Some important points decided by RERA Authorities

This is in continuation of our campaign to educate the society regarding some important points/decision in the field of Real Estate including RERA Rules. RERA team at Centrik select some issues or decision which may be useful the society.

As we all know that the Various RERA Authorities have started functioning to provide the remedy for the welfare of aggrieved home buyers. In this mail, Centrik would further like to clarify on some other important issues decided by RERA Authority.

1.       Decided – Compensation is viable for mental harassment.


In many of the complaints where the aggrieved home buyers are seeking the remedy in form of compensation on delayed possession, refund of amount with interest and in few of the complaints where the complainants are also asking the compensation for mental harassment, the RERA Authority has justified the preamble of RERA Act and set an example by considering the relief for mental agony to the complainants who have faced the problems due to the negligence of the builders.


2.       Decided – Builder are liable to pay the interest with equal percentage as he charge if buyer default

Many of the builders try to escape from their liability by not providing any clause to indemnify the loss suffered by the homebuyers in the situation where is a breach of agreement is done in terms of possession or default in construction. The RERA Authority has clarified that the builder is liable to pay the compensation computed on equal rate of interest as charged by builder from buyer for any default.

3.       Decided – If the project is delayed, the builder can demand the balance consideration only at the time of possession


In some of the complaints, the buyer has alleged the builder for delay in possession and demand of balance payments before possession. The Authority has taken a strong stand that in case of delay in handing the possession. The authority in all those cases gave relief to the complainants by taking a strong stand on the fact that builder cannot compel the buyer to pay the balance consideration before handing over the possession if there is a delay.


4.       Decided – Builder have to comply to the order passed by the authority.


Builders are taking the decision of the authority in a very casual manner by not abiding the same. The authority is has taken stand in many of the complaints that regarding the same by incorporating a lien in the sentence that the respondent will be held liable under section 63 of RERA act and the charged penalty or compensation will be recovered under section 40 of the Act.


For any clarification or issues, please write back to our RERA Team at or contact to authorised person at


Disclaimer – The above points are based on the personal interpretation and understanding of the RERA rulings, which may differ person to person. The readers are expected to take expert opinion before placing reliance on it.

Thanks & Regards


Centrik Business Solutions Private Limited.

Address: 401, DDA 2, District Centre, Janakpuri, New Delhi-110059

Email: Contact: 011-41016005, 9717790021/8383011629