kamal sood vs dlf

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    NATIONAL CONSUMER DISPUTES REDRESSAL COMMISSION

    NEW DELHI

    FIRST APPEAL NO. 557 OF 2003

    (From the order dated 28.5.03 in C.No.61/2000 of the State Commission,

    Haryana)

    Brig. (Retd.) Kamal Sood

    Apartment No. W-112

    Regency Park II

    Phase IV DLF City

    Gurgaon - 122 002 Appellant

    Versus

    M/s.DLF Universal Ltd.

    Sansad Marg

    New Delhi 110 001.

    Through its Managing Director Respondent

    AND

    FIRST APPEAL NO. 683 OF 2003

    (From the order dated 28.5.03 in C.No.61/2000 of the State Commission,

    Haryana)

    M/s.DLF Universal Ltd.

    Sansad Marg

    New Delhi 110 001. Appellant

    Versus

    Brig.(Retd.) Kamal Sood

    W-112 Regency Park II

    DLF Qutab Enclave

    Phase IV

    Gurgaon - 122 002 Respondent

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    BEFORE :

    HONBLE MR. JUSTICE M.B. SHAH, PRESIDENT

    MRS. RAJYALAKSHMI RAO, MEMBER

    For the Appellant (in F.A.557/03) & : In person

    For the Respondent (in F.A.683/03)

    For the Respondent (in F.A.557/03) & : Mr.A.N. Haksar, Senior

    For the Appellant (in F.A.683/03) Advocate with Mr.

    Aditya Narain,

    Advocate

    Dated the 20thApril, 2007

    O R D E R

    M.B. SHAH, J., PRESIDENT

    The main in questions which require consideration in the appeal are

    (i). Can a builder give alluring advertisement promising delivery of

    possession of the constructed building/flat to the purchaser/consumer within the

    stipulated time, and, subsequently, on his failure, turnaround and contend that as

    governmental permissions, such as, approval of zoning plan, layout plan and

    schematic building plan, were not given, the delay in construction should not be

    the ground for grant of compensation to the consumer? And,

    (ii). Secondly, whether the consumer should suffer by paying escalation

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    Brig.Kamal Sood, who was serving as Commandant 14 Gorkha

    Training Centre, Himachal Pradesh, approached the State Consumer Disputes

    Redressal Commission, Haryana, Chandigarh, by filing Complaint Case

    No.61/2000 contending that M/s.DLF Universal Ltd. (hereinafter referred to as

    the DLF) has indulged in unfair trade practice and there is deficiency in service

    on its part because there was delay in handing over possession of the flat as wel

    as unjustified recovery of so-called escalation charges from the complainant.

    He, therefore, sought direction that the DLF be directed, in all, to pay a sum of

    Rs.12,78,395/- to him, details whereof are given hereafter.

    It was contended that the DLF published an advertisement fo

    booking apartment in DLF Qutab Enclave. As per the said brochure, the DLF

    was contemplating construction of apartments known as DLF Hamilton Court and

    DLF Regency Park. As per the said brochure, the price for DLF Regency Park

    ranged from 8.05 lakhs to 13.77 lakhs. There is a specific statement - And

    remember, now all prices are ESCALATION FREE. So, the price you book

    at is the price you pay, irrespective of what it might cost DLF.

    It has been further stated in the said brochure as under:

    And both Hamilton and Regency come with a variety o

    payment plan options from the Down payment option tha

    carries an attractive rebate to a 2 year interest-free plan to an

    exclusive 10 year option that makes home-buying a lot

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    easier than it ever was.

