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Structured Summary of the Opinion — State Consumer Disputes Redressal Commission, U.T., Chandigarh (20.10.2016)

Factual and Procedural Background

This consolidated order disposes of thirteen consumer complaints (instituted between 22.06.2016 and 17.08.2016, decided on 20.10.2016). The Commission heard arguments in common because the issues of law and facts were substantially the same (with minor variations).

The facts, drawn from Complaint No. 338 of 2016 (Dr. Paramvir Singh & another v. Unitech Limited & ors.), are representative. The complainants purchased a plot in a Unitech project (Sector 107, Mohali) by endorsement of an earlier buyer's agreement: the original Buyer's Agreement dated 10.10.2008 was endorsed in favor of the complainants on 30.11.2010 after they paid the previous buyer. The Buyer's Agreement provided that possession was to be delivered within 36 months (Article 4.a.(i)), subject to force majeure, and that in case of delay a penalty at specified rate (Article 4.c) would be payable.

The complainants alleged that possession was never offered, compensation/penalty for delay was not paid, and they therefore claimed refund of amounts paid (various sums in the thirteen complaints), interest, compensation for mental agony/harassment, and litigation expenses. The opposite parties (Unitech Limited and related entities) contested jurisdiction, consumer status, applicability of arbitration clause, raised force majeure/extension contentions, and argued on other grounds including alleged insufficiency of court fee.

Evidence was led, counsels were heard on 13.10.2016, and the Commission issued this consolidated order on 20.10.2016. The Commission partly accepted the complaints and granted specific monetary reliefs, interest and costs as recorded in the order.

Legal Issues Presented

  1. Whether the State Consumer Disputes Redressal Commission, Chandigarh, has territorial jurisdiction to entertain complaints against the opposite parties (given an agreement clause stating Courts at Mohali have jurisdiction and the seller's marketing/registered offices' locations).
  2. Whether the complainants qualify as "consumers" under Section 2(1)(d) of the Consumer Protection Act, 1986, or are investors/speculators excluded from that definition.
  3. Whether a consumer complaint alleging deficiency of service in real estate/housing projects is maintainable before Consumer Fora despite the existence of an arbitration clause in the underlying agreement (post-amendment to Section 8 of the Arbitration and Conciliation Act, 1996).
  4. Whether complainants are entitled to refund of amounts paid and interest, and from which date interest should be calculated (particularly where the complainant is a subsequent purchaser by endorsement).
  5. Whether the complainants were entitled to contractual penalty/compensation at the rate claimed (e.g., Rs.50 per sq. yard per month) in addition to refund and other compensation.
  6. Whether non-payment of correct court fee (if alleged) would lead to dismissal of the complaints.

Arguments of the Parties

Complainants' Arguments

  • The opposite parties failed to deliver possession of the developed plot within the contractual period (36 months) and failed to pay delay compensation/penalty as required by Article 4.c; this amounted to deficiency of service and unfair trade practice.
  • The complainants had made substantial payments (specific amounts recorded per complaint) and had obtained endorsement/transfer of the agreement in their favour; they sought refund with interest, compensation for mental agony and litigation costs.
  • In at least one complaint the complainant pleaded need for the plot for family/residential use and ill health of complainant no.1 (as factual background supporting consumer status).
  • Complainants rebutted oppositions raised in written statements (reiterated in rejoinder) and led evidence in support of their claim.

Opposite Parties' Arguments

  • Objection as to territorial jurisdiction: reliance on an agreement clause (Article 12.b) stipulating that Courts at Mohali shall have jurisdiction and contention that the Commission lacks territorial jurisdiction.
  • Submission that the complainants were investors/speculators who purchased for future gain (resale) and therefore do not fall within the definition of "consumer" under Section 2(1)(d) of the Act.
  • Submission that the dispute is contractual and only Civil Courts can adjudicate the matter; consumer fora should not entertain the complaint.
  • Reliance on existence of an arbitration clause in the agreement and (post-amendment) Section 8 of the Arbitration Act to argue that the judicial authority should refer the matter to arbitration, thereby ousting the Commission's jurisdiction.
  • Assertion that force majeure or reasons beyond their control entitled the opposite parties to reasonable extension of time for delivery of possession.
  • Claim that complainants had not paid proper court fee as required for consumer complaints.
  • On merits, the opposite parties claimed they were ready and willing to give possession shortly (including an oral contention at hearings), and disputed other averments as appropriate.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Mr. Om Parkash Dua and ors. Vs. Unitech Limited and another (22.08.2016) Commission held that where the marketing office of the developer is situated within the territory, a part of cause of action arose within that territory for Section 17 purposes. Court relied on this earlier Commission decision to reject the opposite parties' territorial jurisdiction objection because Unitech had a marketing office in Chandigarh and conducted relevant activities there.
Sanjeev Dhir Vs. Unitech Limited (Complaint No.177 of 2016, 01.08.2016) Marketing office in Chandigarh was responsible for development and marketing of the project; payments and correspondence were tied to that office. Court used this finding to support territorial jurisdiction of the Chandigarh Commission since payments and project activities were linked to the Chandigarh marketing office.
State of Punjab Vs. Nohar Chand, 1984 SCR (3) 839 Where products/goods are marketed in a territory, the courts in that territory have territorial jurisdiction. Cited to support the proposition that part of cause of action arising where marketing/distribution occurs confers territorial jurisdiction on that forum (applied to marketing office at Chandigarh).
Amit Kohli and another Vs. Unitech Limited and Ors. (Complaint No.210 of 2016, 01.09.2016) Earlier Commission view on jurisdiction (reiterated). Cited as supporting authority that Chandigarh Commission has territorial jurisdiction in similar Unitech cases.
Manmohan Sandhu Vs. Unitech Limited and Ors. (Complaint No.284 of 2016, 07.10.2016) Earlier Commission view on jurisdiction (reiterated along with connected cases). Reiterated in support of territorial jurisdiction of Commission.
Associated Road Carriers Ltd. Vs. Kamlender Kashyap & Ors., I (2008) CPJ 404 (NC) Clause of jurisdiction by agreement cannot be made applicable to consumer complaints in derogation of Sections 11/17 of the Act. Quoted to reject the opposite parties' argument that an agreement clause limiting jurisdiction (to Mohali) would oust the Commission's power where part of the cause of action arose in Chandigarh.
Ethiopian Airlines Vs Ganesh Narain Saboo, IV (2011) CPJ 43 (SC) = VII (2011) SLT 371 A restriction of jurisdiction to a particular court need not be given importance in the circumstances of the case. Referred to support the position that contractual jurisdiction clauses cannot necessarily bar consumer fora where Section 17 permits filing where part of cause of action arose.
Cosmos Infra Engineering India Ltd. Vs Sameer Saksena & another I (2013) CPJ 31 (NC) Agreements excluding the jurisdiction of particular courts/forums cannot be given effect to exclude other fora under consumer jurisdiction principles. Used as precedent that jurisdiction-limiting clauses in agreements do not bar filing where part of cause of action arose elsewhere.
Radiant Infosystem Pvt. Ltd. & Others Vs D. Adhilakshmi & Anr I (2013) CPJ 169 (NC) Similar principle regarding jurisdiction clauses and consumer fora. Referred to for the same proposition on non-enforceability of jurisdiction-limiting clauses to oust consumer fora.
Fair Air Engg. Pvt. Ltd. & another Vs. N. K. Modi (1996) 6 SCC 385 Interpretation of Section 3 of Consumer Protection Act, 1986: remedy under the Act is additional and not in derogation of other laws; affects arbitration arguments. Cited to support that Section 3 gives consumers an independent/additional remedy and that arbitration clause does not automatically bar consumer fora.
C.C.I Chambers Coop. Housing Society Ltd. Vs Development Credit Bank Ltd. (2003) 7 SCC 233 Interpretation relevant to Section 3 and parallel remedies. Used to support the position that remedies under the consumer statute are in addition to other remedies and arbitration clauses do not oust consumer fora.
Rosedale Developers Pvt. Ltd. Vs. Aghore Bhattacharya (Civil Appeal No.20923 of 2013) Authority referenced in the context of arbitration/consumer remedy interaction. Referred in the discussion on arbitration and the availability of consumer remedies notwithstanding other remedies.
Narne Construction P. Ltd. Vs. Union of India and Ors., II (2012) CPJ 4 (SC) When a person enters into an agreement with a developer/contractor for allotment, the transaction constitutes a 'service' under Section 2(1)(o) and falls within the consumer statute. Applied to hold that housing/plot allotment transactions are "service" and the complaints are maintainable before consumer fora.
Haryana Agricultural Marketing Board Vs. Bishambar Dayal Goyal & Ors. (AIR 2014 S.C. 1766) Supports the view that building/housing activities constitute 'service' under the Act. Used to corroborate that the complaints involve service disputes and are maintainable under the Act.
UOI vs. Tata Chemicals Ltd (2014) 6 SCC 335 Right to interest follows when refund of money retained without right is ordered. Applied to justify awarding interest on refunds ordered to the complainants.
Darbara Singh and ors. Vs. Emaar MGF Land Limited and Ors. (Complaint No.147 of 2016, 22.08.2016) On the date from which interest accrues for subsequent purchasers who obtained endorsement/transfer. Cited to support awarding interest from the date the subsequent purchaser actually paid/obtained endorsement (and not from the original allottee's date).
Lt. Col. Dalvinder Singh Vs. Puma Realtors Pvt. Ltd. (Complaint No.230 of 2016, 02.09.2016) Similar approach on interest for subsequent purchasers. Applied as supporting authority for awarding interest from the date of payment/endorsement by the subsequent purchaser.
Sandeep Goyal Vs. M/s Puma Realtors Private Limited (Complaint No.339 of 2016, 07.10.2016) Similar approach on interest and dates for subsequent purchasers. Used to support the same principle regarding accrual of interest from payment/endorsement date.
Kavita Ahuja Vs. Shipra Estate Ltd. & Jai Krishna Estate Developer Pvt. Ltd., 2016 (1) CPJ 31 (NC) Buyer of residential units is a consumer unless proved that the purchase was for commercial purpose. Applied to reject the opposite parties' contention that complainants were speculators/investors and not consumers.
DLF Universal Limited Vs. Nirmala Devi Gupta, 2016 (2) CPJ 316 (NC) Similar proposition that buyers are consumers unless commercial purpose is established. Referred to support the complainants' status as consumers.
Aashish Oberai Vs. Emaar MGF Land Limited (Consumer Case No.70 of 2015, 14.09.2016) Quoted passage explaining that multiple property holdings do not ipso facto establish commercial purpose; buyer not deemed commercial without evidence. Quoted at length to support the principle that mere ownership of more than one property does not prove commercial purpose and to reject the speculator argument.
Skypak Couriers Ltd. Vs. Tata Chemicals Ltd. (2000) 5 SCC 294 Referenced in context of arbitration/consumer remedy interaction. Referred as part of the authority base showing arbitration provisions do not automatically bar consumer remedies.
National Seeds Corporation Limited Vs. M. Madhusudhan Reddy (2012) 2 SCC 506 Referenced regarding arbitration and consumer fora interaction. Referred in the discussion that arbitration clauses do not oust consumer fora remedies.
Secretary, Thirumurugan Cooperative Agricultural Credit Society v. M. Lalitha (2004) 1 SCC 305 Consumers are normally in weak position; where two interpretations are possible, the construction favourable to the consumer should be adopted. Applied as a guiding principle in deciding arbitration applicability and in favour of the complainants' protection under the Act.
United India Insurance Co. Ltd. Vs. M/s Pushpalaya Printers (I (2004) CPJ 22 (SC)) Referenced alongside Thirumurugan to show courts adopt interpretations favourable to consumers. Used to support the principle of protecting consumers and favouring consumer-friendly interpretations.
LIC of India and another Vs. Hira Lal, IV (2011) CPJ 4 (SC) Referenced as authority on consumer-protective approach. Applied in support of adopting consumer-beneficial interpretations when two constructions are possible.
Lt. Col. Anil Raj & anr. Vs. M/s. Unitech Limited and another (Consumer Case No.346 of 2013, 02.05.2016) National Commission held that existence of arbitration agreement does not bar consumer fora; remedy under the Act is additional. Cited to reinforce the view that arbitration clause did not oust the Commission's jurisdiction to entertain these consumer complaints.
Rajesh Malhotra & Ors. Vs. Acron Developers Pvt. Ltd. & Ors. (First Appeal No.1287 of 2014, 05.11.2015) Referenced in the Aashish Oberai quote on multiple property purchases not equating to commercial purpose. Referred as supporting authority to reject the contention that complainants were purchasing for a commercial/resale purpose by mere ownership of other properties.
Ved Kumari & anr. Vs. Omaxe Buildhome Pvt. Ltd. & anr. Case relied on by opposite parties where complainant(s) had purchased large number of properties and were held to be investors. Cited by the court in order to distinguish the facts — Court explained why Ved Kumari and similar cases were not applicable on the facts of these complaints.
Dr. Pramod Kumar Arora & anr. Vs. DLF Homes Panchkula Pvt. Ltd. (2015 (4) CLT 482) Case relied on by opposite parties to support investor/speculator argument. Court considered the case and distinguished it on the facts, noting differences in scale and evidence of commercial purpose.
Saavi Gupta & another Vs. Omaxe Azorim Developers Pvt. Ltd. & Ors. (2012 (4) CPJ 327) Case relied on by opposite parties where complainants had acquired multiple valuable properties. Cited by the court and distinguished on facts to reject the argument that these complainants were commercial buyers.

