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Supreme Court of India 2022-07-11 partly_allowed

UTPAL TREHAN vs DLF HOME DEVELOPERS LTD

Bench: 2 — Dinesh Maheshwari, Aniruddha Bose

In Brief

In this consumer dispute, Utpal Trehan purchased a flat from DLF Home Developers under an agreement executed in December 2008. The builder delayed delivery of possession and wrongly denied contractual benefits to the buyer based on an alleged nine-day payment delay. The builder subsequently modified the compensation clause to double delayed-possession compensation to Rs. 10 per square feet per month. The Supreme Court held that the builder could not escape this enhanced commitment, and compensation must run from the agreed date until a valid offer is issued. The Court set aside the consumer fora's direction to pay maintenance charges to the builder, as the statutory condominium association—the entity entitled to receive maintenance—was neither a party nor a claimant in the proceedings.

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Consumer Protection Real Estate / Housing Apartment Buyers' Agreements Delayed Possession Compensation Maintenance Charges Contract Interpretation Statutory Condominium Association

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