    It has been pointed out that despite the aforesaid statement in the

    brochure, the DLF demanded an additional amount of Rs.4,02,617.69p. on the

    pretext of increase in the area, escalation charges, external electrification etc. I

    is further alleged that the DLF made an offer to sell parking spaces in Novembe

    1993 at the cost of Rs.63,000/- to each allottee which was to be paid in

    instalment of Rs.22,000/- each. The complainant paid the parking space cos

    within the stipulated time and was allotted the parking space. Despite this, an

    additional amount of Rs.62,869/- was demanded by letter dated 4.3.1998 as

    extra charges for parking space which was already allotted to him. It is also

    contended that at the time of delivery of possession in September 1999, the

    DLF demanded a sum of Rs.1,59,890/- for Stamp Duty and Registration

    Charges for the apartment and Rs.15,265/- for parking space.

    Further, it is contended that the complainant had hired the services of

    Koshal & Associates (Architect Engineers and approved Valuers), who gave

    their report dated 12.7.2000 along with the site plan, which reads as under:

    A. (a) Super area sold as per the agreement : 130.52 SM @ Rs.6728/- per SM

    (b) Super area as per physical measurements taking into account the

    contents of the relevant clause of the agreement = 127.894 SM

    (c)

    Less Super Area given = 2.626 SM

    (d) Financial effect = Rs.17667.72

    B (a) Carpet area to be given as per the agreement @ 87.412% of super area

    = 114.09 SM

    (b)

    Carpet area actually found provided after the physical measurements =

    69.895 SM (The carpet area is calculated as per IS 3861-1975 clause

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    2.2 and 5).

    (c)

    Less carpet area provided : (114.09 69.895 = 44.195 SM)

    (d)

    Financial effect : (44.195 x 6728) = Rs.297343-96

    Net Financial effect : (17667.72 + 297343.96) = Rs.3,15,011.68 p.

    On the aforesaid count, the complainant has claimed that he has

    suffered a loss of Rs.3,15,011.68p. Finally, he has claimed the following reliefs:

    a) refund of additional amount charged and Rs. 4,02,617.19 p.

    interest thereon @ 20% p.a. w.e.f. 3.5.99

    to the date of refund.

    b) refund of amount on account of lesser area Rs. 3,15,011.68 p.

    given with reciprocal interest thereon @ 20%

    p.a. w.e.f. 3.5.99 to the date of refund

    c)

    refund of amount charged on account of Rs. 1,28,869.00 p.

    parking space, reciprocal interest thereon

    @ 20% p.a. w.e.f. the date of payment of

    each instalment i.e. November, 1993, Nov.

    1994, Nov.1995 and March 1998 till the date

    of refund.

    d)

    Interest on a sum of Rs.1,75,150/- charged Rs. 75,898.00 p.

    For stamp duty @ 20% p.a. from Sep.1999

    To Nov. 2001.

    e)

    compensation for delay of 3 years in handing Rs. 2,00,000.00 p.

    over possession of the flat beyond stipulated

    date.

    f) Compensation for harassment Rs. 50,000.00 p.

    ______________

    Total Rs.12,78,395.87 p.

    ==============

    Order of the State Commission:

    The State Commission, after considering the facts held that:

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    (i). as per the agreement between the parties the complainant was

    bound to pay Escalation Charges, and hence rejected the prayer for refund o

    the Escalation amount;

    (ii). Secondly, with regard to payment of interest for keeping the money

    which was recovered from the complainant for execution of the Conveyance

    Deed, the State Commission directed the DLF to pay interest at the rate of 10%

    p.a. on the amount deposited by the complainant from the date of deposit till the

    date of execution of the Conveyance Deed;

    (iii). Thirdly, for the differential carpet area, the State Commission held

    that the said dispute between the parties cannot be decided/sorted out in

    summary proceedings.

    (iv). Lastly, for delay of 3 years in delivery of possession, the State

    Commission awarded a lump sum of Rs.1 lakh as compensation.

    Against that order, the complainant has preferred First Appea

    No.557/2003; and, the DLF has preferred First Appeal No.683/2003.

    We have heard the complainant, who is appearing in person and the

    learned senior counsel, Mr.A.N.Haksar, who is appearing for the DLF.

