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ashutosh (TEAM LEAD)     09 September 2014

Dispute between landowner and developer


This is my first post in the forum and I'm hoping someone will guide me.

I have booked flat in bangalore which comes under gram panchayat. Apartment is constructed by builder under JD and GPA agreements with land owners. The agreement was setup in June 2011 for 22 months, agreement clearly mentions the time starts after builder gets necessary approvals from everyone to carry on construction work.

Construction work right now is 60% complete. We came to know the JD/GPA was cancelled in first week of August and landowners issued public notice in Times of India on 9th August. None of the flat owners has got possession and brick work is completed until 2nd floor (out of4 floors). In the agreement between landowners and builder it was mentioned - if builder fails to complete the project owners have rights to cancel the agreements with 3 months notice. But we, flat owners came to know after they are cancelled.

Now, I'm clueless on how can I proceed. I paid 70% of total project cost and took housing loan from HDFC. If JD and GPA cancells what rights, we as flat owners will have? How can I get out of this mess and does it possible from the landowner that he can ask for money for us for the construction of the building .

I know this is complex to give complete answer, but if you help me if I have to engage lawyer and carry out that would be of great help. My bank, on behalf of me paid 14 lacs to builder and I'm paying EMI for that. Do I need to tell bank not to pay anything, if the agreements cancels doesn't builder mention this to bank?

If in case I'll have to personally meet and hire, anyone in bangalore with good reputation to handle this smooth and work out for me to save my heard earned money?


 1 Replies

Rangee (Lawyer)     09 September 2014

you have not mentioned with whom you have executed the agreement ,whether it is with land lord or owner? It is probable that you might have executed the agreement with only builder without involving the land lord. Then you are in trouble and bankers also should not have financed to such deal. The builder is not the owner of property only he is contractor. If you have agreement with owner of land along with builder then your money is safe and you may get some thing back in the from of part of building irrespective of that fact whether approvals obtained or otherwise.Good luck 

R.S.K.Singh B.Sc, LL.B

Advocate Bellary


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