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Manjeet Singh Rana Vs Taneja Developers Infrastructure LTD Haryana Reat

The Haryana Real Estate Appellate Tribunal ruled on appeals regarding delayed possession charges (DPC) and holding charges related to a real estate agreement. The Tribunal determined that the allottee is entitled to DPC from the original possession date of July 25, 2016, until a valid offer of possession is made, as the possession certificate issued by the promoter lacked legal validity. Additionally, the Tribunal upheld that the promoter cannot levy holding charges, aligning with a previous Supreme Court ruling.

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8 views2 pages

Manjeet Singh Rana Vs Taneja Developers Infrastructure LTD Haryana Reat

The Haryana Real Estate Appellate Tribunal ruled on appeals regarding delayed possession charges (DPC) and holding charges related to a real estate agreement. The Tribunal determined that the allottee is entitled to DPC from the original possession date of July 25, 2016, until a valid offer of possession is made, as the possession certificate issued by the promoter lacked legal validity. Additionally, the Tribunal upheld that the promoter cannot levy holding charges, aligning with a previous Supreme Court ruling.

Uploaded by

sohanannam
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PDF, TXT or read online on Scribd
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IBC Laws® | www.ibclaw.

in

(2025) ibclaw.in 26 REAT

IN THE HARYANA REAL ESTATE APPELLATE TRIBUNAL

Manjeet Singh Rana


v.
Taneja Developers Infrastructure Ltd.

Appeal No.103 of 2022, Appeal No.104 of 2022 and Appeal No.112 of 2022
Decided on 18-Jan-25

Mr. Justice Rajan Gupta (Chairman) and Shri Rakesh Manocha (Technical Member)

Add. Info:

For Appellant(s): Mr. Sushil Kumar, Advocate.

For Respondent(s): Mr. Shubhnit Hans, Advocate.

Brief about the decision:

Facts of the case

The agreement was executed between the parties on 25.01.2014, and the due date for
possession as per the agreement was 25.07.2016.
However, the possession certificate was issued on 01.02.2019, without grant of occupation
certificate and lack of infrastructural facilities in the project.
The allottee raised the grievance that the promoter increased the area from 1025 square feet
to 1285.20 square feet without the consent of the allottee, which put additional financial
burden on the allottee.
It was further pleaded that possession of the unit was offered without obtaining occupation
certificate and as such the allottee was entitled for Delayed Possession Charges (DPC) from
due date of possession till the date of receipt of occupation certificate.
The respondent-promoter pleaded that it had applied for grant of occupation certificate on
09.05.2014 but the same had not been granted by the concerned Department. Possession
Certificate was issued to the allottee on 01.02.2019 and as such, the allottee is entitled for
DPC till that date.
Real Estate Regulatory Authority, Panchkula (Authority), vide impugned order, granted DPC to
the allottee from 25.07.2016 to 01.02.2019 i.e. the date when possession certificate was
issued.
Aggrieved, the allottee is in appeal before this Tribunal.

Decision of the Appellate Tribunal

A. Delayed Possession Charges (DPC)

Occupation Certificate was never granted to the promoter. In terms of the agreement,

Print Date: May 15, 2025 Page 1 of 2 Printed for:


IBC Laws® | www.ibclaw.in

possession was to be delivered to the allottee on 25.07.2016. However, the promoter was able
to give the possession on 01.02.2019.(p9)
The question now arises whether order of the Authority granting Delayed Possession Charges
(DPC) from due date of possession (i.e. 25.07.2016) till the grant of possession certificate i.e.
01.02.20219 is sustainable. A perusal of the possession certificate shows that the same has
been given by the promoter itself. Such a document has no value in the eyes of law. Thus,
direction of the Authority to grant DPC till grant of Occupation Certificate is unsustainable and
is hereby set aside.(p10
The question thus arises as to the period for which the allottee would be entitled to DPC. It is
evident that valid offer of possession has not been made to the allottee till date. Any offer of
possession issued without Occupation Certificate by the promoter would not have any legal
sanctity; offer of possession on its basis cannot be held to be a valid offer.(p11)
Even if allottee takes possession of the unit and is granted a possession certificate by
the promoter, it would still not take away his right to claim DPC till a valid offer of
possession (proceeded by an occupation certificate) is made to him. It is, thus,
directed that the allottee would be entitled to DPC from due date of possession i.e.
25.07.2016 till a valid offer of possession is made to him.(p11)

B. Holding Charges

As regards the Holding Charges, the issue is no longer resintegra in view of the judgment of
Hon’ble Supreme Court in DLF Home Developers Ltd. (Earlier Known as DLF Universal Ltd)
and another vs. Capital Greens Flat Buyers Association, (2020) ibclaw.in 153 SC, wherein it
was held that the builder is not entitled to levy holding charges.
It is, thus, held that the respondent-promoter is not entitled to levy holding charges.(p12)

The appeals are allowed in the aforesaid terms. No order to costs.(p13)

Judgment/Order:

Click here for Judgment

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Disclaimer: While every effort is made to avoid any mistake or omission, this document including case-
summary/brief about the decision/ add. info/headnote/ judgment/order/ act/ rule/ regulation/ circular/
notification is being circulated on the condition and understanding that the publisher would not be liable
in any manner by reason of any mistake or omission or for any action taken or omitted to be taken or
advice rendered or accepted on the basis of this document. The authenticity of this text must be verified
from the original source. Read more here.

Print Date: May 15, 2025 Page 2 of 2 Printed for:

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