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    Submissions:

    Learned senior counsel, Mr.Haksar, submitted that

    Delay in construction was due to reasons beyond the control of the

    DLF. For this purpose, he relied upon the statements made in Para-E of the

    Memo of Appeal(First Appeal No. 683 of 2003), wherein it has been stated as

    under:

    (a). There was a considerable delay on the part of the Governmen

    in granting sanctions, approvals and certificates in respect of the said

    project where, inter alia, apartment no.W-112, of the responden

    herein was also situated;

    (b). the Appellant had taken steps to get the Zoning Plan in respec

    of the said project approved and the Director, Town & Country

    Planning had approved the same on 24.8.1992 ; copy annexed and

    marked as Annexure - C.

    (c). On 10.09.1993; the Appellant submitted, the layout plan along

    with detailed site plan and schematic building plan etc., for the said

    project; copy annexed and marked as ANNEXURE-D.

    (d). In response to certain queries and clarification sought by the

    Director, Town & Country Planning the Appellant by letter dated

    22.11.1993 furnished certain clarifications and explanations and once

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    again sought approval of the layout plan; copy annexed and marked

    as ANNEXURE E . Thereafter, the Appellant by letter dated

    07.03.1994 submitted the layout plan consisting of detailed site

    plans, schematic building plans etc., to the Director, Town & Country

    Planning for approval; copy annexed herewith and marked as

    ANNEXURE F. The Director, Town & Country Planning by lette

    dated 02.08.1994 raised certain objections and pointed out certain

    deficiencies; copy annexed herewith and marked as ANNEXURE

    G. The Appellant herein by letter dated 03.08.1994 furnished certain

    clarifications and conformations in response to the above letter dated

    02.08.1994; copy annexed herewith and marked as ANNEXURE

    H. The Appellant by letter dated 06.02.1995 enclosed the site plan

    and other relevant documents and drawings and requested the

    requisite approvals at the earliest; copy of the said letter dated

    06.02.1995 is annexed herewith and marked as ANNEXURE I.

    (e). The Director Town and Country Planning by letter dated

    30.05.1995 granted approval of the building plans for the said

    project; copy of the letter dated 30.5.1995 is annexed herewith and

    marked as ANNEXURE J.

    Thereafter, the Appellant herein also made an application on

    28.9.1998 to the Director Town and Country Planning for obtaining

    the occupation certificate under Rule 47(1) of the Punjab Scheduled

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    Roads and Controlled Areas Restriction of Unregulated Developmen

    Rules, 1965 ; copy annexed herewith and marked as Annexure K.

    It was after almost one year that the Director Town and Country

    Planning issued the occupation certificate on 10.9.1999 in respect o

    the said project; copy annexed herewith and marked as Annexure - L.

    He further contended that:

    (a) Even, there was delay on the part of the complainant in paying

    the instalments;

    (b) as per the agreement between the parties, the complainant was

    required to pay Escalation Charges; and

    (c) for the Stamp Duty and Registration Charges, he contended tha

    as soon as the complainant approached the DLF, the document was executed

    and hence the delay was on the part of the complainant and not on the part of the

    DLF. He also submitted that the order passed by the State Commission directing

    to pay interest on the said amount cannot be justified.

    FINDINGS:

    I. Delay in registering conveyance deed:

    For the delay in registering the Conveyance Deed, we have to state

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    that the submission made above by the learned senior counsel for the DLF is

    totally baseless and inconsistent with the submission made by DLF in its written

    arguments which were filed before the State Commission, wherein the DLF has

    admitted the delay and offered to pay interest thereon, as under:

    Charges for registration and stamp duty : These are statutory

    duties, which are payable under the Registration Act and the Stamp

    Duty Act. The same have been paid by the respondent to the

    concerned authorities. The complainant deposited Rs.1,49,890/- on

    account of flat and Rs.15,265/- on account of parking on 22nd

    November 1999. The respondents sent a letter dated 3rdJuly 2001

    requesting the complainant to come forward to execute the

    necessary documents. The said documents were registered on 29th

    October 2001. The respondent is ready to pay the interest @

    12% on the said amount, which comes to Rs.22,037/- for the fla

    and Rs.2100/- for the parking after deduction of TDS.

