In Brief
A developer sold an apartment to buyers who, after being offered possession in June 2017 (three years after booking), sought cancellation citing market decline. The Agreement allowed forfeiture of 20% of the purchase price. The NCDRC reduced this to 10% and awarded 6% interest on refunds. The Supreme Court upheld the 10% deduction as reasonable, following consistent NCDRC practice and Haryana Regulations, but removed the interest award, finding it unjustified when the buyer cancels after possession is offered due to market conditions. The Court noted the Agreement's one-sided remedies (harsh buyer penalties, minimal developer consequences) constituted unfair trade practices. The appeal was partly allowed, directing the developer to pay the remaining balance without interest."
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