Court's Reasoning and Analysis

The Commission set out a step-by-step analysis, which (in summary) proceeded as follows, based on the material in the opinion:

  1. Consolidation and facts: The Commission consolidated thirteen complaints because issues of law and facts were substantially the same. The narrative and findings are largely drawn from Complaint No.338 of 2016.
  2. On merits (existence of deficiency): The Commission found that the opposite parties failed to deliver possession of the developed plot within 36 months as required by Article 4.a.(i) and failed to pay any penalty/compensation for delay. The Commission held that there was no explanation on record showing force majeure or other reasons beyond the opposite parties' control preventing delivery. Accordingly, the opposite parties were held deficient in providing service and guilty of unfair trade practice (paras 11–13, 151–152).
  3. Territorial jurisdiction objection: The Commission rejected the opposite parties' plea on territorial jurisdiction. It relied on the fact (in the agreement and documents) that the developer's marketing office was at SCO 189-190-191, Sector 17-C, Chandigarh, and that payments and correspondence were handled by that office. The Commission cited its own prior decisions (including Om Parkash Dua and Sanjeev Dhir) and the principle in State of Punjab v. Nohar Chand that a court where goods/services are marketed has jurisdiction. Therefore a part of cause of action arose in Chandigarh and Section 17 permitted filing there (paras 12–15, 140–146).
  4. Jurisdiction clause in agreement (Article 12.b): The Commission held that contractual clauses limiting jurisdiction to a particular court (Mohali) could not exclude the Commission's jurisdiction where a part of cause of action arose within Chandigarh. The court relied on precedents (Associated Road Carriers, Ethiopian Airlines, Cosmos Infra, Radiant Infosystem) and the statutory framework (Section 17 of the Consumer Protection Act) to reject the opposite parties' contention (paras 15, 148).
  5. Consumer status (investor/speculator objection): The Commission examined the opposite parties' contention that complainants were investors purchasing for future gains and therefore not consumers. The Commission distinguished cases relied upon by opposite parties (Ved Kumari, Dr. Pramod Kumar Arora, Saavi Gupta) on their facts (large-scale purchases, lack of need for residential use). The Commission relied on authorities (Kavita Ahuja, DLF Universal, Aashish Oberai) holding that buyers are consumers unless proven to have purchased for commercial purposes. Finding no cogent evidence that these complainants were property dealers or had purchased for commercial purposes, the Commission held complainants to be consumers (paras 18, 153–157).
  6. Maintainability notwithstanding contractual nature: The Commission held that purchases/allotments of plots/houses involve 'service' as per Narne Construction and Haryana Agricultural Marketing Board; therefore the complaints were consumer disputes maintainable under the Consumer Protection Act. Section 3 of the Act provides an additional remedy (paras 19, 158–159).
  7. Effect of arbitration clause after amendment to Section 8 (1996 Act): The Commission considered post-2015 amendment to Section 8 of the Arbitration and Conciliation Act and related authorities. It concluded that Section 3 of the Consumer Protection Act (an independent/additional remedy) and the legislative history indicated no intention to oust consumer fora. The Commission reasoned that the amended Section 8 does not operate to bar Consumer Foras from entertaining complaints in consumer matters and that referral to arbitration would defeat the spirit and accessibility of the Consumer Protection Act (cost, time and protective purpose). The Commission relied on Supreme Court and National Commission precedents (Fair Air, C.C.I. Chambers, Rosedale, Secretary Thirumurugan, Lt. Col. Anil Raj) to reject the arbitration objection (paras 20–27, 171–179).
  8. Interest entitlement and accrual date: The Commission held that where a complainant is a subsequent purchaser (endorsement/transfer), the right to interest accrues from the date the complainant actually paid for and acquired the unit (date of endorsement/transfer and subsequent payments). The Commission applied its earlier decisions (Darbara Singh, Lt. Col. Dalvinder Singh, Sandeep Goyal) and the principle that refund entails a right to interest (citing UOI v. Tata Chemicals) to award interest from the dates of respective payments by complainants (paras 28–31, 183–186).
  9. Court fees objection: The Commission found that the correct fee (Rs.4,000) was deposited (Demand Draft dated 05.07.2016) in the representative complaint and rejected the opposite parties' objection on court fee grounds (para 31).
  10. On the specific claim for contractual penalty at Rs.50 per square yard per month: The Commission held that once refund with interest and compensation for mental agony and litigation costs were awarded, the complainants were not entitled to the additional contractual penalty claimed in the manner sought. It rejected the specific prayer for Rs.50 per sq. yd. per month in these circumstances (para 32).
  11. Relief and directions: Based on the foregoing analysis, the Commission partly accepted the complaints and issued specific monetary awards (refunds with specified interest rates, compensation of Rs.2,00,000 each for mental agony and harassment, litigation costs specified per complaint) with timelines and penal interest for default. The order also provided that if complainants had bank loans, those institutions would have first charge to the extent due (paras 34–37).

Holding and Implications

Core Ruling: All thirteen consumer complaints were partly accepted. The opposite parties (Unitech Limited and related entities) were directed, in each listed complaint, to refund the amounts paid by the complainants (specific sums recorded per complaint) with interest (rates and compounding specified per complaint), to pay compensation of Rs.2,00,000 for mental agony and physical harassment to each complainant, and to pay litigation costs (specified amounts per complaint). Payments were ordered within two months of receipt of certified copy, with penal interest for default as set out in the order (paras 191–256, 232–246, 252–256).

Direct effects on the parties:

  • The opposite parties are liable to refund the specific amounts (listed in the order for each complaint) together with interest from the dates of the respective payments made by the complainants (the decision specifies interest rates and compounding for each complaint).
  • The opposite parties are liable to pay Rs.2,00,000 compensation to each complainant for mental agony and physical harassment (per complaint) and litigation costs (amounts varying per complaint as ordered).
  • Payment deadlines and penal interest provisions were set: payment within two months from receipt of certified copy, failing which higher penal interest applies as specified in the order.
  • If complainants had taken bank/financial institution loans for payment, those institutions would have first charge on amounts payable to the extent of dues (para 35).

Broader implications:

  • The Commission reiterated its earlier approach that where marketing/development activities and payments are tied to a branch/marketing office within the Commission's territory, a part of cause of action arises there and the Commission has territorial jurisdiction (relying on its prior decisions and State of Punjab v. Nohar Chand).
  • The Commission reaffirmed that (a) housing/allotment transactions amount to "service" within the meaning of the Consumer Protection Act; (b) buyers are consumers unless it is proved they purchased for commercial purposes; and (c) arbitration clauses do not automatically bar consumer fora from entertaining complaints — the remedy under the Consumer Protection Act is an independent/additional remedy (citations and reasoning appear in the opinion). The Commission explained policy and practical reasons why mandatory referral to arbitration would be inappropriate in many consumer disputes (paras 19–27, 172–176).
  • The opinion does not state that it establishes a new legal precedent in the sense of overruling higher court authority; it applies and reaffirms existing precedents and Commission practice to the facts of these matters. No express claim that a new binding precedent was created is recorded in the text.

Certified copies were ordered to be placed on connected files and sent to parties free of charge; files were directed to be consigned to record room after completion (paras 36–38).

Order signed and pronounced on: 20.10.2016

Bench: Justice Jasbir Singh (Retd.), President; Dev Raj, Member; Padma Pandey, Member.

    Rajnish Jain v. M/s Unitech Limited

    STATE CONSUMER DISPUTES REDRESSAL COMMISSION,

    U.T., CHANDIGARH

    Complaint case No. : 338 of 2016
    Date of Institution : 06.07.2016
    Date of Decision : 20.10.2016

    1. Dr.Paramvir Singh son of Mohinder Singh, resident of House No.1931, Phase-10, Sector 64, Mohali.

    2. Dr.Jaspreet Kaur wife of Dr.Paramvir Singh, resident of House No.1931, Phase-10, Sector 64, Mohali. …… Complainants

    V e r s u s

    1. Unitech Limited, Registered Office at 6, Community Centre, Saket, New Delhi-110017, through its Managing Director/ Authorized Signatory.

    2. Unitech Limited, Real Estate Division (Marketing), 5thFloor, Tower A, Signature Towers, South City, NH-8, Gurgaon-122001, through its Managing Director/Director/Authorized Signatory.

    3. Unitech Limited, SCO 189-190-191, Sector 17C, Chandigarh, through its Managing Director/Director/Authorized Signatory.

