Delay in NCDRC decision on section 12(1)(b) impacting thousands of buyers

We have covered the story of NCDRC debating on the ability of Buyer welfare associations to file cases against builders under section 12(1)(b). The matter first came up for larger bench on 20th January, 2017, a month after all such cases were put on hold. It was to discuss if Buyer welfare association fits the definition of voluntary associations, the term mentioned under the section. After couple of hearings, on 9th Feb, 2017, the court completed hearing to the arguments but reserved its order since. Even after almost 2 months since the last hearing, no directions have been provided yet and NCDRC decision on section 12(1)(b) still remains a mystery.

After Supreme court ruling that flat buyers can join hands to form associations to fight legal cases against builder (in Feb this year), the decision of NCDRC was expected to be in affirmative for the buyers. However, the delay in pronouncing its judgment on concept of voluntary association is hurting buyers belonging to associations fighting the cases. Around 5000 buyers belong to different associations fighting cases as registered societies against the builder. Some of these buyers have been waiting for possession of their flat since December now and have received no directions from the consumer court in the meantime.

We understand court is taking into account arguments of both parties and some associations may end up falling in a different bracket altogether but this delay is indeed disturbing. We hope the court comes to a conclusion soon.

Last updated: April 3, 2017 at 16:50 pm

One thought on “Delay in NCDRC decision on section 12(1)(b) impacting thousands of buyers

  • May 4, 2017 at 10:13 pm
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    NCDRC Judgment on section 12(1)(b) expected tomorrow i.e. 5th May,2017.

    Reply

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