singh, who bought a flat in a residential project in Thane, could not claim interest relief under Section 18 of the Real Estate (Regulation and Development) Act due to the absence of a specified date in the sale agreement.

Legal Recourse for Home Buyers

Despite  the absence of a specified date in the contract, the RERA tribunal ordered the developer to pay interest in Aparna Singh's case. Suleiman Bhimani, a Right to Information activist and president of the Citizen Justice Forum, who has been fighting many such cases, states, “This is a tactic adopted by developers to escape the laws by not specifying the date. Now, home buyers can approach the consumer court or RERA to complain about the builder's commitments or unfair delays.” If the buyer is not satisfied with the order, he/she can challenge it in the appellate tribunal within 60 days. The next appeal against the order of the appellate tribunal can be filed in the High Court of the respective states.