    …..Opposite parties

    Argued by:- Sh.Munish Goel, Advocate for the complainants. Sh.Ruhani Chadha, Advocate for the opposite parties. ========================================================

    Complaint case No. : 293 of 2016
    Date of Institution : 24.06.2016
    Date of Decision : 20.10.2016

    1

    Rajnish Jain son of Shri Sat Pal Jain, aged 44 years, SCO No.853, Shivalik Enclave, NAC, Manimajra, Chandigarh.

    …… Complainant

    V e r s u s

    1. M/s Unitech Limited, through its Chairman, having its Marketing Office at SCO No. 189-190-191, Sector 17C, Chandigarh.

    2. M/s Unitech Limited, through its Managing Director, having its Registered Office at 6, Community Centre, Saket, New Delhi.

    …..Opposite parties

    Argued by:- Sh.Sanjeev Sharma, Advocate for the complainant. Sh.Ruhani Chadha, Advocate proxy for Sh.Rahul Bhargava, Advocate for the opposite parties.

    ========================================================

    Complaint case No. : 294 of 2016
    Date of Institution : 24.06.2016
    Date of Decision : 20.10.2016

    Rajnish Jain son of Shri Sat Pal Jain, aged 44 years, SCO No.853, Shivalik Enclave, NAC, Manimajra, Chandigarh.

    …… Complainant

    V e r s u s

    1. M/s Unitech Limited, through its Chairman, having its Marketing Office at SCO No. 189-190-191, Sector 17C, Chandigarh.

    2. M/s Unitech Limited, through its Managing Director, having its Registered Office at 6, Community Centre, Saket, New Delhi.

    …..Opposite parties

    Argued by:- Sh.Sanjeev Sharma, Advocate for the complainant. Sh.Ruhani Chadha, Advocate proxy for Sh.Rahul Bhargava, Advocate for the

    2

    opposite parties. ========================================================

    Complaint case No. : 295 of 2016
    Date of Institution : 24.06.2016
    Date of Decision : 20.10.2016

    Smt.Pooja Jain wife of Shri Manish Jain, aged 39 years, resident of House No.9, Sector 6, Panchkula (Haryana).

    …… Complainant

    V e r s u s

    1. M/s Unitech Limited, through its Chairman, having its Marketing Office at SCO No. 189-190-191, Sector 17C, Chandigarh.

    2. M/s Unitech Limited, through its Managing Director, having its Registered Office at 6, Community Centre, Saket, New Delhi.

    …..Opposite parties

    Argued by:- Sh.Sanjeev Sharma, Advocate for the complainant. Sh.Ruhani Chadha, Advocate proxy for Sh.Rahul Bhargava, Advocate for the opposite parties.

    ========================================================

    Complaint case No. : 296 of 2016
    Date of Institution : 24.06.2016
    Date of Decision : 20.10.2016

    Sat Pal Jain son of Shri Taras Ram Jain, aged 71 years, resident of House No.9, Sector 6, Panchkula (Haryana).

    …… Complainant

    3

    V e r s u s

    1. M/s Unitech Limited, through its Chairman, having its Marketing Office at SCO No. 189-190-191, Sector 17C, Chandigarh.

    2. M/s Unitech Limited, through its Managing Director, having its Registered Office at 6, Community Centre, Saket, New Delhi.

    …..Opposite parties

    Argued by:- Sh.Sanjeev Sharma, Advocate for the complainant. Sh.Ruhani Chadha, Advocate proxy for Sh.Rahul Bhargava, Advocate for the opposite parties.

    ========================================================

    Complaint case No. : 297 of 2016
    Date of Institution : 22.06.2016
    Date of Decision : 20.10.2016

    Smt.Aruna Jain wife of Shri Sat Pal Jain, aged 68 years, resident of House No.9, Sector 6, Panchkula, Haryana.

    …… Complainant

    V e r s u s

    1. M/s Unitech Limited, through its Chairman, having its Marketing Office at SCO No. 189-190-191, Sector 17C, Chandigarh.

    2. M/s Unitech Limited, through its Managing Director, having its Registered Office at 6, Community Centre, Saket, New Delhi-110017.

    …..Opposite parties

    Argued by:- Sh.Sanjeev Sharma, Advocate for the complainant. Sh.Ruhani Chadha, Advocate proxy for Sh.Rahul Bhargava, Advocate for the opposite parties.

    ========================================================

    4

    Complaint case No. : 298 of 2016
    Date of Institution : 24.06.2016
    Date of Decision : 20.10.2016

    Manish Jain son of Shri Sat Pal Jain, aged 41 years, resident of House No.9, Sector 6, Panchkula, Haryana. …… Complainant

    V e r s u s

    1. M/s Unitech Limited, through its Chairman, having its Marketing Office at SCO No. 189-190-191, Sector 17C, Chandigarh.

    2. M/s Unitech Limited, through its Managing Director, having its Registered Office at 6, Community Centre, Saket, New Delhi-110017.

    …..Opposite parties

    Argued by:- Sh.Sanjeev Sharma, Advocate for the complainant. Sh.Ruhani Chadha, Advocate proxy for Sh.Rahul Bhargava, Advocate for the opposite parties.

    ========================================================

    Complaint case No. : 299 of 2016
    Date of Institution : 24.06.2016
    Date of Decision : 20.10.2016

    Smt.Aarti Jain wife of Shri Rajnish Jain, aged 41 years, SCO No.853, Shivalik Enclave, NAC, Manimajra, Chandigarh.

    …… Complainant

    V e r s u s

    5

    1. M/s Unitech Limited, through its Chairman, having its Marketing Office at SCO No. 189-190-191, Sector 17C, Chandigarh.

    2. M/s Unitech Limited, through its Managing Director, having its Registered Office at 6, Community Centre, Saket, New Delhi-110017.

    …..Opposite parties

    Argued by:- Sh.Sanjeev Sharma, Advocate for the complainant. Sh.Ruhani Chadha, Advocate proxy for Sh.Rahul Bhargava, Advocate for the opposite parties.

    ========================================================

    Complaint case No. : 432 of 2016
    Date of Institution : 08.08.2016
    Date of Decision : 20.10.2016

    Rohit Vohra son of Satish Kumar Vohra, resident of House No.808, Sector 17, Panchkula (Haryana), presently residing at 241 Harbour Esplanada North Tower, Apt# 2710 Docklands Melbourne, Australia through his Special Power of Attorney Sh.Harbans Lal Budhiraja son of Sh.Shankar Dass resident of House No.808, Sector 17, Panchkula, Haryana.

    …… Complainant

    V e r s u s

    1. Unitech Limited, Registered Office at 6, Community Centre, Saket, New Delhi-110017, through its Managing Director.

    2. Unitech Limited (Uniworld City Mohali), Marketing Office at SCO 189-190-191, Sector 17C, Chandigarh, through its Authorized Officer.

    3. Alice Developers Pvt. Ltd., Registered Office at Basement 6, Community Centre, Saket, New Delhi, through its Managing Director.

    …..Opposite parties

    Argued by:- Sh.Varun Katyal, Advocate for the complainant. Sh.R.K. Dogra, Advocate for opposite parties no.1 and 2. Opposite Party no.3 exparte.

    6

    ========================================================

    Complaint case No. : 360 of 2016
    Date of Institution : 18.07.2016
    Date of Decision : 20.10.2016

    1. Ritu Raj Jalali son of Sh.Jawahar Lal Jalali

    2. Mrs.Rekha Jalali wife of Sh.Ritu Raj Jalali Both residents of H.No.966, Sector 91, JLPL, Mohali, earlier resident of House No.3577, First Floor, Sector 69, Mohali.

    …… Complainants

    V e r s u s

    Unitech Limited, Regional Office SCO No.189-190-191, Sector 17C, Chandigarh, through its Managing Director.

    …..Opposite party

    Argued by:- Sh.Parminder Singh, Advocate for the complainants. Sh.R.K. Dogra, Advocate for the opposite party. ========================================================

    Complaint case No. : 362 of 2016
    Date of Institution : 19.07.2016
    Date of Decision : 20.10.2016

    1. Brij Nandan Singh Walia son of Rajendra Singh.

    2. Ramnika Singh daughter of Sh.Brij Nandan Singh Walia, through her power of attorney Sh. Brij Nandan Singh Walia.

    …… Complainants

    7

    V e r s u s

    M/s Unitech Limited, Marketing Office at SCO No. 189-190-191, Sector 17C, Chandigarh, through its Managing Director.

    …..Opposite party

    Argued by:- Sh.Sunil K.Sahore, Advocate for the complainants. Sh.Ruhani Chadha, Advocate proxy for Sh.Rahul Bhargawa, Advocate for the opposite party.

    ========================================================

    Complaint case No. : 433 of 2016
    Date of Institution : 08.08.2016
    Date of Decision : 20.10.2016

    Neeraj Dutta wife of Sh.Pradeep Dutta, resident of B.S. Model School, 3K Road, Ayali Chowk Anand Nagar, Ferozepur Road, Ludhiana.

    …… Complainant

    V e r s u s

    1. M/s Unitech Limited SCO No.189-190-191, Sector 17C, Chandigarh, through its Managing Director.

    2. M/s Unitech Limited, Office 6, Community Centre, Saket, New Delhi-110017, through its Managing Director.

    3. Alice Developers Pvt. Ltd., Registered Office at Basement 6, Community Centre, Saket, New Delhi-

    110017.

    …..Opposite parties

    Argued by:- Sh.Sandeep Khunger, Advocate for the complainant. Sh.R.K. Dogra, Advocate for opposite parties no.1 and 2. Opposite Party no.3 exparte.

    ========================================================

    Complaint case No. : 467 of 2016

    8

    Date of Institution : 17.08.2016
    Date of Decision : 20.10.2016

    Paras Chawla son of Sh.Sudershan Chawla, resident of House No.100, Sector 11A, Chandigarh. …… Complainant

    V e r s u s

    1. Unitech Limited, having its Registered Office at 6, Community Centre, Saket, New Delhi-110017, through its Managing Director/Authorized Signatory.

    2. Unitech Limited, SCO 189-190-191, Sector 17C, Chandigarh, through its Regional Head/Authorized Signatory, Sh.Rakesh Chhabra.

    …..Opposite parties

    Argued by:- Sh.Savinder Singh Gill, Advocate for the complainant. Sh.Ruhani Chadha, Advocate for the opposite parties. ========================================================

    Complaints under Section 17 of the Consumer Protection Act, 1986

    BEFORE: JUSTICE JASBIR SINGH (RETD.), PRESIDENT.

    MR. DEV RAJ, MEMBER.

    MRS. PADMA PANDEY, MEMBER.

