How your builder Cheating you-How to Stop Real estate Fraud-Part-1
These days the real estate sector is down and many builders are delaying construction and abandoning the construction work and thereby as a result of which the builder cheating on you which is emerging, the innocent buyers and the consumers are the rel victims. Indian buyers are very patient and tolerant as well as ignorant that is the reason why they are getting exploited by these builders who are fooling day in and day out.
These builders draft one sided agreements and thus majority of the clauses are in the favor of the builder only as they simply copy paste the agreements as desired what Indian consumer fail to realize that within these minute clauses there are hidden meaning. Before purchasing any property buyer can have his own clauses to protect him in case of delay and courts can easily enforce them.
Some of the important clause which should be there while signing the builder/ buyer agreement are-:
- Strict stipulation of time and thereby making time as an essence of contract-what these builders are doing is committing to time on which they will complete the construction, in courts what they plead is that construction is complete NOC is needed, for buyer it’s the possession that is important they deliberately put the clause of time of completion of construction only, thereby they hide the date of possession, now innocent buyer think that they will get possession within 36 month period, but it is not possession it’s the construction, remember buyers cannot get possession until they get NOC certificate from authorities irrespective of construction. Now when the NOC is to be granted that god and builders know better, therefore making the consumers/buyers uncertain.
- Penalty amount in case of delay- In courts buyer will never admit to the delay in construction according to them construction is complete, now in order to prove the delay if you are having a construction linked plan then the delay can easily be calculated from the demand letters, now with careful look at the demand letter it will show that how fast or slow is the construction. With this the consumer may show to the court the amount of delay during the course of construction. But buyer/consumer must beware that the delay must be from delay in possession not in construction, why as enumerated in point 1.Therefore builder evade in processing the delay payment amount.
These are the some of the contractual points buyers must consider.
To know about what happens in courts and how builders defend their case even if your case is strong read the next part