    In view of the aforesaid admission of its liability made before the

    State Commission, there is no substance in the contention now raised by the

    learned senior counsel for the DLF that the DLF is not bound to pay interest on

    the amount paid by the complainant for Registration and Stamp Duty of the

    Conveyance Deed. Those written submissions were filed before the State

    Commission on 10.12.2002.

    In view of the aforesaid specific admission, there is no necessity to

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    consider the allegation of the learned Senior Counsel Mr.Haskar that there was

    some delay on the part of the Complainant.

    Secondly, we would state that undisputedly the stamp duty and the

    registration charges were collected by the DLF in November, 1999 and retained

    with it approximately for two years. For that, the DLF is bound to pay interest

    II. Delay in delivery of possession of the flat:

    (a). Undisputedly, there is delay of three years in handing over

    the possession of the apartment to the Complainant. The DLF was

    required to deliver the possession of the flat within a period of 2 to 3 years

    from the date of the agreement. For this purpose, it is undisputed that the

    complainant booked the apartment on 7.9.1993; agreement was executed

    between the parties on 18.10.1993; and, as per the said agreement, thecomplainant was entitled to have possession of the flat in September 1996.

    Admittedly, the possession was delivered on 24.11.1999.

    There is also no dispute that the complainant was required to pay the

    total consideration price within a period of 10 years. It is the contention of the

    Complainant that despite having opted for a ten year payment plan at the time o

    booking the apartment in the year 1993, the entire cost was paid within a period

    of six years and before taking possession of the flat in the year 1999.

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    (b). Delay on the part of the Complainant in paying the

    instalments:

    Learned senior counsel, Mr.Haksar, submitted that all throughou

    there was delay on the part of the complainant in paying the instalments.

    Therefore, DLF is not liable to pay any compensation to the Complainant for

    delay in delivery of possession of the apartment.

    In our view, this submission of the learned senior counsel is withou

    any substance because the payment chart, which the DLF has produced on

    record, establishes beyond doubt that the complainant was punctual in paymen

    of instalments as agreed. The relevant chart is as under :

