Earnest money forfeiture limited to 10% of basic sale price | Experion Developers flat allotment : NCDRC
The NCDRC held that developers cannot forfeit more than 10% of the basic sale price as earnest money, directing Experion Developers to refund the excess amount paid by homebuyers with interest. The ruling protects consumers from unfair forfeiture clauses in real estate agreements and sets a benchmark for similar disputes across India.