Escalation
Deepak
(Querist) 19 August 2012
This query is : Resolved
I booked a flat in Tilak Nagar, Mumbai in Jan 2008 in redevelopment project. As per Agreement for Sale possession was to be given in Dec 2008. However, the developer could not complete in time due to differences with old owners on compensation for one more wing on the same premises. Now the dispute with old owners is settled & the developer has assured possession in Dec 2012 and asking us for escalation in cost which is 20% of the agreement value. He has sent a legal notice quoting clause in the agreement to pay additional cost else the agreement would be terminated without any compensation. We have been paying rent due to possession has been delayed & on top of this rather than compensating us for rent the developer is asking for escalation for no fault of ours. Please let us know as to What is legal remedy for us.
ajay sethi
(Expert) 19 August 2012
contact a local lawyer . reply to legal notice . if as per agreement posession has to be given by dec 2008 and delay was on account of dispute between builder and old owners why should you be saddled with escalation costs .
it is necessary to see clauses of agreement to advise further .
