#Housing Construction

The Commission held that a homebuyer's temporary occupation of a substitute flat with express written objection does not constitute acceptance of permanent substitution, preserving the right to refund of the full booking amount (Rs. 53.43 lakh) for the undelivered flat. It awarded staggered interest at 9% pre-occupation and 7% during occupation, plus Rs. 1 lakh costs, payable within 90 days. The ruling protects buyers who occupy alternative units under protest while asserting their original contractual rights.

Delhi State Consumer Commission rules that developers' failure to deliver possession is a continuing deficiency in service, extending limitation periods. The Commission also caps forfeiture of earnest money at 10% of the sale price, deeming higher deductions unreasonable under the Consumer Protection Act, 1986. This sets a precedent for homebuyers seeking relief against delayed projects and excessive penalties.