Now Reading: Delhi HC orders builder to refund Rs 18 lakh plus interest
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Delhi HC orders builder to refund Rs 18 lakh plus interest
The Delhi High Court directed a builder to refund Rs 18 lakh with 6% annual interest to a homebuying couple, ruling that a full-and-final settlement they signed was coerced and invalid.
The Story in Brief
The Delhi High Court directed a builder to refund Rs 18 lakh with 6% annual interest to a homebuying couple, ruling that a full-and-final settlement they signed was coerced and invalid.
The couple had paid Rs 62 lakh in 2008 for a villa in Gurgaon. The builder cancelled the allotment in March 2009 and forfeited the amount. When the buyers sought legal action, the builder offered an alternative under pressure, leading to the disputed settlement. The court found the builder acted arbitrarily and ordered the refund.
The Indian Opinion
Builders routinely use forfeiture clauses to squeeze homebuyers. This judgment rightly declares that a settlement reached under duress is not binding. But the real question is whether regulators will step in to prevent such coercion in the first place. Without faster dispute resolution, buyers will continue to accept unfair terms. How many more court orders will it take before standard contracts become fair?
Source: economictimes.indiatimes.com
This story was synthesised by AI from the source linked above.