    DELAYED INTEREST CALCULATION REPORT FOR 019 REGENCY PARK

    Cus tomer Code : 5400269 ( 80064 ) BRIG KAMAL SOOD

    Property Code : W112

    Interest Rate : 20.00 Grace Period : 0

    Due Date Amount

    Due

    Receipt

    Date

    Receipt

    Amount

    Days

    Delay

    Interest

    Amount

    07 Sep.1993

    07 Nov.1993

    07 Mar.1994

    07 Jun.1994

    30 Aug.1994

    08 Sep. 1994

    07 Mar.1995

    07 Dec.1995

    07 Mar.1996

    07 Jun.1996

    07 Sep.1996

    07 Dec.1996

    87807

    100076.00

    12269.00

    12269.00

    1.00

    12269.00

    87087.00

    43904.00

    43904.00

    32344.00

    32344.00

    32344.00

    07 Sep.1993

    02 Nov.1993

    11 Mar.1994

    11 Mar.1994

    11 Mar.1994

    11 Mar.1994

    11 Mar.199408 Jun.1994

    05 Sep.1994

    15 Dec.1995

    15 Dec.1995

    23 Apr.1996

    23 Apr.1996

    18 Jul.1996

    18 Jul.1996

    13 Sep.1996

    13 Sep.1996

    04 Feb.1997

    04 Feb.1997

    87807.00

    100076.00

    12269.00

    12269.00

    1.00

    12269.00

    63268.0012269.00

    12269.00

    1.00

    43903.00

    1.00

    43903.00

    1.00

    32343.00

    1.00

    32343.00

    1.00

    32343.00

    0

    0

    4

    0

    0

    0

    00

    0

    283

    8

    138

    47

    133

    41

    98

    8

    150

    59

    0.00

    0.00

    26.89

    0.00

    0.00

    0.00

    0.000.00

    0.00

    0.16

    192.45

    0.08

    1130.65

    0.07

    726.61

    0.05

    106.33

    0.08

    1045.61

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    07 Mar.1997

    07 Jun.1997

    07 Sep.1997

    07 Dec.1997

    07 Mar.1998

    07 Mar.1998

    07 Sep.1998

    07 Dec.1998

    03 Mar.1999

    32344.00

    32344.00

    32344.00

    32344.00

    32344.00

    32344.00

    32344.00

    32344.00

    32344.00

    18 Mar.1997

    18 Mar.1997

    10 Jun.1997

    10 Jun 1997

    18 Sep.1997

    18 Sep.1997

    17 Dec.1997

    12 Mar.1998

    16 Mar.1998

    16 Mar.1998

    14 Sep.1998

    14 Sep.1998

    25 Dec.1998

    25 Dec.1998

    03 May 1999

    1.00

    32343.00

    1.00

    32343.00

    1.00

    32344.00

    32344.00

    32343.00

    1.00

    32343.00

    1.00

    32343.00

    1.00

    32343.00

    101

    11

    95

    3

    103

    11

    10

    5

    101

    9

    99

    7

    109

    18

    0.06

    194.94

    0.05

    53.17

    0.06

    194.95

    177.23

    88.61

    0.06

    159.50

    0.05

    124.06

    0.06

    319.00

    Total Interest Due 4540.79

    Balance Interest Due 4540.79

    Total Interest on Delayed Payment 5551.00

    From the aforesaid chart, it can be stated that up to 7.12.1995, the

    complainant had paid a large amount without there being any delay. Further, i

    appears that for insignificant amount of Re.1 the builders found that there was

    delay in paying the same and for that they have mentioned the period. In ou

    view, such submission is required to be ignored and we would state that it is part

    of unfair trade practice. In any case, for the aforesaid large sum, the delay was

    so negligible that even the builders have charged maximum Rs.5,551/- as

    interest. Considering this aspect, it cannot be said that there was any substantia

    delay in payment of instalments.

    (c). Delay in obtaining various sanctions:

    However, learned senior counsel, Mr.Haksar, pointed out that the

    delay was due to obtaining sanctions for various plans, including the lay out plan

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    zoning plan, and that the approval of building plan for the project was finally

    sanctioned on 30.5.1995.

    In our view, before obtaining statutory clearances, such as, sanction

    for construction and approval of Site Plan and other relevant documents, if the

    builder issues tempting advertisement or promises to deliver the possession of

    the constructed f lat within 2 years to 3 years, then the fault lies with the builder.

    In this case, the Complainant had applied for allotment of the flat in

    September 1993, and the agreement, i.e. Apartments Buyers Agreement was

    executed in October 1993.

    Normally, delay in construction of building may arise because of

    various reasons. But, in our country, it is known fact that delay occurs in

    obtaining various permissions from different governmental authorities, and this

    fact is well-known to the builder. The time normally taken in getting such

    permissions could have been contemplated by the builder before issuing the

    brochure. It would be unfair trade practice, if the builder, without any planning

    and without obtaining any effective permission to construct building/apartments

    invites offers and collects money from the buyers. If the construction of the

    building/apartment is delayed, because of such delay, and the possession o

    the apartment is not delivered within the stipulated time, the builder would be

    liable to bear the escalation cost and not the buyer/consumer.

