Date of Filing:11/11/2021 Date of Order:10/08/2022 BEFORE THE BANGALORE I ADDITIONAL DISTRICT CONSUMER DISPUTES REDRESSAL COMMISSION SHANTHINAGAR BANGALORE - 27. Dated:10th DAY OF AUGUST 2022 PRESENT SRI.H.R. SRINIVAS, B.Sc., LL.B. Rtd. Prl. District & Sessions Judge And PRESIDENT SRI. Y.S. THAMMANNA, B.Sc, LL.B., MEMBER SMT.SHARAVATHI S.M, B.A, LL.B., MEMBER COMPLAINT NO.438/2021 COMPLAINANTS : | 1 | Y.C. RAMAKRISHANA, S/o Sri. YS Chandrasekharasastry, Aged about 66 years, | | | | | 2 | VISHWANATH Y R, Aged about 37 years S/o Sri YC Ramakrishna Both are residing at No.172, 3rd A Main 1st Cross, RR Layout, Nagadevanahalli, Bengaluru 560 056. (Sri Ravi A Belagatti Adv. for Complainants) | | Vs | | | | | | | | | |
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OPPOSITE PARTIES: | 1 | ARCHITECTS4INDIA.COM Registered office at No.1433/8, Service Road, RPC Layout, Vijayanagar, Bengaluru 560 040 Represented by its Proprietor. Mr. Sanchit Gaurav. | | 2 | SARVALOKA SERVICES-ON-CALL PVT. LTD., Operating under the brand Name House Joy Registered office at No.261, SM Tower, Domlur, 2nd Stage, 2nd Phase, Bengaluru 560 071. Rep. by Mr.Sanchit Gaurav. ALSO AT: SARVALOKA SERVICES-ON-CALL PVT. LTD., Operating under the brand Name House Joy No.L-371, 5th Main, Sector-6, HSR Layout, Bengaluru 560 102. (Kum. Akshatha, Adv. for OPs) |
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ORDER
SRI.H.R. SRINIVAS. PRESIDENT
1. This is the Complaint filed by the Complainant against the Opposite Parties (herein referred to as OPs) under section 35 of the Consumer Protection Act 2019 for the deficiency in service in not completing the construction of the house even though OP has received Rs.18,69,749/- the amount towards the construction of the house and for refund of the same and also for payment of Rs.19,65,859.40 being the amount incurred for completing the unfinished work by OP and also direct Op to pay a sum of Rs.10,00,000/- lakhs for causing him damages both physically, mentally and financially and for such other reliefs as the Hon’ble District Commission deems fit.
2. The brief facts of the complaint are that; complainant is the owner of the property on which he intended to construct and renovate the building for which he entered into an agreement with OP on 17.02.2020 which stipulated that the work to be completed by May 2020 with a grace period of one month thereon for a consideration of Rs.20,00,614.51 in all (Rs.12,43,071.81 for construction and Rs.7,57,542.70 for renovation).
3. In furtherance of the said agreement of construction and renovation complainant paid and Op received Rs.18,69,749/-. Inspite of it, OP failed to complete even 50% of the work entrusted, whereas it ought to have completed the work by June 2020. OP repeatedly rescheduled and postponed the completion of the project and afterwards completely stopped the work on the project and even stopped corresponding with the complainant. Even though 93% of the project cost was paid to the OP, even 50% of the work was not completed. OP further made demand for Rs.2,17,979 by taking undue advantage of the predicament and helpless condition of the complainant and further when insisted for completion of the work, OP used to make vague assurance to complete the work and tried to convince. Left with no alternate, he had to issue a legal notice on 06.04.2021 and also communicated through email also. Further with no alternate to get the work done, they approached another contractor by name “Eminent constructions and consultants” who got the work completed which was unfinished by the OPs. They had to pay Rs.14,69,846/- for the said balance of work. This is due to the failure on the OP in completing the agreed work. He also made a complaint to the HSR police station who registered a case. OP are guilty of unfair trade practice, negligence and deficiency in service and hence the complaint.
4. Upon service of notice, OPs appeared before the commission through one Kum.Akshatha advocate, but did not file the version for the reasons best known to them.
5. In order to prove the case, complainant-2 filed his affidavit evidence and produced documents. Whereas, inspite of giving sufficient opportunity OP did not adduce any evidence. Arguments Heard. The following points arise for our consideration:-
1) Whether the complainants have proved deficiency in service on the part of the Opposite Parties?
2) Whether the complainants are entitled to the relief prayed for in the complaint?
6. Our answers to the above points are:-
POINT NO.1 & 2: PARTLY IN THE AFFIRMATIVE
For the following.
