Last week, the Supreme Court ruled that a builder of a housing complex remains responsible for obtaining a completion certificate for the structure, regardless of whether the flat owners have taken possession of their homes before the issuance of such a certificate. This ruling came as a relief for 36 flat buyers in a Kolkata housing complex who have been litigating against RNR Enterprise, the builder, since 2006.
Last week, the Supreme Court ruled that a builder of a housing complex remains responsible for obtaining a completion certificate for the structure, regardless of whether the flat owners have taken possession of their homes before the issuance of such a certificate. This ruling came as a relief for 36 flat buyers in a Kolkata housing complex who have been litigating against RNR Enterprise, the builder, since 2006.
The bench of Justices S R Bhat and Dipankar Data criticized the National Consumer Disputes Redressal Commission (NCDRC) for stating that the flat buyers should obtain the completion certificate, as they took possession prior to the certificate being issued by the authorities. The Supreme Court emphasized that it is the obligation of the builder to apply for the completion certificate and not the duty of the flat owner. The SC further added that the flat owners, by registering their properties, have not forfeited their right to the promised amenities that were not provided by the builder.
The flat owners had also claimed that the builder had failed to provide certain promised amenities, such as a playground, community hall, and a lake, that never came into existence. The builder had argued that as the flat owners had taken possession of their properties on an "as is where is" basis, they were not entitled to any of the promised amenities. The Supreme Court stated that it was the duty of the NCDRC to rectify the situation and ordered for the complaint of the flat owners to be remitted to the NCDRC for further review.
However, the Supreme Court also pointed out that the flat owners were on the wrong side of the law by taking possession of their flats without the completion certificate. The court acknowledged that there may have been some compulsions that led to this action, but it remains a violation of the law.
In conclusion, the Supreme Court ruled that the builder is responsible for obtaining the completion certificate, regardless of whether the flat owners have taken possession of their homes. The court also emphasized the importance of the NCDRC rectifying the situation and ordered for the complaint of the flat owners to be remitted for further review.
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