
Mariyam and Thomas, who booked a flat at Rizvi Cedar in Malad East, won Rs 2.25 lakh from developer Rizvi Estates and Hotels Pvt Ltd after the Maharashtra State Consumer Disputes Redressal…
Mariyam and Thomas, who booked a flat at Rizvi Cedar in Malad East, won Rs 2.25 lakh from developer Rizvi Estates and Hotels Pvt Ltd after the Maharashtra State Consumer Disputes Redressal Commission held it liable for construction defects, leakage and missing amenities. The couple took possession on June 1, 2021, and soon reported cracks at nine places, heavy leaks, and the absence of a promised solar electricity backup system.

The builder failed to act despite email reminders, forcing the couple to carry out emergency repairs, during which they found plaster of Paris used instead of cement plaster. The developer argued the complaint was time-barred and that it had no liability after the housing society was formed. The Commission rejected both arguments, noting a five-year defect rectification clause in the agreement gave a continuing cause of action, and that society formation does not absolve a builder.
The Commission ordered the builder to either fix the defects or pay Rs 1.5 lakh for repairs, plus Rs 50,000 for mental agony and Rs 25,000 in litigation costs. The order was delivered on July 30 by a bench headed by Poonam Maharshi.
The ruling reinforces a settled principle under the Consumer Protection Act, 2019: a builder's warranty against structural and workmanship defects survives the transfer of common areas to a housing society. By citing the five-year contractual clause, the Commission made it harder for developers to escape liability by simply handing over maintenance to a society. For flat buyers in Mumbai, where substandard construction is routine, the order offers a concrete route: document every defect immediately, use the agreement's defect clause as leverage, and file within the warranty period. The key next item to watch is whether Rizvi Estates complies with the rectification order or appeals to the National Consumer Disputes Redressal Commission, which would test the precedent further.
Source: rediff.com
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