- Location : Naraina Industrial Area Phase-1, New Delhi
- Amount Paid To Builder : Rs. 52,41,473/-
- Relief Sought : Refund With Interest
- Amount Received From Builder : Rs. 75,32,948/-
Background
The case study revolves around Amit Cargo Agency, a cargo agency based in Naraina Industrial Area, Phase-1, New Delhi, represented by its proprietor, Mr. Chaman Lal Dhawan. They entered into an agreement with the builder. This case study examines the relief sought by Amit Cargo Agency, the legal proceedings, and the settlement agreement terms. Amit Cargo Agency signed a Memorandum of Understanding (MOU) with builder. However, issues arose, leading Amit Cargo Agency to file a complaint with the Hon’ble UP RERA (Uttar Pradesh Real Estate Regulatory Authority) under complaint number NCR144/03/52636/2020. On May 26th, 2020, an order was passed in favour of Amit Cargo Agency.
Legal Remedy
Amit Cargo Agency sought to refund the total amount paid to builder and interest. The total amount paid by Amit Cargo Agency to the builder was Rs. 52,41,473/-. The interest amount to be paid by the builder was determined to be Rs. 24,77,271/-. Therefore, the total amount to be received by Amit Cargo Agency, including the refund and interest, was Rs. 75,32,948/-.
The case was filed with the Hon’ble UP RERA and the complaint was assigned the number NCR144/03/52636/2020. After consideration, the Hon’ble UP RERA passed an order regarding the protest on May 26th, 2020.
On January 7th, 2021, a settlement agreement was signed between Amit Cargo Agency and the builder. The settlement agreement terms stated that the builder would refund the entire amount paid by Amit Cargo Agency, including interest, in five installments. First Installment: Rs. 18,83,237/- Due by September 15, 2022, via cheque. Second Installment: Rs. 17,13,805/- – Due by September 15, 2022, via cheque. Third Installment: Rs. 3,46,754/- – Due by October 15, 2022, via cheque. Fourth Installment: Rs. 3,46,754/- – Due by October 15, 2022, via cheque. Fifth Installment: Rs. 13,67,052/- – Due by October 15, 2022, via cheque.
Solution
The case study highlights the dispute between Amit Cargo Agency and builder regarding a refund sought by the former. On 8th June 2023, Amit Cargo Agency received their final installment from the Hon’ble Uttar Pradesh Real Estate Regulatory Authority (UP RERA). This marked the successful resolution of their case and the realization of their claim for a refund with interest. A resolution was achieved with the help of Maxleben’s advisory’s legal proceedings and subsequent settlement, and the builder committed to refunding the total amount paid by Amit Cargo Agency with interest. The settlement agreement detailed five installments the builder would pay Amit Cargo Agency, ensuring the refund and interest obligations were all fulfilled.