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    For this purpose, it would be worthwhile to mention some

    discussion made in HUDSONS Building and Engineering Contracts, 7th

    Edition, which deals with commencement of the work by the Public Authority

    including Private Corporations. Therein, it has been observed:

    ..Many large contracts let prematurely by private property developers

    suffer from similar deficiencies of administration, which can be grossly

    unfair to the contractor and make effective pre-planning on his part very

    difficult. On the other hand, very similar results can also occur in both public

    and private projects for the quite different reason that it is a common

    practice of contractors whose resources are fully employed elsewhere to

    see to conclude new contracts prematurely in order to maintain an

    uninterrupted flow of work, with the result that the start of work on a

    later project is in such cases likely to be largely cosmetic unti

    earlier projects are nearer completion.

    (Page No. 456, Para 3.069

    It is further discussed:

    The ideal is a contract put out to tender with a stated and

    realistic date for starting work, sufficiently distant in time to enable

    all parties to plan and be ready for an effective start when the date

    arrives. (p.457)

    Hence, in our view, it was the duty of the DLF to plan in advance

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    obtain necessary permission and thereafter promise to deliver the possession

    of the flat/apartment within the stipulated time. As stated above, if that is no

    done, delay in obtaining permission would hardly be a ground for directing the

    consumer to suffer.

    Next, learned Senior Counsel Mr.Hakasr contended that as per the

    terms of the agreement the Complainant is bound to pay escalation cost, and, fo

    delay in delivering possession, Complainant will not be entitled to claim any

    compensation. He relied upon the following terms of the agreement entered

    into between the parties on 19thOctober, 1993, which according to him deals

    with escalation cost and for delay in delivery of possession of the apartment.

    Relevant terms of Clause 4 and 16 are as under:

    Cl.4: The price of the apartment stipulated hereinabove is based on

    the price of all materials and labour charges pertaining thereto ruling

    on 1stday of January, 1993. If, however, during the progress o

    work, there is increase in the price of the materials used in the

    constructionwork and or labour charges on account of any reason

    statutory or otherwise, the cumulative effect of such increase as

    assessed by the Company and intimated to the Apartment Allottee

    shall be debited to Apartment Allottees account who shall pay the

    same on demand. The decision of the Company in this respec

    shall be final and binding on the Apartment Allottee. The

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    increased incidence may be charged and recovered by the

    Company from the Apartment Allottee with any one or more of the

    instalments or separately but in any case before giving possession o

    deemed possession of the Apartment.

    Cl. 16: That the possession of the said premises is proposed to

    be delivered by the Companyto the Apartment Allottee within two

    and half/three years from the date of booking of the Apartment

    The Company shall not incur any liability if it is unable to delive

    possession of the said premises by the time aforementioned. If the

    completion of the building(s) is delayed by reason of non

    availability of steel and/or cement or other building materials, o

    water supply or electric power or slow down strike or due to a

    dispute with the construction agency employed by the Company, civi

    commotion or by reason of war or enemy action, or earthquake or any

    act of God or if non-delivery of possession is as a result of any act

    notice, order, rule or notification of the Government/or any othe

    public or competent authority or for any other reason beyond the

    control of the Company and in any of the aforesaid events the

    Company shall be entitled to a reasonable extension of time for

    delivery of possession of the said premises.

    The Company as a result of such a contingency arising

    reserves the right to alter or vary the terms and conditions of

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    allotment or if the circumstances, beyond the control of the Company

    so warrant, the Company may suspend the Scheme for such period

    as it may consider expedient and no compensation of any nature

    whatsoever can be claimed by the Apartment Allottee for the period

    of suspension of the scheme.

    In consequence of the Company abandoning the scheme, the

    Companys liability shall be limited to the refund of the amount paid

    by the allottee without any interest or any other compensation

    whatsoever.

    From the aforesaid terms of the contract, it is clear that Clause 16

    quoted above, firstly provides that from the date of booking the Company shal

    deliver the possession of the Apartment within two and half to three years.

