Saturday, November 16, 2024
HomeNewsTop NewsNo compensation if agreement doesn't provide the delivery details

No compensation if agreement doesn’t provide the delivery details

A clause in the brochure, which deals with the delay in construction, lays down that if construction was delayed for any reason, no interest or compensation is payable.

The Tamil Nadu Real Estate Regulatory Authority (TNRERA) has said a homebuyer will not be eligible for compensation after accepting the terms and conditions of the promoter that rule it out for delay in delivery.

The case pertains to a deal without any construction agreement between the promoter and homebuyer, with the brochure not having details about delivery of the dwelling unit. A clause in the brochure, which deals with the delay in construction, lays down that if construction was delayed for any reason, no interest or compensation is payable. “Accepting the terms and conditions, the complainant applied for allotment of the dwelling unit. Therefore, the claim of compensation for delay is not sustainable,” said TNRERA adjudicating officer G Saravanan.

The housing project in the city was by the Indian Railway Welfare Organization, a not-for-profit organisation.

The complainant, a primary member of the organisation, applied for an allotment. Though the project was launched in 2006, possession was given only in 2019 without car parking. The complainant sought compensation for the failure to provide open car parking and delay in delivery.

In a counter affidavit, the promoter denied all allegations, saying the delay was on account of approvals from local bodies, which was beyond its control. The complainant had no right to demand open car parking space as it was optional and based on the availability of land, the promoter said. After hearing both sides, TNRERA said no amount was collected for provision of car parking. The complainant had not opted for dedicated car parking either. “In view of the circumstances, the complainant cannot be said to have suffered any mental agony,” the TNRERA said, adding that the complainant was not entitled to any compensation.

RELATED ARTICLES

Most Popular

Hot News