    PER JUSTICE JASBIR SINGH (RETD.), PRESIDENT

    By this order, we propose to dispose of the aforesaid thirteen consumer complaints. Arguments were heard in common, in the above cases, as the issues involved therein, except minor variations, here and

    9

    there, of law and facts are the same. In twelve complaints, refund of the deposited amount, alongwith interest, compensation etc. has been claimed by the complainant(s). However, in consumer complaint no.432 of 2016, in the complaint, complainant has sought possession of the unit or in the alternative to refund the amount deposited, alongwith interest, compensation and litigation expenses. Later on, during arguments, Counsel for the complainant in that case also, confined his prayer qua refund of the amount deposited, alongwith interest, compensation and litigation expenses. At the time of arguments, on 13.10.2016, it was agreed between Counsel for all the parties, that, in view of above, these thirteen complaints can be disposed of, by passing a consolidated order.

    2. Under above circumstances, to dictate order, facts are being taken from consumer complaint bearing no.338 of 2016 titled as Dr.Paramvir Singh and another Vs. Unitech Limited and ors. The complainants are husband and wife. It is their case that they wanted to purchase one plot for their family use. For the said purpose, the complainants contacted opposite party no.3 in September 2010. They were informed that the development works in project of the opposite parties, in Sector 107, Mohali, Punjab, is in full swing and possession of the units therein, is likely to be delivered to the intending purchasers by the end of December 2011. They were told that the project launched is approved by the competent authority and construction work, to provide basic amenities, like sewerage, water, electricity etc. is also in full swing. They were further informed that there are some allottees, who wanted to sell their properties and the complainants can purchase a plot of their choice from the said allottees/sellers. The complainants came to know that one Sh.Gurdeep Singh Kalra, who had purchased a plot bearing no.0109, Block B, Boulevard, measuring 358.80 square yards, situated in mega township, Sector 107, Mohali, Punjab, from the opposite parties, vide Buyer's Agreement dated 10.10.2008, wanted to sell it. By that time, Sh.Gurdeep Singh Kalra had already paid an amount of Rs.51,33,894/- to the opposite parties towards part price of the above said plot. The complainants paid the above said amount of Rs.51,33,894/- to Sh.Gurdeep Singh Kalra/the seller, and accordingly the Agreement was endorsed in their favour by the opposite parties on 30.11.2010. Transfer letter of the even date Annexure C-3 was also issued in their favour, on payment of Rs.35,880/-. In the said letter, it was confirmed by the opposite parties that they had received an amount of Rs.51,33,894/- towards price of the plot, from Sh. Gurdeep Singh Kalra, the previous owner. Alongwith the above said letter, payment schedule was also annexed indicating that further two installments were to be made on 01.01.2011 (within 27 months of allotment) and 01.04.2011 (within 30 months of allotment) and rest of the amount was to be paid upon final notice of possession. It is apparent from the Buyer's Agreement dated 10.10.2008, that total sale consideration of the plot was fixed at Rs.58,84,486/-, which included EDC etc. It is positive case of the complainants that thereafter they deposited an amount of Rs.2,61,529/- with opposite party no.3, through demand draft dated 29.12.2010. On receipt of demand letter dated 18.03.2011, the complainants further deposited an amount of Rs.2,61,529/- with opposite party no.3, through demand draft dated 04.04.2011. By that time, they had paid an amount of Rs.56,92,832/-, towards price of the plot purchased by them. It is their case that family of the complainants was living in a rented accommodation. Complainant no.1 is suffering from a serious disease. In view of that, they were making request to the opposite parties, by writing emails, that possession be handed over to them, however, they failed to get any positive response. Article 4.a.(i) of the Agreement reads thus:-

    "(i) That the possession of the Plot shall be delivered by the Developers to the Allottee(s) within 36 months hereof subject to Force Majeure circumstances and upon registration of Sale Deed provided all amounts due and payable by the intending Allottee(s) as provided herein have been paid to the Developers. It is, however, understood between the Parties that various Plots comprised in the Township shall be ready in phases and handed accordingly."

    3. It is necessary to mention here that before delivery of possession, as per Article 4.b., it was incumbent for the opposite parties to give notice to the complainants. In case of delay in handing over possession of the plot, beyond the period of 36 months, subject to force majeure circumstances, it was provided in Article 4.c of the Agreement that penalty @Rs.50/- per square yard per month of the area

    10

    of the plot, for the period of delay shall be paid by the opposite parties, to the complainants.

    4. Till the date of filing of this complaint, neither possession of the plot was offered, nor penalty amount towards delay in delivery of possession was paid to the complainants. In the month of May 2016, the complainants again contacted the opposite parties to know about status of the project and development activities however, they failed to get any positive response. Under above circumstances, by alleging deficiency in providing service, this complaint was filed claiming refund of amount paid i.e. Rs.56,92,832/- alongwith interest @18% p.a. from the date of deposits till realization and delayed compensation @Rs.50/- per square yard, per month, for the period of delay. Besides that, compensation for mental agony and physical harassment alongwith litigation expenses to the tune of Rs.33,000/- were also claimed.

    5. Upon notice, reply was filed by the opposite parties, raising various preliminary objections questioning territorial jurisdiction of this Commission. It was pleaded that as per Article 12.b of the Agreement, only the Courts at Mohali shall have Jurisdiction to entertain and adjudicate the complaint. It is asserted that the plot, in question, was purchased for future gain, as such, the complainants being investors, would not fall within definition of a consumer, as defined under Section 2 (1) (d) of the Consumer Protection Act, 1986. It was further pleaded that in the face of existence of arbitration Clause in the Agreement, to settle disputes between the parties through Arbitration, in terms of provisions of Section 8 (amended) of 1996 Act, this Commission has no jurisdiction to entertain the consumer complaint.

    6. On merits, it was admitted that the complainants had purchased the plot, in question, in the manner, referred to above. Payments made by the complainants are also not disputed. Fact qua price of the unit, as mentioned in the complaint was also not disputed. Execution of Buyer's Agreement, in the first instance, in the name of Gurdeep Singh Kalra, the original allottee, and later on endorsement thereof, in the name of the complainants was admitted. It is stated that the dispute being a contractual one, consumer complaint is not maintainable, and only a Civil Court, could adjudicate the same. It was also not disputed that as per Article 4.a.(i) of the Agreement, possession of the fully developed plot, was to be delivered to the complainants within a period of 36 months, from the date of execution of the same (Agreement), subject to force majeure conditions. It was stated that development activities are in full swing and the opposite parties are ready and willing to give possession of the plot purchased by the complainants, within short span of time. It was further stated that no proper court fees has been paid by the complainants, as required for filing a consumer complaint, before this Commission.

    7. It was also stated that the opposite parties were entitled to reasonable extension of time for delivery of possession of the unit, on account of force majeure circumstances or the reasons beyond their control. The remaining averments are denied, being wrong. It is prayed that the complaint having no substance, be dismissed.

    8. In the rejoinder filed, the complainants reiterated all the averments contained in the complaint and controverted those, contained in written version of the opposite parties.

    9. The parties led evidence in support of their cases.

    10. Counsel for the parties concerned raised arguments in terms of pleadings noted in earlier part of this order, which were heard, in detail.

    11. Perusal of record of the case clearly depicts that the opposite parties have miserably failed to fulfill their promise of delivery of possession of a developed plot, within a period of 36 months from the date of execution of the Agreement, in terms of provisions of Article 4(a)(i) thereof. They have also failed to pay any compensation for the period of delay, in handing over possession of the plot, purchased by the complainants. It is also an admitted fact that the plot, in dispute, was initially allotted to one Sh.Gurdeep Singh Kalra from whom, the complainants purchased the same, on 30.11.2010, by making payment of Rs.51,33,894/-. To get the Agreement dated 10.10.2008 endorsed in their favour, they also paid an amount of Rs.35,880/- to the opposite parties on 30.11.2010. Allotment letter was issued in their favour on the said date and thereafter, as per demands raised, further amount was paid by the complainants, to the opposite parties. When this complaint was filed, against total price of the plot amounting to Rs.58,84,486/-, the complainants had already paid an

    11

    amount of Rs.56,92,832/-, besides amount paid to the tune of Rs.35,880/- for endorsement of the Agreement in their favour. Possession of the plot was to be delivered within a period of 36 months from the date of execution of the Agreement dated 10.10.2008. When plot was purchased by the complainants, time was still available with the opposite parties to hand over possession of the developed plot, as promised. However, it was not done. There is no explanation on record to show that on account of circumstances beyond the control of the opposite parties, possession of the plot could not be delivered to the complainants. The opposite parties are thus, deficient in providing service, to the complainants.

    12. Contention of Counsel for the opposite parties qua lack of territorial jurisdiction of this Commission to entertain and decide the complaint needs rejection. In the Buyer's Agreement, it was specifically stated that the Marketing Office of the Company is situated at SCO 189-90-91, Sector 17- C, Chandigarh. A similar plea raised by the opposite parties qua lack of territorial jurisdiction of this Commission to entertain and decide a complaint filed against them, was earlier rejected by this Commission, vide judgment titled as Mr.Om Parkash Dua and ors. Vs. Unitech Limited and another, decided on 22.08.2016. In that case, it was noted that the Marketing Office of the opposite parties is situated in Chandigarh and the said office was responsible for development and marketing of the project, in question, as such this Commission has got territorial jurisdiction to entertain the complaint. In that case, it was observed by this Commission as under:-

    "Contention of Counsel for opposite party no.1 that this Commission has got no territorial Jurisdiction, to entertain and decide the complaint deserves to be rejected. According to Section 17 of the Act, a consumer complaint could be filed by the complainants, before the State Consumer Disputes Redressal Commission, within the territorial Jurisdiction whereof, a part of cause of action arose to the complainants. It is apparent on record that the Marketing Office of opposite party no.1 is situated at SCO No.189-90-91, Sector 17-C, Chandigarh. In the Buyer's Agreement dated 28.10.2009, description of opposite party no.1 is given as under:-

    "UNITECH LIMITED, a Public Limited Company duly incorporated under the Companies Act 1956, having its Marketing Office at SCO 189-90-91, Sector 17-C, Chandigarh and its Registered Office at 6, Community Centre, Saket, New Delhi 110017 (hereinafter referred to as Unitech/Confirming Party) which expression shall, unless it be repugnant to the context or meaning thereof, be deemed to include its executors, administrators, successors and assigns) acting through its authorized signatory"

    It is clearly mentioned that the Marketing Office of opposite party no.1 is situated at SCO 189-90-91, Sector 17-C, Chandigarh. It has been earlier noticed by this Commission, in the case of Sanjeev Dhir Vs. Unitech Limited, Complaint case No. 177 of 2016, decided on 01.08.2016, that it was the Marketing Office of opposite party no.1 situated at Chandigarh, which was responsible for development and marketing of the project, in question. Taking note of information placed on record, in the above case, it was observed as under:-

    "It is clearly mentioned that the Company has its Marketing Office at SCO 189-90-91, Sector 17-C, Chandigarh. Registered Office is situated at 6, Community Centre, Saket, New Delhi. Be that as it may, as per documents placed on record by the opposite party, alongwith written statement, it becomes apparent that Marketing Office at Chandigarh/opposite party was responsible for development and marketing of the project, in question. Entire correspondence with the Authorities qua development of the project and getting necessary permissions were being taken up by the Officers of the opposite party, posted at Chandigarh. Above fact makes it clear that the Branch Office at Chandigarh was substantially taking up the activities qua the project, in question. Copy of customer ledger account Annexure C-25 in respect of the unit, in question, was also issued by the opposite party at Chandigarh. In para no.1 of the preliminary submission, it is also mentioned that Marketing Office of the Company is situated at Chandigarh. Besides all above, it has been candidly admitted by the opposite party, in

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    para no.24 of its reply on merits, that that all the payments were received from the complainant by Chandigarh Office of the Company. The Hon'ble Supreme Court of India in State of Punjab Vs. Nohar Chand, 1984 SCR (3) 839 held that the Court(s), in whose Jurisdiction, products/goods are marketed, will have the territorial Jurisdiction to entertain and decide a complaint. The principle of law laid down in the aforesaid case is fully applicable to the facts of the present case. In view of fact of Marketing Office of the opposite party at Chandigarh and also as per the documents, referred to above, a part of cause of action, arose to the complainant, at Chandigarh, this Commission has got territorial Jurisdiction to entertain and decide the complaint. The objection taken by the opposite party, in its written version, in this regard, therefore, being devoid of merit, must fail, and the same stands rejected."