    Secondly, in cases of non-availability of steel, cement, or othe

    building materials, or water supply or electric power or slow down strike, etc. o

    due to act of God, such as earthquake, etc., or for the reasons beyond the

    control of the Company, the builder (Company) would be entitled to reasonable

    extension of time for delivery of possession of the said premises.

    This clause, in our view, would not apply to the cases of delay in

    obtaining necessary permissions for construction of the buildings. In this case

    the delay is in no way connected with the non-availability of steel, cement, etc

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    nor it is the act of God, such as earthquake. As such, it was default on the part of

    the builder in not obtaining such permission in advance before issuing

    advertisement inviting the buyers to purchase the apartments and before

    collecting money. Therefore, the reliance placed upon the said clause is withou

    any basis.

    .III. Escalation amount:

    (a). Now, escalation, Cl.4 provides that in case of increase of costs

    during the construction period, which were prevailing on 1.1.1993, then the

    Company would be entitled to levy escalation charges from the allottee.

    But, this condition is also on the foundation that construction work

    was to start in the year 1993 and not in the year 1996, i.e. after obtaining various

    sanctions to construct the buildings. Therefore, this clause cannot be the basis

    for holding that purchasers are required to pay escalation in cost of construction

    Delay in starting construction work might have resulted in increase in the price of

    the materials used in the construction work or labour charges. For this delay, the

    Complainant is not responsible, and, therefore, he is not required to pay the

    escalation charges due to such delay.

    (b). Further, this clause is to be read along with the promise given in the

    brochure. It is settled law that brochure is part of the promise on which the

    contract is based. In the brochure it has been specifically mentioned that:

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    And remember, now all prices are ESCALATION FREE. So, the

    price you book at is the price you pay, irrespective of what i

    might cost DLF.

    The brochure issued by the Opposite Party which has bearing in

    deciding whether escalation in cost is to be borne by the Complainant. Dealing

    with the case of Ghaziabad Development Authority Vs. Union of India, (2000) 6

    SCC 113, the Apex Court considered the term of the brochure that the

    Development Authorities shall not be liable to pay any interest in the event of

    occasion arising for return of amount and held as under:

    The rate of interest awarded in equity should neither be too high nor too

    low. In our opinion awarding interest at the rate of 12 per cent per annum

    would be just and proper and meet the ends of justice in the cases unde

    consideration. The provision contained in the brochure issued by the

    Development Authority that it shall not be liable to pay any interest

    in the event of an occasion arising for return of the amount should

    be held to be applicable only to such cases in which the claimant is

    itself responsible for creating circumstances providing occasion for

    the refund. In the cases under appeal the fault has been found with the

    Authority. The Authority does not therefore have any jurisdiction fo

    resisting refund of the claimants amount with interest.

    Therefore, it cannot be said that the condition contained in the

    contract would only prevail and not the terms of the brochure which is an

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    With regard to parking space, admittedly the Complainant has paid

    the amount for parking space. No doubt, there was delay in allotting the parking

    space and the Complainant is entitled to get some relief. But, in our view, the

    relief granted by way of refund of the escalation cost, would meet the grievance

    of the Complainant.

    Conclusion:

    In view of the aforesaid findings for delay in delivering the

    possession to the Complainant, the State Commission awarded Rs.1 lakh as

    compensation. Considering the fact that we are directing the builder to refund

    the amount recovered on account of escalation, costs, the said amount would

    compensate the Complainant properly.

    In the result, the appeal No.557 of 2003 filed by the Complainant is

    partly allowed and the Respondent DLF is directed:

    (a) to refund the amount of Rs.4,02,617.69p. to the Complainant which

    is recovered on account of escalation cost, with interest at the rate of 12% p.a

    [No doubt, the Complainant has claimed the refund with interest at the rate of

    20%, because that was the rate at which the builder recovered from the

    Complainant for some delay in payment of instalment.];

    (b) to pay Rs.1 lakh as compensation to the Complainant for delay in

    delivery of possession, as directed by the State Commission; and,

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