Received final demand notice/letter. What next?

For an under-construction project, receiving final demand notice after years of struggle and pain should in all means be a matter of satisfaction. However, as it generally turns out, this is just stage 2 of buyer’s ongoing demand for a justified and habitable possession.

Following steps shall be followed by a buyer before paying up the final installment to the builder. Readers are requested to add if anything equally significant is missed out:

1. Check number of days given for payment. Make sure that at least 30 days are given for clearance of final due.

2. Check for surprises as part of the demand letter:
-Are there any unexpected extra charges? Make a note of all such charges. You will have to seek justifications from builder for these charges.
-Were you supposed to get penalty but have not got? Make a note seeking reasons for not giving the due penalty.
-Any super area increase? Make a note for seeking the basis for this increase and a joint inspection for approving the same.
-Has builder received occupancy (OC)/completion certificate (CC)? Make a note for seeking OC/CC in lieu of completion of the unit.
-Check your flat and its surroundings. Not satisfied with the condition of flat and surroundings? Make a note.

3. By now, the buyers should have already formed a group (you should have ideally been a part of group already). If not,
browse through google groups, yahoo groups and facebook groups to see if there is an existing group.

If the group exists, check if a registered association of buyers (legal entity) exists. Buyers shall form a registered
association to give it a legal weight-age. Steps to form an association are given here.

4. Based on notes on point 2, drop an email to the builder keeping builder’s highest management in loop. This shall be done at both individual and group level. Seek information and the rationale behind each and every point. Seek
compensation and re-adjustment of amount in final demand notice in absence of satisfactory response. Mention that the payment from your end is subject to a satisfactory response from builder’s end. This email shall go as soon as possible once you reach to a logical conclusion on the unethicality of demand letter.

5. Send regular reminders to the builder seeking response.
If responses are not received or if the response is not satisfactory, any further communication with the builder shall have mention of the same.

6. Lastly, provide strength to the group but if for unavoidable reasons you are under the compulsion to take possession and hence pay within the due date, please convey to the group and make sure you convey to the builder that the payment is made under the compulsion and that it does not waive your right to demand penalty and compensation for damages rendered to you both financially and emotionally.
Get inspection done (refer our checklist for inspection) and follow up constantly through emails for ensuring you receive keys within a specified time frame with flat in spick-and-span condition.

Emails you had sent previously is good enough to stand in the consumer court as a proof of your disagreement with the builder. Hence, consumer court has to be your next course of action in case builder has not compensated/adjusted the amount as requested by you.

Comments/Feedback invited.


Last Updated on April 24, 2015 by Go4Reviews

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9 thoughts on “Received final demand notice/letter. What next?

  • May 2, 2015 at 12:22 am

    I hv deposited total amount after receiving this final demand letter of GC-4, Gaur City, G. Noida West. Hoe I can purchase an additional open car parking? Whether it should be registered with the flat?

  • April 24, 2015 at 7:47 am

    Dear sir
    I hv already paid the paid the amount asked for increase in area though only increase was only extension of balcony by ft.
    Pl tell me the remedy now.

    • April 24, 2015 at 11:13 am

      Thanks for writing to us. How long back have you paid?
      Every individual should communicate through email/posts while dealing with builders so that it holds good as an evidence of your disagreement with the builder.
      If it has not been more than 10 days, you may write an email mentioning that you are in disagreement of superficial super area increase and would like to demand explanation of exact calculation. In absence of a satisfactory response, would demand a compensation/re-adjustment.

      • April 26, 2015 at 11:59 am

        It has been more then 10 days.. please let me know what can be done ?

        • April 27, 2015 at 11:37 am

          Suggest you still drop them an email stating that as per your discussion at time of payment, I am stating that I have paid the amount in compulsion and I am not in agreement with following points in the FDN….
          This may or may not hold good in the court but give it a try

  • April 23, 2015 at 7:03 pm

    As you are aware that many projects in Noida have not secured OC due to prevailing NGT issue. What are the drawbacks of taking possession without the OC/CC?

    • April 24, 2015 at 11:17 am

      Although builders as part of deed agreement, try to absolve themselves of all responsibilities. Still, they are bound to ensure your safety and security as eventually it is they who hand over the keys even post knowing the basic guidelines.
      Biggest issue for an individual in such cases would be in case of insurance. Such buildings/units and individuals staying in such units would not be eligible for insurance if some unforseen accident takes place within the said compound/unit. Individual can still seek compensation from the builder in court.

      • April 27, 2015 at 4:07 pm

        Dear Sir,
        Besides insurance, are there any other drawbacks to live in a society which has not secured a Completion Certificate / Occupancy Certificate? Please respond in light of prevailing NGT issue affecting the owners of Noida. Can a hypothetical judgement one that is similar to Camp Cola society of Mumbai affect something in future? Do you foresee any other drawback of taking the possession (besides insurance) without the completion certificate?


        • April 27, 2015 at 4:16 pm

          It is imperative for you to crosscheck : i) Has OC been applied by the builder? ii) Has the authority conducted any inspection of the compound and found no issue? iii) Has the OC been held due to NGT issue alone?
          You can put an RTI with Noida authority to get these details.
          If OC is held due to NGT alone, it should be ok.
          But, if it is held due to reasons other than that like fire safety arrangements, structural or plan mismatch issues, it could be a risk going forward.
          If figures are to be believed, around 3k to 4k people are already staying in different societies of Noida without OC.

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