    Not only as above, payment of Rs.1,36,695/- vide cheque dated 21.07.2012, was received by the Regional Office of opposite party no.1, at Chandigarh. Photocopy of the cheque with receipt given is available at page 36 of the paper book. Facts narrated above, clearly goes to show that a part of action has accrued to the complainants at Chandigarh i.e. within the territory of this Commission, as such, this Commission has got territorial jurisdiction to entertain and decide the complaint."

    13. Similar view was reiterated by this Commission in a case titled as Amit Kohli and another Vs. Unitech Limited and Ors., complaint case no.210 of 2016, decided on 01.09.2016 and Manmohan Sandhu Vs. Unitech Limited and Ors., complaint case no.284 of 2016 decided on 07.10.2016 (alongwith two connected cases)

    14. Not only as above, it is also on record that after transfer of plot in favour of the complainants on 30.11.2010, the balance amount through two cheques dated 29.12.2010 and 04.04.2011 were received by the opposite parties, in their Regional Office situated at SCO No.189-191, Sector 17-C, Chandigarh. Above fact is apparent on reading the documents Annexures C-5 and C-8. Thus, it is proved on record that substantial amount was received through cheques and otherwise, by Marketing Office of the opposite parties, towards price of the unit, at Chandigarh. In view of above, contention raised by Counsel for the opposite parties, being devoid of merit, is rejected.

    15. In the written version, an objection was also taken by the opposite parties, that as per Article 12.b of the Agreement, the Courts at Mohali, shall have Jurisdiction, to entertain and adjudicate the complaint, and, as such, the Jurisdiction of this Commission was barred. It may be stated here that all the provisions of the Code of Civil Procedure are not applicable, except those, mentioned in Section 13 (4) of the Act, to the proceedings, in a Consumer Complaint, filed under the Act. For determining the territorial jurisdiction, to entertain and decide the complaint, this Commission is bound by the provisions of Section 17 of the Act. In Associated Road Carriers Ltd., Vs. Kamlender Kashyap & Ors., I (2008) CPJ 404 (NC), the principle of law, laid down, by the National Commission, was to the effect, that a clause of Jurisdiction, by way of an agreement, between the Parties, could not be made applicable, to the Consumer Complaints, filed before the Consumer Foras. It was further held, in the said case, that there is a difference between Sections 11/17 of the Act, and the provisions of Sections 15 to 20 of the Civil Procedure Code, regarding the place of jurisdiction. In the instant case, as held above, a part of cause of action arose to the complainant, within the territorial Jurisdiction of this Commission, at Chandigarh. In Ethiopian Airlines Vs Ganesh Narain Saboo, IV (2011) CPJ 43 (SC)= VII(2011)SLT 371, the principle of law, laid down, was that the restriction of Jurisdiction to a particular Court, need not be given any importance in the circumstances of the case. In Cosmos Infra Engineering India Ltd. Vs Sameer Saksena & another I (2013) CPJ 31 (NC) and Radiant Infosystem Pvt. Ltd. & Others Vs D.Adhilakshmi & Anr I (2013) CPJ 169 (NC) the agreements were executed, between the parties, incorporating therein, a condition, excluding the Jurisdiction of any

    13

    other Court/Forum, in case of dispute, arising under the same, and limiting the Jurisdiction to the Courts/Forums at Delhi and Hyderabad. The National Commission, in the aforesaid cases, held that such a condition, incorporated in the agreements, executed between the parties, excluding the Jurisdiction of a particular Court/Forum, and limiting the Jurisdiction to a particular Court/Forum, could not be given any importance, and the complaint could be filed, at a place, where a part of cause of action arose, according to Sections 11/17 of the Act. The principle of law, laid down, in the aforesaid cases, is fully applicable to facts of the instant case. It may also be stated here, that even if, it is assumed for the sake of arguments, that the complainants had agreed to the terms and conditions of the Agreement, limiting the Jurisdiction to the Courts at Mohali, the same could not exclude the Jurisdiction of this Commission, at Chandigarh, where a part of cause of action accrued to the complainants, to file the complaint. The submission of Counsel for the opposite parties, in this regard, therefore, being devoid of merit, must fail, and the same stands rejected.

    16. It is admitted on record as per Article 4.a.(i) of the Agreement, possession of the fully developed unit was to be delivered to the complainants within a period of 36 months, from the date of execution of the same (Agreement), subject to force majeure conditions. The complainants had paid an amount of Rs.56,92,832/-, in the manner, referred to above. Rest of the amount was to be paid on getting final notice of possession of fully developed plot, which was never offered by the opposite parties to the complainants within the stipulated time or even till date.

    17. Contention of Counsel for the complainants that development at the spot is not complete needs acceptance. Possession of the plot has not even been offered to the complainants by the opposite parties, by the stipulated date. It is not a case of the opposite parties that possession of the fully developed plot was ready to be delivered, but the complainants have refused to come forward to accept the same (possession). Rather, in the written statement, it is admitted by the opposite parties that still the plot is not ready for delivery and the development work is still going on. At the time of arguments, Counsel for the opposite parties vehemently contended that possession of the unit will be offered to the complainants within a maximum period of three months. However, he has failed to substantiate his plea raised. Similar contention was taken by the opposite parties, in Amit Kohli and another's case (supra). However, it was rejected by this Commission noting that completion of the project will take long time.

    Not only this, in the present case, there is nothing on record to show that the opposite parties have even applied for getting occupation and completion/partial completion certificates, in respect of the project, in question. In this view of the matter, it is held that the opposite parties by making false promises to the purchasers including the complainants that possession of the plot(s) will be delivered within 36 months from the date of execution of the Agreement, but by not abiding the same, were not only deficient in rendering service but were also guilty of adopting unfair trade practice.

    18. To defeat claim of the complainants, another objection was raised by Counsel for the opposite parties, that the complainants are speculators, as they have purchased the plot, in question, for earning profits i.e. for resale, as and when there is escalation in the prices of real estate, therefore, they would not fall within the definition of consumer, as defined by Section 2 (1) (d) (ii) of the Act. By stating as above, prayer was made to dismiss the complaint. Reliance has also been placed by Counsel for the opposite parties on the judgments of the National Commission, titled as Ved Kumari and anr. Vs. Omaxe Buildhome Pvt. Ltd. and anr., 2014 (2) C.P.J.146, Dr.Pramod Kumar Arora and anr. Vs. DLF Homes Panchkula Pvt. Ltd., 2015 (4) CLT 482, and Saavi Gupta and another Vs. Omaxe Azorim Developers Pvt. Limited and Ors., 2012 (4) CPJ 327, to support the above contention. We have perused the judgments aforesaid and are not concurring with the plea raised. In the case of Ved Kumari and anr. (supra), it has come on record that large number of properties were purchased by the complainant/his family members. Taking note of same, it was stated in that case, that investment was made for future gains. Same is the situation in the case of Dr.Pramod Kumar Arora an anr. (supra). In that case also, it has come on record that the complainants had invested around Rs.12 crores in the project of the builder namely DLF Homes Panchkula Pvt. Limited. The complainants in that case failed to show that they need the properties in question, for their residential use. In Saavi Gupta and another's case (supra), the complainants had purchased four valuable properties including a penthouse

    14

    etc. In that case, the complainants failed to give any explanation, to purchase large number of properties. In the present case, it has been specifically stated by the complainants in their complaint that presently they are residing in a rented accommodation. It is further stated that complainant no.1 is not keeping good health. Before anything bad happens to the family, they would like to raise their own house to live therein.

    Even otherwise, there is nothing, on record to show that the complainants are the property dealers, and are indulged in sale and purchase of property, on regular basis. In the absence of any cogent evidence, in support of the objection raised by the opposite parties, mere bald assertion to that effect, cannot be taken into consideration. In a case titled as Kavita Ahuja Vs. Shipra Estate Ltd. and Jai Krishna Estate Developer Pvt. Ltd. 2016 (1) CPJ 31, by the National Consumer Disputes Redressal Commission, New Delhi, it was held that the buyer(s) of the residential unit(s), would be termed as consumer(s), unless it is proved that he or she had booked the same for commercial purpose. Similar view was reiterated by the National Commission, in DLF Universal Limited Vs Nirmala Devi Gupta, 2016 (2) CPJ 316. Not only as above, recently under similar circumstances, in a case titled as Aashish Oberai Vs. Emaar MGF Land Limited, Consumer Case No. 70 of 2015, decided on 14 Sep 2016, the National Commission, while rejecting similar plea raised by the builder, observed as under:-

    " In the case of the purchase of the houses which a builder undertakes to construct for the buyer, the purchase can be said to be for a commercial purpose where it is shown, by producing evidence, that the buyer is engaged in the business of a buying and selling of houses and or plots as a trading activity, with a view to make profits by sale of such houses or plots. A person cannot be said to have purchased a house for a commercial purpose only by proving that he owns or had purchased more than one houses or plots. In a given case, separate houses may be purchased by a person for the individual use of his family members. A person owning a house in a city A may also purchase a house in city B for the purpose of staying in that house during short visits to that city. A person may buy two or three houses if the requirement of his family cannot be met in one house. Therefore, it would not be correct to say that in every case where a person owns more than one house, the acquisition of the house is for a commercial purpose. In fact, this was also the view taken by this Commission in Rajesh Malhotra & Ors. Vs. Acron Developers Pvt. Ltd. & Ors. First Appeal No. 1287 of 2014 decided on 05.11.2015."

    The principle of law, laid down, in the aforesaid cases, is fully applicable to the present case. The complainants, thus, fall within the definition of 'consumer', as defined under Section 2(1)(d) of the Act. Such an objection, taken by the opposite parties, in their written reply, therefore, being devoid of merit, is rejected.

