In Brief
In this batch of civil appeals, the Supreme Court addressed disputes between IREO Grace Realtech (a developer) and apartment buyers regarding inordinate delay in completing the project "The Corridors" in Gurgaon and delivering possession. The Court held that: (1) the 42-month commitment period commences from the Fire NOC approval date (27.11.2014), not building plan sanction; (2) the Apartment Buyer's Agreement contains one-sided, unfair terms constituting unfair trade practices under the Consumer Protection Act, 1986; (3) apartment buyers have an independent right to pursue remedies under the Consumer Protection Act alongside or instead of the Real Estate (Regulation and Development) Act, 2016; (4) apartment buyers in Phase 1 (where possession was offered) must accept it but receive delay compensation; and (5) Phase 2 buyers (no occupation certificate) are entitled to full refund with 9% simple interest per annum from 27.11.2018, without deductions. The Court rejected the developer's defenses based on Fire NOC delays and dismissed the appeals, directing refund within specified timeframes with default interest for non-compliance.
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