Delhi

StateCommission

CC/11/50

SUDHANSU KR. JAIN & ANR. - Complainant(s)

Versus

PARSVNATH DEVELOPERS LTD. & ANR. - Opp.Party(s)

20 Mar 2015

ORDER

IN THE STATE COMMISSION : DELHI

(Constituted under Section 9 of the Consumer Protection Act, 1986)

Date of Decision : 20.03.2015

Complaint Case No.50/2011

     

 

1. Dr. Sudhansu Kumar Jain

S/o Late Ajit Prasad Jain

R/o 1^st Lane, Salimpur Ahra

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Patna-800003, Bihar

2. Dr. Anju Jain

W/o Sh. Sudhansu Jain

R/o 1^st Lane, Salimpur Ahra

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Patna-800003, Bihar                                  ....Complainants

                                                      

VERSUS

1. M/s Parsavnath Developers Ltd.

Through the President

2. Vice President (Marketing)

Ms/ Parsavnath Developers Ltd.

3. Managing Director

M/s Parsvnath Developers Ltd.

4. Director (Marketing)

Ms/ Parsavnath Developers Ltd.

5. R.C.Gupta, General Manager (Commercial)

Ms/ Parsavnath Developers Ltd.

6. Mr. Mukesh Mehndiratta (Manager Commercial)

Ms/ Parsavnath Developers Ltd.

7. Mr. (Sd/- illegible), Authorized Signatory

Ms/ Parsavnath Developers Ltd.

All C/o Registered Office at 6^th floor, Arunachal Building,19,

Barakhama Road, New Delhi-110001            ....Opposite Parties

 

CORAM

N P Kaushik, Member (Judicial)

S C Jain, Member

1.     Whether reporters of local newspaper be allowed to see the judgment?

2.      To be referred to the reporter or not?

N P Kaushik, Member (Judicial)

 

 

 

Judgment

1.             Facts of the complaint are not in dispute. Complainant entered into a ‘buyers’ agreement’ with the Parsavnath Developers Ltd. (in short the OP) to purchase a builtup villa in a residential colony named Parsavnath City in Sonepat, Haryana. The buyers’ agreement is dt. 14.09.2007. It was agreed that the OP shall handover the builtup villa to the complainants within a period of eighteen months from the date of agreement. The said period could be extended by six months. In other words, the construction was required to be completed and the villa handed over to the complainants by 14.09.2009. Admittedly the complainants have made in all a payment of an amount of Rs. 29,46,186/-. Basic price of the villa was Rs. 27 Lac. The complainants made several visits to the site and found no progress in construction. Complainants have also placed on record certain photographs showing only the ground floor being constructed. Finally, the complainants issued a legal notice dt. 16.11.2010 calling upon the OP to handover the constructed villa along with compensation to the tune of Rs. 5 Lac. In their complaint filed in this Commission, the complainants have prayed for directions to the OP to handover the possession of the villa bearing No. A143 Parsavnath City, Sonepat, Haryana.
2.             The sole defence raised by the OP in its written version as well as the written arguments is that it was due to ‘global recession’ that hits the Indian Economy, which acted as force majeure condition. No other plea has been raised by the OP. The OP has vaguely pleaded that the complainants are not a ‘consumer’. Ld. Counsel for the OP has relied upon clause 8(a) of the buyers’ agreement which is reproduced below:

“The Developer shall endeavour to complete construction of the villa within a period of eighteen months from the commencement of construction with extended period of six months, after receipt of sanction of building plans/revised building plans and other approvals of concerned authorities as may be required subject to force majeure, restraints or restrictions from any courts/authorities, non-availability of building materials, disputes with contractors/work force etc. and circumstances beyond the control of the Developers and subject to timely payments by the buyer. No claim by way of damages/compensation shall lie against the Developer in case of delay in handing over possession on account of any of the said reasons and the Developers shall be entitled to reasonable extension of time for completion of the villa.”

3.             Perusal of the abovesaid clause 8(a) shows that the same comes into play only when the circumstances of force majeure exist. OP has not placed on record any material in support of his contention that there existed a recession in global economy hitting the Indian Economy. It is not the case of the OP that after having received money from the complainant and other customers, he was able to raise any construction. As discussed above the OP has hardly started with any construction.
4.             Complainants got his house booked on 13.09.2007. The dream of having their own home has been shattered. Prices of the real estate have gone high. Costs of construction too have gone high. We therefore, direct the OP to pay to the complainants as under:

1. to refund the amount of Rs. 29,46,186/- alongwith interest @ 18% p.a. from the date of deposit till the date of its realisation within a period of thirty days from today.
2. OP shall pay compensation to the tune of Rs. 5 Lac to the complainants for harassment, mental agony, inconvenience, anguish and frustration.
3. OP shall pay litigation charges to the tune of Rs. 2 Lac to the complainants.

The abovesaid payments shall be made by the OP to the complainants within a period of thirty days from today failing which the OP shall be liable to pay interest @ 24% p.a. on the amount accruing on the expiry of the period of thirty days from today.

5.             Complaint accordingly is disposed of.
6.             Copy of the orders be made available to the parties free of costs as per rules and thereafter the file be sent to Records.
7.             File be sent to Records.’’

(N P Kaushik)

Member (Judicial)

 

(S C Jain)

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