    19. Another objection was raised by Counsel for the opposite parties, that the dispute being related to contractual matter, the consumer complaint is not maintainable, and only a Civil Court can decide the case. It may be stated here, that the complainants hired the services of the opposite parties for purchasing a plot, in the manner, referred to above. According to Article 4.a.(i) of the Agreement, physical possession of the fully developed plot, was to be delivered by the opposite parties within a period of 36 months, from the date of execution of the same (Agreement) i.e. latest by 09.10.2011 alongwith all basic amenities as mentioned in Article 2.a.(ii) of the Agreement. In Narne Construction P. Ltd., etc. etc. Vs. Union Of India and Ors. Etc., II (2012) CPJ 4 (SC), it was held that when a person applies for the allotment of a building or site or for a flat constructed by the Development Authority and enters into an agreement with the Developer, or the Contractor, the nature of transaction is covered by the expression 'service' of any description. Housing construction or building activity carried on by a private or statutory body constitutes 'service' within the ambit of Section 2(1)(o) of the Act. Similar principle of law, was laid down, in Haryana Agricultural Marketing Board Vs. Bishambar Dayal Goyal & Ors. (AIR 2014 S.C. 1766). Under these circumstances, the complaint involves the consumer dispute, and the same is maintainable. Not only this, Section 3 of the 1986 Act, provides an alternative remedy. Even if, it is assumed that the complainants have a remedy to file a

    15

    suit, in the Civil Court, the alternative remedy provided under Section 3 of the Act, can also be availed of by them, as they fall within the definition of consumer. In this view of the matter, the objection of the opposite parties, in this regard, being devoid of merit, must fail, and the same stands rejected.

    20. The next question, that falls for consideration, is, as to whether, in the face of existence of arbitration Clause in the Agreement, to settle disputes between the parties through Arbitration, in terms of provisions of Section 8 (amended) of 1996 Act, this Commission has no jurisdiction to entertain the consumer complaint.

    To decide above said question, it is necessary to reproduce the provisions of Section 3 of the Consumer Protection Act 1986 (in short the Act), which reads as under;

    "3. Act not in derogation of any other law.— The provisions of this Act shall be in addition to and not in derogation of the provisions of any other law for the time being in force." It is also desirable to reproduce unamended provisions of Section 8 of 1996 Act, which reads thus:-

    "8. Power to refer parties to arbitration where there is an arbitration agreement.—

    (1) A judicial authority before which an action is brought in a matter which is the subject of an arbitration agreement shall, if a party so applies not later than when submitting his first statement on the substance of the dispute, refer the parties to arbitration.

    (2) The application referred to in sub-section (1) shall not be entertained unless it is accompanied by the original arbitration agreement or a duly certified copy thereof.

    (3) Notwithstanding that an application has been made under sub-section (1) and that the issue is pending before the judicial authority, an arbitration may be commenced or continued and an arbitral award made."

    21. Many a times, by making reference to the provisions of Section 8 of 1996 Act, in the past also, such objections were raised and the Hon'ble Supreme Court of India, when interpreting the provisions of Section 3 of 1986 Act, in the cases of Fair Air Engg. Pvt. Ltd. & another Vs. N. K. Modi (1996) 6 SCC 385, C.C.I Chambers Coop. Housing Society Ltd. Vs Development Credit Bank Ltd. (2003) 7 SCC 233, Rosedale Developers Private Limited Vs. Aghore Bhattacharya and others, (Civil Appeal No.20923 of 2013) etc., came to a conclusion that the remedy provided under Section 3 of 1986 Act, is an independent and additional remedy and existence of an arbitration clause in the agreement, to settle disputes, will not debar the Consumer Foras, to entertain the complaints, filed by the consumers.

    22. In the year 2015, many amendments were effected in the provisions of 1996 Act. After amendment, Section 8 of 1996 Act, reads as under:-

    "8. Power to refer parties to arbitration where there is an arbitration agreement.—

    (1) A judicial authority, before which an action is brought in a matter which is the subject of an arbitration agreement shall, if a party to the arbitration agreement or any person claiming through or under him, so applies not later than the date of submitting his first statement on the substance of the dispute, then, notwithstanding any judgment, decree or order of the Supreme Court or any Court, refer the parties to arbitration unless it finds that prima facie no valid arbitration agreement exists."

    23. Now it is to be seen, whether, after amendment in Section 8 of the principal Act, any additional right has accrued to the service provider(s), to say that on account of existence of arbitration agreement, for settling the disputes through an Arbitrator, the Consumer Foras have no jurisdiction to

    16

    entertain a consumer complaint. As has been held by Hon'ble Supreme Court of India, in various cases, and also of the National Commission, in large number of judgments, Section 3 of the 1986 Act, provides additional remedy, notwithstanding any other remedy available to a consumer. The said remedy is also not in derogation to any other Act/Law.

    24. Now, we will have to see what difference has been made by the amendment, in the provisions of Section 8 of 1996 Act. After amendment, it reads that a Judicial Authority is supposed to refer the matter to an Arbitrator, if there exists an arbitration clause in the agreement, notwithstanding any judgment, decree, order of the Hon'ble Supreme Court of India, or any other Court, unless it finds that prima facie, no valid arbitration agreement exists. The legislation was alive to the ratio of the judgments, as referred to above, in earlier part of this order. Vide those judgments, it is specifically mandated that under Section 3 of 1986 Act, an additional remedy is available to the consumer(s), which is not in derogation to any other Act. As and when any argument was raised, the Hon'ble Supreme Court of India and the National Commission in the judgments, referred to above, have made it very clear that in the face of Section 8 of 1996 Act and existence of arbitration agreement, it is still opened to the Consumer Foras to entertain the consumer complaints. None of the judgments ever conferred any jurisdiction upon the Consumer Foras to entertain such like complaints. Only the legal issues, as existed in the Statute Book, were explained vide different judgments. If we look into amended provisions of Section 8 of the principal Act, it explains that judicial Authority needs to refer dispute, in which arbitration agreement exist to settle the disputes notwithstanding any judgment/decree or order of any Court. That may be true where in a case, some order has been passed by any Court, making arbitration Agreement non-applicable to a dispute/parties. However, in the present case, the above said argument is not available. The jurisdiction of Consumer Foras to entertain consumer complaints, in the face of arbitration clause in the Agreement, is in-built in 1986 Act. It was not given to these Foras, by any judgment ever. The provisions of Section 3 of 1986 Act interpreted vide judgments vis a vis Section 8 of un-amended 1996 Act, were known to the legislature, when the amended Act 2015 was passed. If there was any intention on the part of the legislature, then it would have been very conveniently provided that notwithstanding any remedy available in 1986 Act, it would be binding upon the judicial Authority to refer the matter to an Arbitrator, in case of existence of arbitration agreement, however, it was not so said.

    25. We can deal with this issue, from another angle also. If this contention raised is accepted, it will go against the basic spirit of 1986 Act. The said Act (1986) was enacted to protect poor consumers against might of the service providers/multinational companies/traders. As in the present case, the complainants have spent their life savings to get a plot, for their residential purpose. Their hopes were shattered. Litigation in the Consumer Fora is cost effective. It does not involve huge expenses and further it is very quick. A complaint in the State Commission can be filed, by making payment between Rs.2000/- to Rs.4000/- (in the present case Rs.4000/-). As per the mandate of 1986 Act, a complaint is supposed to be decided within three months, from the date of service to the opposite party. In cases involving ticklish issues (like the present one, maximum not more than six months to seven months time can be consumed), whereas, to the contrary, as per the principal Act (1996 Act), the consumer will be forced to incur huge expenses towards his/her share of Arbitrator's fees. Not only as above, it is admissible to an Arbitrator, to decide a dispute within one year. Thereafter, the Court wherever it is challenged may also take upto one year and then there is likelihood that the matter will go to the High Court or the Hon'ble Supreme Court of India. Such an effort will be a time consuming and costly one. Taking note of fee component and time consumed in arbitration, it can safely be said that if the matter is referred to an Arbitrator, as prayed, in the present case, it will defeat the very purpose of the provisions of 1986 Act.

    26. The 1986 Act provides for better protection of interests and rights of the consumers. For the said purpose, the Consumer Foras were created under the Act. In Section 3 of 1986 Act, it is clearly provided that the said provision is in addition to and not in derogation of any provisions of any other law, for the time being in force. The 1986 Act is special legislation qua the consumers. The poor consumers are not expected to fight the might of multinational companies/traders, as those entities have lot of resources at their command. As stated above, in the present case, the complainants have spent their entire life earnings to purchase the plot, in question, in the said project, launched by the opposite parties. However, their hopes were shattered, when despite making substantial payment of

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    the sale consideration, they failed to get possession of the fully developed plot, in question, in the said project. As per ratio of the judgments in the case of Secretary, Thirumurugan Cooperative Agricultural Credit Society v. M. Lalitha (2004) 1 SCC 305 and United India Insurance Co. Ltd. Vs. M/s Pushpalaya Printers, I (2004) CPJ 22 (SC), and LIC of India and another Vs. Hira Lal, IV (2011) CPJ 4 (SC), the consumers are always in a weak position, and in cases where two interpretations are possible, the one beneficial to the consumer needs to be accepted. The opinion expressed above, qua applicability of Section 8 (amended) of 1996 Act, has been given keeping in mind the above said principle.

    27. Not only this, recently, it was also so said by the National Commission, in a case titled as Lt. Col. Anil Raj & anr. Vs. M/s. Unitech Limited, and another, Consumer Case No.346 of 2013, decided on 02.05.2016. Relevant portion of the said case, reads thus:-

    "In so far as the question of a remedy under the Act being barred because of the existence of Arbitration Agreement between the parties, the issue is no longer res-integra. In a catena of decisions of the Hon'ble Supreme Court, it has been held that even if there exists an arbitration clause in the agreement and a Complaint is filed by the consumer, in relation to certain deficiency of service, then the existence of an arbitration clause will not be a bar for the entertainment of the Complaint by a Consumer Fora, constituted under the Act, since the remedy provided under the Act is in addition to the provisions of any other law for the time being in force. The reasoning and ratio of these decisions, particularly in Secretary, Thirumurugan Cooperative Agricultural Credit Society Vs. M. Lalitha (Dead) Through LRs. & Others - (2004) 1 SCC 305; still holds the field, notwithstanding the recent amendments in the Arbitration and Conciliation Act, 1986. [Also see: Skypak Couriers Ltd. Vs. Tata Chemicals Ltd. - (2000) 5 SCC 294 and National Seeds Corporation Limited Vs. M. Madhusudhan Reddy & Anr. - (2012) 2 SCC 506.] It has thus, been authoritatively held that the protection provided to the Consumers under the Act is in addition to the remedies available under any other Statute, including the consentient arbitration under the Arbitration and Conciliation Act, 1986."

    In view of the above, objection raised by Counsel for the opposite parties, that in the face of existence of arbitration clause in the Agreement, to settle disputes between the parties through Arbitration, in terms of provisions of Section 8 (amended) of 1996 Act, this Commission has no jurisdiction to entertain the consumer complaint, being devoid of merit, is rejected.

