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Buyers who have not paid their construction instalments

(Querist) 12 August 2012 This query is : Resolved 
In an housing complex where the builder has not finished common facilities. When asked for the builder cites buyers not paying the entire construction cost yet have given possession of the flat. Asks the Residents Welfare Association (RWA) to approach and the collect the balance so that this can be utilised for unfinished work. But, the RWA is unwilling to cooperate citing the builder's responsibility and takes the issue to General body where those who need the facilities are not able to muster enough support because the members suffering are small in number. But, certain unfinished common facilities are attended by the RWA using the maintenance funds. Can the issue of non payment of full cost by the flat owners be taken to a court of law as this vicariously affects others members who have paid the construction instalments as and when called for (as per the payment schedule) even before occupation. Can a direction be given by a court to the RWA to collect the defaulted construction instalments. The builder has already given the list of pending payments to the RWA. Portion of such Funds already collected are lying idle. Pl. advise. Thanks.

Dear S/Shri Devajyothi Barman, Minansu Bhadra and Rajkumar Makkad,
Thanks for the advice. The RWA is registered under Tamil Nadu Cooperative Societies Act. Also, is it legal and proper to have an RWA, if the completion certificate is not obtained from the Govt. Authorities. Further, can the RWA been retrained from undertaking works left unfinished using maintenance funds while blocking work (such as installation of lifts) on other common facilities?
Devajyoti Barman (Expert) 12 August 2012
Under what act the RWA has been registered?
The best thing to do the unfinished job is to file case before the consumer forum where the forum would direct to finish the left over works but on payment of balance payment.
Try to make all the flat owners party to the case for passing necessary direction on every member of RWA.
Advocate M.Bhadra (Expert) 12 August 2012
File a case in District Consumer Forum against the builder for deficiency of service or file a suit in Civil Court for Specific Performance of Contract,but best option is Consumer Forum.
Raj Kumar Makkad (Expert) 12 August 2012
Collection of the balance amount of agreement from the allottees vests with the builder. He is entitled to file the civil suit against those persons and recover the amount but he cannot disown his duty towards the other persons who have paid him full amount but builder has failed to complete the agreed construction. You all have a good case to file consumer complaint against the builder. You can also make the RWA as party to that complaint so that entire issues may be discussed at one platform.


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