‘No interest if possession date not lapsed’

Mumbai: Home buyers cannot demand interest from a developer if he cancels the sale agreement before the date of possession of the flat. This has been made clear by MahaRERA in its latest judgment.

The authority was hearing the case on August 13 where the developer was ordered to return payment, deducting government charges, after the home buyer cancelled the agreement due to health issues.

The complainant Sunita Gunjal had booked a flat in “Anantya”, a residential project of Radius & Deserve builders. Gunjal had made payment of 20 per cent of the booking amount in 2016. Disputing the allegations made by the home buyer, the respondent stated, “The date of possession promised to the complainant i.e. December 2020, has not yet come, and she has cancelled her booking due to her own personal problems.” According to the order, Gunjal was seeking applicable interest on the paid booking amount.

Senior RERA member Satbir Singh, who was hearing the case, passed order in favour of the developer and denied the complainant interest relief. “MahaRERA feels that the agreed date of possession i.e. December 2020 has not yet lapsed and therefore, the complainant cannot seek interest from the respondent on the booking amount paid by her,” read the order.

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