    28. It is to be further seen, as to whether, interest on the amount deposited, can be granted in favour of the complainants. It is not in dispute that an amount of Rs.56,92,832/- was paid by the complainants, in the manner explained above, without getting anything, in lieu thereof. The said amount has been used by the opposite parties for their own benefit. There is no dispute that for making delayed payments, the opposite parties were charging heavy rate of interest (compounded quarterly @18%) as per Article 2.c. of the Agreement, for the period of delay in making payment of instalments. It is well settled law that whenever money has been received by a party and when its refund is ordered, the right to get interest follows, as a matter of course. The obligation to refund money received and retained without right implies and carries with it, the said right. It was also so said by the Hon'ble Supreme Court of India, in UOI vs. Tata Chemicals Ltd (Supreme Court), (2014)

    6 SCC 335 decided on March 20th, 2014 (2014) 6 SCC 335). Under these circumstances, the complainants are held entitled to refund of the amount paid alongwith interest. In this view of the matter, the opposite parties are also liable to compensate the complainants, for causing them mental agony and physical harassment.

    29. Now it is to be seen, as to from which date, interest is payable to the complainants. It is on record that initially, the plot in question was allotted to one Sh.Gurdeep Singh Kalra, from whom, the complainants have purchased it on 30.11.2010. Thereafter, as stated above, some more amount was paid by the complainants towards price of the plot, to the opposite parties. In all, the complainants are claiming refund of an amount of Rs.56,92,832/- alongwith interest. In such circumstances, from which date, interest can be awarded, this issue came up for consideration, before this Commission in Darbara

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    Singh and ors. Vs. Emaar MGF Land Limited, and Ors., Complaint case No. 147 of 2016, decided on 22.08.2016 (connected case). In that case, this Commission while granting interest to the complainant, from the date of endorsement of the unit (as he was subsequent purchaser of the unit), on the amounts actually paid by him, held as under:-

    "No doubt, Plot Buyer's Agreement was executed between the original allottee and the Opposite Parties on 20.06.2007, the complainant is a subsequent allottee and she made all the payments on 14.03.2011 and the Plot Buyer's Agreement was endorsed in favour of the complainant on 14.03.2011. Counsel for the Opposite Parties has vehemently argued that as per the Agreement, three years stipulated period for handing over of possession of the unit stood expired in June, 2010 and whereas the complainant purchased the same in March, 2011 and all the payments were made by the complainant at the time of endorsement in March, 2011 only and, therefore, she is entitled to interest on the deposited amount from the date she purchased the unit, in question, in March, 2011. Moreover, it is very clear that the relevant transfer formalities of the unit, in question, took place in the year 2011 much after the original expected date of possession i.e. June, 2010, whereby, the complainant is very well aware of the delay caused in handing over of the possession and yet chose to get the unit endorsed in her favour in March, 2011."

    30. Similar view was reiterated by this Commission, in Lt.Col. Dalvinder Singh, Vs. Puma Realtors Pvt. Ltd., and another, Complaint case No. 230 of 2016, decided on 02.09.2016 and Sandeep Goyal Vs. M/s Puma Realtors Private Limited, complaint case no.339 of 2016, decided on 07.10.2016. In the present case also, right to get interest will accrue to the complainants from the date, when they have purchased the plot, in dispute, and paid amount to the original allottee, followed by remaining amount paid by them, thereafter, to the opposite parties. Whatever interest was due or may have accrued in favour of the original allottee (Sh.Gurdeep Singh Kalra), he decided not to claim it, when he had sold the unit to the complainants, on receipt of amount paid to him i.e. Rs.51,33,894/-. May be it was a distress sale against which the plot was purchased by the complainants. The complainants paid an amount of Rs.51,33,894/- to the original allottee on 30.11.2010. They also paid an amount of Rs.35,880/- to get the endorsement on Agreement in their favour. In this manner, they are entitled to get interest from the date when the amount was actually paid by them. Benefit of amount paid whereof 2008 upto the date of purchase of the plot by the complainants, qua interest cannot be extended in their favour. If we order so, it would amount to undue enrichment granted to the complainants. Under these circumstances, it is held that the amount paid by the complainants to the original allottee plus amount paid thereafter to the opposite parties, shall be refunded to the complainants with interest, in the manner held above. Same is the situation in two other complaints titled as consumer complaint nos.360 of 2016 and 467 of 2016. In those cases also, the interest on the deposited amount, will be payable to the complainants therein, in the manner, referred to above.

    31. No doubt, an objection was also taken by the opposite parties, in their written version, that since the requisite Court fees, has not been paid by the complainants, the complaint is liable to be dismissed, on this ground alone. The objection taken by the opposite parties, in this regard, does not merit acceptance. It may be stated here, that according to Rule 9A (2) of the Consumer Protection Rules, 1987, if the total value of goods or services and the compensation claimed, is above fifty lacs and upto one crore, the amount of fee payable is Rs.4000/-. As per the aggregate value of relief claimed by the complainants, in the instant complaint, it fell above fifty lacs and below one crore, meaning thereby that the complainants were required to pay a sum of Rs.4,000/-, as Court fees. It is evident, from the record, that a sum of Rs.4000/-, vide Demand Draft dated 05.07.2016, was deposited by the complainants. The correct fee was, thus, paid by the complainants. The objection taken by the opposite parties, in this regard, therefore, being devoid of merit, is rejected.

    32. Once it has been held that the complainants are entitled to refund of the amount deposited alongwith interest, from the date of respective deposits by them and compensation for mental agony and physical harassment, they are not entitled for additional compensation sought by them @Rs.50/-

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    per square yard, per month of the area of plot, for the period of delay in delivery of possession. Had the complainants sought possession of the plot, in question, only in those circumstances, they would have been held entitled to compensation/penalty for the period of delay, in delivery of possession of the plot and that too, as per the settled law. In this view of the matter, prayer made by the complainants, in this regard, stands rejected.

    33. No other point, was urged, by Counsel for the parties concerned.

    34. For the reasons recorded above, all the above complaints are partly accepted, with costs, in the following manner:-

    Consumer complaint no.338 of 2016 titled as Dr.Paramvir Singh and another Vs. Unitech Limited and ors. The opposite parties are jointly and severally directed as under:-

    1. To refund the amount Rs.56,92,832/- to the complainants, alongwith interest @15% compounded quarterly, from the respective dates of payment made by the complainants i.e. from the date of payment made at the time of transfer/endorsement of the unit, in question, and thereafter onwards.

    1. To pay compensation, in the sum of Rs.2 (two) lacs, for causing mental agony and physical harassment, to the complainants, as also escalation in prices.

    2. To pay cost of litigation, to the tune of Rs.33,000/- (as prayed) to the complainants.

    3. The payment of awarded amounts mentioned at sr.nos.(i) to (iii), shall be made, within a period of 02 (two) months from the date of receipt of a certified copy of this order, failing which, the amount mentioned at sr.no.(i) shall carry penal interest @18% compounded quarterly, instead of @15%, in the manner explained therein and interest @15% compounded quarterly, on the amounts mentioned at sr.nos.(ii) and (iii), from the date of filing of this complaint, till realization.

    Consumer complaint no.293 of 2016 titled as Rajnish Jain Vs. M/s Unitech Limited and anr. The opposite parties are jointly and severally directed as under:-

    1. To refund the amount Rs.81,26,610/- to the complainant, alongwith interest @15% compounded quarterly, from the respective dates of deposits onwards.

    2. To pay compensation, in the sum of Rs.2 (two) lacs, for causing mental agony and physical harassment, to the complainant, as also escalation in prices.

    3. To pay cost of litigation, to the tune of Rs.50,000/- to the complainant.

    4. The payment of awarded amounts mentioned at sr.nos.(i) to (iii), shall be made, within a period of 02 (two) months from the date of receipt of a certified copy of this order, failing which, the amount mentioned at sr.no.(i) shall carry penal interest @18% compounded quarterly, instead of @15%, from the respective dates of deposits onwards, and interest @15% compounded quarterly, on the amounts mentioned at sr.nos.(ii) and (iii), from the date of filing of this complaint, till realization.

    Consumer complaint no.294 of 2016 titled as Rajnish Jain Vs. M/s Unitech Limited and anr.. The opposite parties are jointly and severally directed as under:-

    1. To refund the amount Rs.81,26,610/- to the complainant, alongwith interest @15% compounded quarterly, from the respective dates of deposits onwards.

    2. To pay compensation, in the sum of Rs.2 (two) lacs, for causing mental agony and physical

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    harassment, to the complainant, as also escalation in prices.

    3. To pay cost of litigation, to the tune of Rs.50,000/-to the complainant.

    4. The payment of awarded amounts mentioned at sr.nos.(i) to (iii), shall be made, within a period of 02 (two) months from the date of receipt of a certified copy of this order, failing which, the amount mentioned at sr.no.(i) shall carry penal interest @18% compounded quarterly, instead of @15%, from the respective dates of deposits onwards, and interest @15% compounded quarterly, on the amounts mentioned at sr.nos.(ii) and (iii), from the date of filing of this complaint, till realization.

    Consumer complaint no.295 of 2016 titled as Smt.Pooja Jain Vs. M/s Unitech Limited and anr. The opposite parties are jointly and severally directed as under:-

    1. To refund the amount Rs.85,46,825/- to the complainant, alongwith interest @15% compounded quarterly, from the respective dates of deposits onwards.

    2. To pay compensation, in the sum of Rs.2 (two) lacs, for causing mental agony and physical harassment, to the complainant, as also escalation in prices.

    3. To pay cost of litigation, to the tune of Rs.50,000/- to the complainant.

    4. The payment of awarded amounts mentioned at sr.nos.(i) to (iii), shall be made, within a period of 02 (two) months from the date of receipt of a certified copy of this order, failing which, the amount mentioned at sr.no.(i) shall carry penal interest @18% compounded quarterly, instead of @15%, from the respective dates of deposits onwards, and interest @15% compounded quarterly, on the amounts mentioned at sr.nos.(ii) and (iii), from the date of filing of this complaint, till realization.

    Consumer complaint no.296 of 2016 titled as Sat Pal Vs. M/s Unitech Limited and anr. The opposite parties are jointly and severally directed as under:-

    1. To refund the amount Rs.85,46,825/- to the complainant, alongwith interest @15% compounded quarterly, from the respective dates of deposits onwards.

    2. To pay compensation, in the sum of Rs.2 (two) lacs, for causing mental agony and physical harassment, to the complainant, as also escalation in prices.

    3. To pay cost of litigation, to the tune of Rs.50,000/- to the complainant.

    4. The payment of awarded amounts mentioned at sr.nos.(i) to (iii), shall be made, within a period of 02 (two) months from the date of receipt of a certified copy of this order, failing which, the amount mentioned at sr.no.(i) shall carry penal interest @18% compounded quarterly, instead of @15%, from the respective dates of deposits onwards, and interest @15% compounded quarterly, on the amounts mentioned at sr.nos.(ii) and (iii), from the date of filing of this complaint, till realization.

