Shilpa Bombe (HR) 11 August 2013

Cancellation charges of flat

Hello,

I have booked a flat & paid Rs 1 Lakh as a booking amount, then again after 3 months, builder asked me for Rs. 2 Lakh & for services tax on 3 lakhs, i.e Rs.9370/-, so I have paid total amount Rs. 3,09,370/-till now.

But now I want to cancel the booking of flat due to the process of sanctioning of loan by bank I couldn’t pay further amount. Where as booking document mentioned that on the cancellation of flat 15% amount will be deducted. now my problem is, I assumed that cancellation charges amount will deduct only from booking amount i.e 1 Lakh Rupees & not on total amount i.e Rs. 3 Lakh. But builder told me that he will deduct 15% of total amount on Rs. 3 Lakhs & not on 1 Lakh.

So can you tell me the Rules & Regulation regarding the same.

But I feel that as mentioned in booking document 15% may be deduct on only Booking amount & not on total amount.

please guide me

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2 Replies

Kolla Gangadhar (Practicing Advocate since 1986) 11 August 2013

As per Agreement specific clause mentioned that 15% will be deducted on cancellation of advance amount paid then it will 15% on advance not total amount paid. Specific clause of the Agreement has to be interpretated then only one can say on what amount. If your builder insist for 15% deducation on total amount paid till now you file a case in the Consumer Forum.