Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | Award of Consumer Protection Act Justification Award of compensation flat purchase agreement 1986 Interest |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Act(s) Referred | Consumer Protection Act, 1986 (68 of 1986) |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Disposed Off |
Headnote | Consumer Protection Act, 1986: Interest – Award of – Justification – On facts, breach of flat purchase agreement – Outer date for handing over possession was 31.01.2014, however the buyers received occupation certificate on 10.02.2016 – Consumer complaint – Award of compensation by the National Consumer Disputes Redressal Commission for delayed handing over of possession from 01.02.2014 till 31.07.2016 as per the agreement, at the rate of INR 3 per sq. ft. per month – National Commission also awarded interest at the rate of 6 per cent per annum – Justification of – Held: Compensation at the rate of 3 per sq. ft. per month does not provide just or reasonable recompense to the flat purchaser who has invested money and that too in a city like Bangalore – Jurisdiction of the NCDRC to award just compensation cannot be constrained by the terms of the agreement – There was a delay of at least two years in handing over the possession – Thus, the award of interest at the rate of 6 per cent is reasonable and justified – Liability of the developer to pay interest would continue to operate until the date the respective flat purchasers is offered possession – Furthermore, the flat purchasers who had moved NCDRC in a representative capacity for redressal of their grievances not disentitled to receive possession of the flat. |
Judge | Hon'ble Dr. Justice D.Y. Chandrachud |
Neutral Citation | 2019 INSC 174 |
Petitioner | R V Prasannakumaar & Ors. |
Respondent | Mantri Castles Pvt. Ltd & Anr. |
SCR | [2019] 5 S.C.R. 821 |
Judgement Date | 2019-02-11 |
Case Number | 1232 |
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