    Consumer complaint no.297 of 2016 titled as Smt.Aruna Jain Vs. M/s Unitech Limited and anr. The opposite parties are jointly and severally directed as under:-

    1. To refund the amount Rs.81,26,610/- to the complainant, alongwith interest @15% compounded quarterly, from the respective dates of deposits onwards.

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    2. To pay compensation, in the sum of Rs.2 (two) lacs, for causing mental agony and physical harassment, to the complainant, as also escalation in prices.

    3. To pay cost of litigation, to the tune of Rs.50,000/- to the complainant.

    4. The payment of awarded amounts mentioned at sr.nos.(i) to (iii), shall be made, within a period of 02 (two) months from the date of receipt of a certified copy of this order, failing which, the amount mentioned at sr.no.(i) shall carry penal interest @18% compounded quarterly, instead of @15%, from the respective dates of deposits onwards, and interest @15% compounded quarterly, on the amounts mentioned at sr.nos.(ii) and (iii), from the date of filing of this complaint, till realization.

    Consumer complaint no.298 of 2016 titled as Manish Jain Vs. M/s Unitech Limited and anr. The opposite parties are jointly and severally directed as under:-

    1. To refund the amount Rs.85,46,825/- to the complainant, alongwith interest @15% compounded quarterly, from the respective dates of deposits onwards.

    2. To pay compensation, in the sum of Rs.2 (two) lacs, for causing mental agony and physical harassment, to the complainant, as also escalation in prices.

    3. To pay cost of litigation, to the tune of Rs.50,000/- to the complainant.

    4. The payment of awarded amounts mentioned at sr.nos.(i) to (iii), shall be made, within a period of 02 (two) months from the date of receipt of a certified copy of this order, failing which, the amount mentioned at sr.no.(i) shall carry penal interest @18% compounded quarterly, instead of @15%, from the respective dates of deposits onwards, and interest @15% compounded quarterly, on the amounts mentioned at sr.nos.(ii) and (iii), from the date of filing of this complaint, till realization.

    Consumer complaint no.299 of 2016 titled as Smt.Aarti Jain Vs. M/s Unitech Limited and anr. The opposite parties are jointly and severally directed as under:-

    1. To refund the amount Rs.81,26,610/- to the complainant, alongwith interest @15% compounded quarterly, from the respective dates of deposits onwards.

    2. To pay compensation, in the sum of Rs.2 (two) lacs, for causing mental agony and physical harassment, to the complainant, as also escalation in prices.

    3. To pay cost of litigation, to the tune of Rs.50,000/- to the complainant.

    4. The payment of awarded amounts mentioned at sr.nos.(i) to (iii), shall be made, within a period of 02 (two) months from the date of receipt of a certified copy of this order, failing which, the amount mentioned at sr.no.(i) shall carry penal interest @18% compounded quarterly, instead of @15%, from the respective dates of deposits onwards, and interest @15% compounded quarterly, on the amounts mentioned at sr.nos.(ii) and (iii), from the date of filing of this complaint, till realization.

    Consumer complaint no.432 of 2016 titled as Rohit Vohra Vs. Unitech Limited and ors. The opposite parties (Opposite parties no.1 to 3) are jointly and severally directed as under:-

    1. To refund the amount Rs.40,41,918/- to the complainant, alongwith interest @12% p.a. (as prayed), from the respective dates of deposits onwards.

    2. To pay compensation, in the sum of Rs.2 (two) lacs, for causing mental agony and physical harassment, to the complainant, as also escalation in prices.

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    3. To pay cost of litigation, to the tune of Rs.50,000/- to the complainant.

    4. The payment of awarded amounts mentioned at sr.nos.(i) to (iii), shall be made, within a period of 02 (two) months from the date of receipt of a certified copy of this order, failing which, the amount mentioned at sr.no.(i) shall carry penal interest @15% p.a., instead of @12% p.a., from the respective dates of deposits onwards, and interest @12% p.a., on the amounts mentioned at sr.nos.(ii) and (iii), from the date of filing of this complaint, till realization.

    Consumer complaint no.360 of 2016 titled as Ritu Raj Jalali and anr. Vs. Unitech Limited. The opposite party is directed as under:-

    1. To refund the amount Rs.53,25,343/- to the complainants, alongwith interest @13% p.a. (as prayed), from the respective dates of payment made by the complainants i.e. from the date of payment made at the time of transfer/endorsement of the unit, in question, and thereafter onwards.

    2. To pay compensation, in the sum of Rs.2 (two) lacs, for causing mental agony and physical harassment, to the complainants, as also escalation in prices.

    3. To pay cost of litigation, to the tune of Rs.50,000/- to the complainants.

    4. The payment of awarded amounts mentioned at sr.nos.(i) to (iii), shall be made, within a period of 02 (two) months from the date of receipt of a certified copy of this order, failing which, the amount mentioned at sr.no.(i) shall carry penal interest @16% p.a., instead of @13% p.a., in the manner explained therein and interest @13% p.a., on the amounts mentioned at sr.nos.(ii) and (iii), from the date of filing of this complaint, till realization.

    Consumer complaint no.362 of 2016 titled as Brij Nandan Singh Walia and anr. Vs. M/s Unitech Limited. The opposite party is directed as under:-

    1. To refund the amount Rs.51,74,452/- to the complainants, alongwith interest @15% compounded quarterly, from the respective dates of deposits onwards.

    2. To pay compensation, in the sum of Rs.2 (two) lacs, for causing mental agony and physical harassment, to the complainants, as also escalation in prices.

    3. To pay cost of litigation, to the tune of Rs.50,000/- to the complainants.

    4. The payment of awarded amounts mentioned at sr.nos.(i) to (iii), shall be made, within a period of 02 (two) months from the date of receipt of a certified copy of this order, failing which, the amount mentioned at sr.no.(i) shall carry penal interest @18% compounded quarterly, instead of @15%, from the respective dates of deposits onwards, and interest @15% compounded quarterly, on the amounts mentioned at sr.nos.(ii) and (iii), from the date of filing of this complaint, till realization.

    Consumer complaint no.433 of 2016 titled as Neeraj Dutta Vs. M/s Unitech Limited and ors. The opposite parties (Opposite parties no.1 to 3) are jointly and severally directed as under:-

    1. To refund the amount Rs.27,99,203/- to the complainant, alongwith interest @15% compounded quarterly, from the respective dates of deposits onwards.

    2. To pay compensation, in the sum of Rs.2 (two) lacs, for causing mental agony and physical harassment, to the complainant, as also escalation in prices.

    3. To pay cost of litigation, to the tune of Rs.50,000/- to the complainant.

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    4. The payment of awarded amounts mentioned at sr.nos.(i) to (iii), shall be made, within a period of 02 (two) months from the date of receipt of a certified copy of this order, failing which, the amount mentioned at sr.no.(i) shall carry penal interest @18% compounded quarterly, instead of @15%, from the respective dates of deposits onwards, and interest @15% compounded quarterly, on the amounts mentioned at sr.nos.(ii) and (iii), from the date of filing of this complaint, till realization.

    Consumer complaint no.467 of 2016 titled as Paras Chawla Vs. Unitech Limited and anr. The opposite parties are jointly and severally directed as under:-

    1. To refund the amount Rs.85,16,117/- to the complainant, alongwith interest @15% compounded quarterly, from the respective dates of payments made by the complainant i.e. from the date of payment made at the time of endorsement of the unit, in question, and thereafter onwards.

    2. To pay compensation, in the sum of Rs.2 (two) lacs, for causing mental agony and physical harassment, to the complainant, as also escalation in prices.

    3. To pay cost of litigation, to the tune of Rs.50,000/- to the complainant.

    4. The payment of awarded amounts mentioned at sr.nos.(i) to (iii), shall be made, within a period of 02 (two) months from the date of receipt of a certified copy of this order, failing which, the amount mentioned at sr.no.(i) shall carry penal interest @18% compounded quarterly, instead of @15%, in the manner explained therein and interest @15% compounded quarterly, on the amounts mentioned at sr.nos.(ii) and (iii), from the date of filing of this complaint, till realization.

    35. However, it is made clear that, if the complainants, in above cases, have availed loan facility from any banking or financial institution, for making payment of installments towards the said unit, it will have the first charge of the amount payable, to the extent, the same is due to be paid by them (complainants).

    36. Certified copy of this order be placed on the connected complaint files.

    37. Certified Copies of this order be sent to the parties, free of charge.

    38. The file be consigned to Record Room, after completion. Pronounced

    20.10.2016

    Sd/-

    [JUSTICE JASBIR SINGH (RETD.)]

    PRESIDENT

    Sd/-

    (DEV RAJ)

    MEMBER

    24

    Sd/-

    (PADMA PANDEY)

    MEMBER

    Rg.

    Top of Form

    STATE CONSUMER DISPUTES REDRESSAL COMMISSION,

    U.T., CHANDIGARH

    Complaint case No. : 294 of 2016
    Date of Institution : 24.06.2016
    Date of Decision : 20.10.2016

    Rajnish Jain son of Shri Sat Pal Jain, aged 44 years, SCO No.853, Shivalik Enclave, NAC, Manimajra, Chandigarh.

    …… Complainant

    V e r s u s

    1. M/s Unitech Limited, through its Chairman, having its Marketing Office at SCO No. 189-190-191, Sector 17C, Chandigarh.

    2. M/s Unitech Limited, through its Managing Director, having its Registered Office at 6, Community Centre, Saket, New Delhi.

    …..Opposite parties

    Complaint under Section 17 of the Consumer Protection Act, 1986

    BEFORE: JUSTICE JASBIR SINGH (RETD.), PRESIDENT.

    MR. DEV RAJ, MEMBER.

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    MRS. PADMA PANDEY, MEMBER.

    Argued by:- Sh.Sanjeev Sharma, Advocate for the complainant. Sh.Ruhani Chadha, Advocate proxy for Sh.Rahul Bhargava, Advocate for the opposite parties.

    PER JUSTICE JASBIR SINGH (RETD.), PRESIDENT

    Vide our separate detailed order of the even date, recorded in consumer complaint bearing no.338 of 2016 titled as Dr.Paramvir Singh and another Vs. Unitech Limited and ors. this complaint has been party accepted with costs.

    2. Certified copy of the order passed in consumer complaint bearing No.338 of 2016, shall also be placed on this file.

    3. Certified copies of this order, alongwith the main order passed in consumer complaint bearing No.338 of 2016, be sent to the parties, free of charge.

    4. The file be consigned to Record Room, after completion.

    Sd/- Sd/- Sd/-

    (DEV RAJ) (JUSTICE JASBIR SINGH (RETD.))

    (PADMA PANDEY)

    MEMBER

    PRESIDENT

    MEMBER

    Rg.

    26

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    Rajnish Jain v. M/s Unitech Limited
    (Oct 20, 2016)