Frequently Asked Legal Questions and Answers › Category: Property Issues › Can builder convert my allotted unit without consent?

Bernard asked 1 month ago

I am writing to seek your expert advice and clarification on a Builder dispute. This is regarding a concerning situation I am facing with the builder of my property. I recently discovered that the builder has converted my allotted unit, which was post registration of the sales and construction agreement, into a model house without obtaining my consent. Can builder convert my allotted unit without consent?

This unauthorized conversion has raised several questions and concerns about my rights as a buyer and the builder's obligations. I would greatly appreciate your guidance on the legal aspects of this situation. Specifically, I would like to know whether the builder has the right to make such changes without my consent. Also, i want to know whether this action is in violation of any relevant laws or agreements.

Legal Solution: Can builder convert my allotted unit without consent?

The situation you're facing with the builder converting your allotted unit into a model house without your consent is indeed concerning. As a property buyer, you have specific rights under Indian law. The builder is obligated to follow certain legal standards and contractual terms. Let's break down the issue step by step, focusing on your rights as a buyer and the builder's obligations.

1. Your Rights as a Buyer

Once you have signed the sale and construction agreement, your rights over the property are clearly established. By registering the property in your name, the builder has legally transferred the rights of that particular unit to you. This means that the unit is now your property. Here, the builder has no right to make any changes or use the unit without your consent. In this case, converting your unit into a model house without your permission is a breach of your ownership rights.

2. The Role of the Sales Agreement

The sales and construction agreement plays a crucial role in determining what rights and obligations both you and the builder have. This agreement should detail the specifics of your unit, including its size, location, and usage. It should also outline the builder's obligations in terms of delivering the property as per the agreed-upon specifications.If the agreement specifies that the unit is allocated to you, then the builder cannot use it for any other purpose, such as converting it into a model house. Any action that deviates from the terms of the agreement. Especially one that affects your use and possession of the unit, would be considered a breach of contract.

3. Legal Provisions: RERA and Consumer Protection Laws

Under the Real Estate (Regulation and Development) Act, 2016 (RERA), builders must adhere to strict rules regarding the sale and transfer of property. RERA clearly states that a builder cannot make any alterations or modifications to a property after the sale and execution of a sale agreement, Unless the buyer gives written consent. In your case, if the builder has converted your allotted unit into a model house without obtaining your consent, this is a violation of RERA.Moreover, under consumer protection laws, particularly the Consumer Protection Act, 2019, you are entitled to protection against unfair trade practices and breaches of contract. By converting your property into a model house without informing you, the builder could be engaging in an unfair trade practice. You have the right to file a complaint against the builder for such actions.

4. Steps You Can Take

To protect your rights and address this issue, you can take the following steps:

Send a Legal Notice: The first step would be to send a legal notice to the builder. The notice should demand the immediate cessation of the unauthorized use of your unit as a model house. Thereafter, you must request that the builder restore the unit to its original condition. You can also ask for compensation for any inconvenience or damage caused due to this unauthorized conversion.
File a Complaint with RERA: If the builder does not respond to your legal notice or refuses to comply, you can file a formal complaint with the state RERA authority. RERA allows buyers to seek redressal in cases of non-compliance by builders, and you can request a hearing to resolve the issue.
Approach the Consumer Court: Another option is to file a complaint with the consumer forum, as the builder's actions may amount to a deficiency in service or unfair trade practice. The consumer court can direct the builder to restore the unit. They may even order compensation for any loss or damage you have suffered.

5. Conclusion

To summarize, the builder does not have the legal right to convert your allotted unit into a model house without your consent. This action is likely in violation of both the sale agreement and relevant laws such as RERA and the Consumer Protection Act. You should act swiftly by sending a legal notice to the builder. If you cannot resolve the matter, you can escalate it to the RERA authority or the consumer court for legal redressal.It’s important to consult with a legal professional. They can help you draft the legal notice and guide you through the process of filing complaints if necessary. Protecting your rights as a buyer is critical. You should not allow the builder to act outside the bounds of the law.