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Eswaraiah Chakali   06 December 2020

Token advance (rs 10k) not returned by the owner, what to do

Dear Sir, We have paid 10000 INR (on 5 Nov 2020) as a token advance to an owner by saying that we rent a house. Due to unavoidable circumstances, we could not rent his 2BHK home. We have the google pay receipt for paying the money.

We have told the owner that we will taken their 2BHK from 7th Nov, but we have said on 5th Nov that we can not go.

We have asked for returning the money, but he said "sir we can refund the money"
However, after calling him and by saying that "we will complaint in the police station", and also we come down and suggested to cut 2000 to 3000 INR and return 7000 INR.

Finally, he agreed to pay 7000 INR but by stating that if someone occupies the home, then he can return the money (but only 7000 out of 10000 INR).

We said that "we are not sure when someone can occupies during this pandemic, but please return after one month".

After one month we went to his apartment and called him through my uncle's phone (because he had already blocked mine and my wife's phone numbers thinking that we are torturing him).  Arguments went on between the owner and us, finally he said if you people come to my apartment I will not return the money. He added that if you guys come like this I will not return any money.

Please advise us, whether we shall complain against him citing the cheating case?
Or to approach district consumer court? Or to give a complaint in the nearby police station?

Thanks for your help and support.


 3 Replies

Isaac Gabriel (Advocate)     07 December 2020

Since you are having proof for having paid amount, issue lawyer notice, if not obliged file suit for recovery.

Deepak Rathore   07 December 2020

Token money are not refundable in rental property, if the deal is done these are adjusted towards your rent or agreement process. Since you have entered the deal and agreed to occupy the property on the date agreed by both parties and later you didn't kept to your promise and commitment and in violation of the deal the owner will deduct or not refund any amount. wherein also the owner has lost the opportunity to give his property to someone needful and causing loss to the owner. He is in full right, whether to forfeit full token amount or refund the amount.
If your steps for request of refund were in a humble, respectful and polite manner with genuine reasons some owners do let it go or deduct some amount and refund.
Mostly owners look at your behaviour, attitude and character.

you can apologize in a good manner to the owner on your behaviour and the unsudden change of you decision to not take the property on rent and request him for the refund amount stating good reason as you are in great need of money. And you would be highly grateful to the owner for the needful.
It's better for rentals and owner as a good citizen to ambicably resolve this matter. Even if he deducts an amount from the token it should not be a big issue for both of them.

P. Venu (Advocate)     14 December 2020

Yes, you can serve a legal notice demanding return of the money. Given the small amount, it is not worth filing a civil case. Police have no jurisdiction.

Another option is to take up the matter in the Lok Adalat (Legal Services Forum) functioning in the local court.

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