NCDRC ruled, Promises done in brochures need to be accomplished by Builders.

By Abhay Shah, Realty Quarter

Recently, the National Consumer Disputes Redressal Commission (NCDRC) ruled that a developer is bound to fulfill not only the promises made in flat buyers’ agreements but also the amenities mentioned in their promotional material.

On this basis, the commission increased the compensation granted by the district forum to Rs 3 lakh from Rs 25,000 to Vashi resident Ashok Kumar Shivpuri.

“Any assurance given in the brochure is the initial promise made on the basis of which the flat buyer decides whether to buy the subject flat or not,” said the bench, refusing to accept the developer’s claim that the facilities and amenities mentioned in the brochure were not included in the sale agreement with Shivpuri, and therefore there was no question of providing the same.

Shivpuri had booked an apartment in Arihant Sparsh, which was to be developed by Arihant Enterprises, and paid 85% of the total sale consideration as requested by the developer, before May 2010. Although by December 2012, the developer was supposed to hand over the possession, there was a delay of approximately one and a half years.

In 2013, Shivpuri approached the local district consumer forum, complaining about the delay in gaining possession and the lack of facilities and amenities compared to the promised done by the builder, such as a large entrance lobby, terrace garden, swimming pool, health club and gym. His arguments were accepted by the district forum, but he was granted Rs 25,000 compensation, prompting him to approach the state consumer commission. Shivpuri approached the national commission after the state commission refused to increase the compensation.

Source: MoneyControl