If you are facing a situation where the builder violates the purchase agreement in any manner, you can send a legal notice against builder asking the compensation as desired.
You can either send a legal notice to builder for possession or else, you can send a legal notice to builder for the refund of the amount which you had paid in advance to the builder at the time of signing the Agreement for sale.
To draft legal notice against builder you can take help from a good lawyer or avail a sample legal notice to builder from MyAdvo.
In India due to the constant growing urbanization, the demand for residential and commercial flats and buildings are increasing day by day.
Usually, the Construction of a building gets started after signing agreements between the builder and the landowner. It’s creating a very highly profitable opportunity for the builders and developers.
But unfortunately, due to lack of strict laws and control, dishonest and greedy builders cheat and deprive general buyers who invest their hard earned money or lifetime savings with the hope of a permanent shelter.
So if a builder fails in performing his duty properly and does not complete the construction on time, then it becomes necessary to send a legal notice to builder for delay in construction.
In the last few years, the situations have changed.
Both the Central and the State Government started putting a light in the field of real estate and taken several initiatives such as “Housing for All by 2022” launched by Prime Minister Narendra Modi.
Implementation of stringent and effective laws such as Real Estate (Regulation and Development) Act, 2016 (RERA) and Consumer Protection Act, 1986 helped to improve the situation and regularize the conducts of the builders and developers.
However, an important point to keep in mind is that a legal notice against builder can be sent if the agreement is dishonoured. Not only the buyers but also the landlord can send a legal notice to builder.
Consult: Expert Property Law Lawyers in India
Table of Content:
Type of damage and relief you can claim against Builders
If the builder fails to deliver the possession or deprive you under any of the above-discussed circumstances you can claim the following relief
Claim of the sum required to buy an alternate accommodation at the present market price in the project area.
You can also claim the money given to the builder. Claim interest on the payment made till the realization of the same.
If you are buying the property for personal use, you can file a complaint seeking relief in the Consumer Dispute Redressal Commission.
If you are sure to get possession of the flat in a few months or years, you can claim compensation for the money that you will spend as rent on an alternate accommodation.
You can claim damages for loss of opportunity caused to you, which you could invest elsewhere.
When should you send legal notice against builder?
There can be several cases where you need to send legal notice against builder. Amongst them most of the important cases are as follows:
Not delivering the possession even after the due date of delivery.
Not providing amenities and other facilities which the builder had promised in the terms of agreement for sale.
Failed to complete the construction even after the promised due date.
Using inferior quality construction material.
Not registering the Flat/unit in the name of the purchaser even after completion of full payment.
Asking an amount higher than the amount in the agreement.
Any other case where the builder fails to provide the expected service.
Draft legal notice to builder for Refund or Financial Actions
You can draft legal notice to the builders for a refund of the amount which you had paid him at the time of booking of flat or signing of agreement along with interest and send forward.
Sample of legal notice to builders can be found here. A legal notice to builder must contain these essential points:
Name, description, and place of residence/office of the builder
Name, description, and place of residence of the sender of the notice.
Details of the cause of action.
The relief claimed by the sender of the notice.
Gist of the legal basis for the relief claimed.
Steps to Draft a Legal Notice to builder for Non-financial Actions
The legal notice must be drafted in the letterhead of an Advocate.
The legal notice should contain the name, address and contact details of the advocate.
It should contain all the communication details of the sender, such as name, contact number, address, etc.
It should be clearly mentioned in the notice how your right has been infringed due to the builder or his men and agent and for that what relief you want from him.
A specific direction in respect of the relief shouted by the sender must be given to the opposite party and time limit must be given.
The notice must be signed with date by the Advocate.
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Steps for sending legal notice against builder
At first contact a lawyer who has good drafting skills and technical know-how in the field of Property and Real Estate Laws and consumer protection act.
The lawyer should have good knowledge regarding how to write a legal notice to builder.
- Discuss with the lawyer the whole facts and supported by the agreement, brochure of the builder (if any available), money receipts or any other documents which can be used as proof of your payment.
- The notice can be sent either in English or in any other Indian language which is spoken and understood by the builder.
In your consulting session with the lawyer, you should explain all the relevant information in details along with:
- the name of the builder (if it’s a proprietorship firm) in case it’s a company the name of the company and the name of the Directors,
- Date of the agreement.
Your lawyer carefully studies the information you have shared and, makes the relevant and required notes in the conversation with you and can seek any additional information from you, if required to finish drafting of the said notice.
The lawyer then drafts the notice in legal language where:
- the reason behind sending the notice must be clearly mentioned,
- All of the previous communications regarding the cause of action.
- To offer the addressee/opposite party a reasonable time (usually 15 to 30 days to settle the matter through negotiation and by performing the desired action to his clients i.e. yours).
- Depending on the grievance, usually the lawyers, on behalf of the client sending the notice, stress on the need for an action to be taken in the stipulated period of time to either fulfil the demand or seek a reply.
The notice is duly signed by the lawyer. It is either sent via registered post or speed post or courier, and the acknowledgement is retained.
A copy of the said notice is retained by the lawyer concerned.
The expectation is that after receiving the notice the builder will reply himself/herself or through their advocate, or take appropriate action.
If that doesn’t happen, you can directly go to court against the builder without any further communication.
Legal notice format to builder
Let us now look into the legal notice format to builder. Though it is easy to draft a legal notice to builder for delay in possession, however, legal precision is required to be maintained.
Such format is available here in pdf format, but it is advisable to consult a good lawyer.