EXPERION DEVELOPERS PVT. LTD versus SUSHMA ASHOK SHIROOR
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A B C D E F G H 590 SUPREME COURT REPORTS [2022] 5 S.C.R. [2022] 5 S.C.R. 590 590 EXPERION DEVELOPERS PVT. LTD. v. SUSHMA ASHOK SHIROOR (Civil Appeal No. 6044 of 2019) APRIL 07, 2022 [UDAY UMESH LALIT, S. RAVINDRA BHAT AND PAMIDIGHANTAM SRI NARASIMHA, JJ.] Consumer Protection Act, 1986 – ss. 23, 14 – Failure on part of developer to deliver possession of apartment to the consumer within the time stipulated as per the Apartment Buyers Agreement – The consumer, against such failure, approached the National Consumer Disputes Redressal Commission – Commission directed the developer to refund purchase amount interest @ 9% p.a. to the Consumer – Aggrieved developer filed instant appeal – Held: The Commission created under the Consumer Protection Act has the power to direct refund of the purchase amount along with interest under s.14 of the Act and was right in holding that the clauses of the agreement are one-sided and that the Consumer is not bound to accept the possession of the apartment and can seek refund of the amount deposited by her with interest – Further the Apartment Buyer’s Agreement which are found to be one-sided are oppressive, constituting unfair trade practice and such terms of the Agreement cannot be enforced – Order of Commission upheld – Real Estate (Regulation and Development) Act, 2016 – s.18 – Contract – One sided contract. Consumer Protection Act, 1986 – Real Estate (Regulation and Development) Act, 2016 – Harmonious Construction – The Consumer Protection Act and the Real Estate (Regulation and Development) Act neither exclude nor contradict each other and they must be read harmoniously to subserve their common purpose and hence one Act does not bar the remedy available under the other Act – When Statutes provide more than one judicial fora for effectuating a right or to enforce a duty-obligation, it is a feature of remedial choices offered by the State for an effective access to justice and hence there has to be a harmonious construction of statutes provisioning plurality of remedies – Interpretation of statutes. A B C D E F G H 591 Consumer Protection Act, 1986: s.14 – Power under, scope – Power to direct refund of the amount and to compensate a consumer for the deficiency in not delivering the apartment as per the terms of Agreement is within the jurisdiction of the Consumer Courts – Under s.14 of the Act, if the Commission is satisfied that any of the allegations contained in the complaint about the services are proved, it shall issue an order to the opposite party directing him to, return to the complainant the price or as the case may be, the charges paid by the complainant – ‘Deficiency’ is defined under s.2(g) to include any shortcoming or inadequacy in performance which has been undertaken by a person in pursuance of a contract or otherwise relating to any service – Therefore Commission is empowered to direct refund of the price or the charges paid by the consumer Dismissing the appeal filed by the Developer and partly allowing the appeal filed by the Consumer, the Court HELD: 1. On the question of reckoning the date for handing over of possession of the apartment, the Commission recorded the fact admitted by the Developer in Para 2 of its reply that “the trigger date for clause 10.1 is 26.12.2012, which is the date of execution of the apartment buyer’s agreement”. The Commission calculated 42 months from this period, which turns out to be 26.06.2016. Further, adding the grace period of 180 days, the time for delivery would expire on 26.12.2016. It is again an admitted fact that the occupancy certificate was obtained only on 23.07.2018 and notice for possession was issued to the Consumer on 24.07.2018. Given the factual position and having examined the terms of the Agreement, the Commission found the judgment of this Court in Pioneer Urban Land and Infrastructure Ltd v Govindan Raghvan is a relevant and conclusive precedent. The principle laid down in Pioneer’s case has been followed consistently in many cases where the terms of the Apartment Buyer’s Agreement were found to be one-sided and entirely loaded in favour of the Developer, and against the allottee at every step. Therefore the Commission was correct in its approach in holding that the clauses of the agreement are one-sided and that the Consumer is not bound to accept the possession of the EXPERION DEVELOPERS PVT. LTD. v. SUSHMA ASHOK SHIROOR A B C D E F G H 592 SUPREME COURT REPORTS [2022] 5 S.C.R. apartment and can seek refund of
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