Vadodara | 10 Nov, 2022 (4 months, 1 week ago)

Property Law

Extra charges demanded by new developer in a distressed project

I purchased a plot from a developer in the year 2013. The project in which I purchased this plot was in multiple sectors. The payments were made in EMIs and the entire amount was paid by the year 2018. Apart from this, on the booking letter it was mentioned that the development charges would be 25000 INR, and maintenance charges would be as decided by the society (post formation). This project was being developed on a land that was an agricultural land earlier, and the NA was in process. When I approached the builder for getting the plot registered in my name (in the year 2019), I was told that the sector in which I purchased the plot was due for NA processing. Then till 2021, I was told that the process was delayed due to COVID-19. Earlier this year, I was told that the developer has sold the entire project to another developer. For ease of understanding, let us consider the old developer as A and the new developer as B. So, when I approached B, they asked me to pay a development and maintenance charges of INR 211400. I want to have a legal opinion on this.
11 Nov, 2022 | 11:33

In general, B is right in asking for development and maintenance charges. But the amount you are liable to pay needs to be ascertained as per the terms of the booking letter and certain other conditions such as whether NA processing has been completed etc.

For a detailed discussion, you may reach out at or +91-9818566928.

Adv. Akshay Lal
Taarkik Legal - Advocates & Consultants

11 Nov, 2022 | 07:44

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