LCI Learning
LCI Learning

Share on Facebook

Share on Twitter

Share on LinkedIn

Share on Email

Share More

Maria Pires   08 July 2021

Consumer Court case

I am Maria from Goa. I had purchased a plot from real estatecdevelopers. Two years passed since I finished paying all the installments. I am in need of the money. They are not ready to refund. But in Token Receipt Agreement there is this option if property is sale deed is ownership is not transferred. I filed case in District Consumer Court. Today was first hearing. Judge wants to dismiss it saying it is a PLOT. I have to prove it's admissibility. What arguments should I put forth


Learning

 10 Replies

akshay petkar   09 July 2021

in my opinion, the consumer protection act cover matters relating to the selling and buying of goods. and not relating to land or plots

matters relating to agreement, sale deed are civil cases. you must have to approach the civil court of appropriate jurisdiction.

Maria Pires   09 July 2021

Thanks a lot Mr Akshay. I am open to the law of the land. But before approaching the Consume court, I had consulted top real estate advocate. She said after going thru my complaint that Consumer Court is best & fastest.
1 Like

Rama chary Rachakonda (Secunderabad/Highcourt practice watsapp no.9989324294 )     09 July 2021

Case hearing

The hearing in consumer courts is taken on a fast-track basis. You may get a judgement in a single day if all the necessary documents are in place. If the court finds the developer guilty, it orders a compensation amount that he needs to pay to you. The Consumer Protection Act, 1986, provides a three-tier system of redressal agency—first, at the district level known as the district forum; second, at the state level known as the state commission; and third, at the national level known as the national commission. These forums deal in matters of real estate as well as consumer goods.

1 Like

Maria Pires   09 July 2021

Thanks a lot Ramchary. Your reply has given me hope. All my documents are in place.

P. Venu (Advocate)     09 July 2021

"Judge wants to dismiss it saying it is a PLOT." I am unable to understand. Facts posted suggest you are a consumer and the Forum is required to decide the matter on merits.

 

1 Like

Maria Pires   10 July 2021

Thanks a lot P.Venu. Hope they do it.

Dr J C Vashista (Advocate)     10 July 2021

The District / State / National Consumer Disputes Redressal Commission (as per jurisdiction) shall have to take cognizance when you submit and present/ argue your case for deficiency of service, monopolistic or unfair trade practice etc (as the case may be) of opposite party is established.

It would be better to seek professional services of a local prudent lawyer to protect your interest.

1 Like

Maria Pires   10 July 2021

Thanks a lot Sir Vashista. I have hired an advocate. He said from the start that my case will be dismissed as the Court had done the same to another person who bought plot from the same developer. The plot is in Dodamarg Maharashtra. But they have their office here in Goa where I paid the consideration for Token Receipt Agreement. The developer has duped thousands of other investors across India to the tune of crores.

Shubham Bhardwaj (Advocate)     10 July 2021

Dear Ms Maria, 

Although your query has been replied to by many learned experts but I would like to give a opinion of my own, which is as under:-

The facts which I could gather is that you have purchased a plot from developer and you have paid all the instalments. But the possession is not handed over to you till now. You have filed a consumer complaint under Consumer Protection Act, 2019. ( I am assuming 2019 Act because if your case is at admission stage it means you filed it recently and after 2019, all complaints are under CPA 2019, Prior to CPA 2019, Consumer Protection Act, 1986 was in force.)

Answer to your query:-

You see consumer complaints are filed by consumers. The term 'consumer' has been defined in Section 2 (7) of CPA, 2019 to mean 'a person who buys goods or hires services'. The term 'goods' has been defined in Section 2(21) CPA, 2019 as 'every kind of moveable property. . Since plot is not a moveable property therefore not covered in definition of goods, therefore you have not bought any GOODS.

Now you have to show that you availed services. The term services has also been defined in Section 2(42) CPA, 2019. Although housing construction is one of the listed items in definition of service but purchasing of plot is strictly not housing construction. Let me give you an example. If you had purchased apartment, that would be covered in this definition however purchasing plot simpliciter is not housing construction service. Therefore you have not availed SERVICES either. 

Since you have neither purchased goods not availed services, you are not consumer. Since you are not a consumer, you CANNOT MAINTAIN A CONSUMER COMPLAINT IN CONSUMER COURT.  YOUR COMPLAINT WILL BE DISMISSED. 

Ms Maria, even if your case is not dismissed at this stage, in my considered opinion, there will be a huge risk of this order/judgment being over turned by State Commission or National Commission. This is a huge chance you will be taking which I think is not worth taking especially when you have options. 

Therefore, in view of the above discussion, I would advise you to withdraw consumer complaint and file complaint under Real Estate (Regulatory and Development) Act, 2016. That is a specialized place for real estate transactions.  DO NOT GO FOR CIVIL COURT IN THIS CASE. IF YOU FILE A CIVIL SUIT IN THIS CASE YOU WILL BE SPENDING NEXT 20 YEARS IN LITIGATION. 

Regards

Shubham Bhardwaj (Advocate) 

District & Session Court, Chandigarh

Punjab & Haryana High Court, at Chandigarh

 

Disclaimer:- Opinion is only for guidance. 

 

2 Like

Maria Pires   10 July 2021

Thanks a lot Sir Subham for taking ur valuable time to give me legal advice. I greatly apreciate your opinion. The judge had said exactly what u have said. He had not mentioned RERA Act but he said there is a remedy. Waiting & hoping.

Leave a reply

Your are not logged in . Please login to post replies

Click here to Login / Register