REASONS
POINT No.1:-
7. On perusing the complaint, documents, evidence filed by the complainant, it becomes clear that, the complainant has entered into an agreement termed as “Main Booking Agreement” with OP named as Sarvaloka Service On Call Pvt. Ltd., mentioning that the total cost of the project Rs.12,11,721.81 and the project start date as February-2020 and end date with one month grace period June 2020. Both of them have agreed to the terms and conditions. Drawings has also been produced for 1st floor and terrace marked as Ex.P2 and the estimate as Ex P3. Ex P4 is the detailed estimate for the work to be carried out. In Ex P4, it is also mentioned that OP has received Rs.17,59,499/- towards house construction addition of one more floor. Ex P6 is a bill raised termed as reconciliation statement wherein a sum of Rs.14,750/- has been paid by the client i.e. complainant for the purchase the material and a sum of Rs.95,500/ received from the complainant.
8. Ex P8 is the email correspondence wherein on June 12th 2021 OP has demanded the complainant to pay Rs.2,30,201/-. Details of email correspondences has been produced. Further Ex P9 is the legal notice wherein the complainant has demanded refund of Rs.20,00,000/-. Ex P12 is the documents regarding the estimation and the amount received from Eminent constructions and consultants regarding the construction renovation of the residence at RR Layout Wherein it is mentioned as total cost of construction / floor addition is Rs.14,69,846/-. Even some other bills have been produced. The photographs of the public agitating before the OP’s office is also produced and the complaint against the OP filed before the District Consumer Commission, Rangareddy District, is also produced to shows that a similar complaint has also been filed against the OP and they have not completed the project.
9. The email correspondence dated 06.12.2020 states that the project for 4 months has been going for 10 months and the amount has also been paid substantially. Even in one of the emails the penalty clause mentioned that Rs.10,000/- for every 30 days delay and the project pending work is worth nearly Rs.9,00,000/-. It is also demanded refund of the excess payment for the work not done. It is also stated by the complainant that he has cancelled the agreement on 20.01.2021.
10. When all these correspondence taken into consideration OP did not adhere to the time line with which it has agreed to complete the construction of the residential house as well as renovation even though it had received Rs.18,69,749/- and as OP not completed the construction work and further renovation work and according to the complainant only 50% of the work done. We are of the opinion that OP has to refund 50% of the amount received i.e. Rs.9,34,874.50 along with interest at 12% per annum on the said amount from the date on which complainant expressed his intention of terminating the agreement and cancelling the same ie. On 20.01.2021.
11. In view of the OPs not completing the construction and renovation work and not refunding the said amount for the work not done there is deficiency in service and unfair trade practice which has caused undue harassment, mental tension, agony to the complainant for which OPs to pay Rs.1,00,000/- as compensation and Rs.10,000/- towards litigation expenses. Since the complainant has got the remaining work done from Eminent Construction and consultants, the said amount cannot be ordered to be paid by the OP. Hence we answer POINT NO.1 AND 2 PARTLY IN THE AFFIRMATIVE and pass the following order:-
ORDER
- Complaint is allowed in part with cost.
- OP No.1 and 2 are jointly and severally hereby directed to pay a sum of Rs.9,34,874.50 along with interest at 12% per annum on the said amount from the date on which complainant expressed his intention of terminating the agreement and cancelling the same to the complainant i.e. from 20.01.2021 till payment of the entire amount.
- Further OPs are hereby directed to pay Rs.1,00,000/- towards damages and Rs.10,000/- towards cost of the litigation and other expenses to the complainant.
- OPs are further directed comply the above order within 30 days from the date of receipt of this order and submit the compliance report to this forum within 15 days thereafter.
- Send a copy of this order to both parties free of cost.
Note: You are hereby directed to take back the extra copies of the Complaints/version, documents and records filed by you within one month from the date of receipt of this order.
(Dictated to the Stenographer over the computer, typed by him, corrected and then pronounced by us in the Open Commission on this day the 10th day of AUGUST 2022)
MEMBER MEMBER PRESIDENT
ANNEXURES
- Witness examined on behalf of the Complainant/s by way of affidavit:
CW-1 | Sri Vishwanath YR – Complainant |
Copies of Documents produced on behalf of Complainant/s:
Ex P1: Copy of the main Booking Agreement
Ex P2: Copy of the Building plan
Ex. P3: Copy of the Estimate
Ex P4: Copy of the payment details
Ex P5: Copy of the screen shot for having paid the amount
Ex P6: Copy of the email correspondences
Ex P7: Copy of the schedule to handover the building.
Ex P8: Copy of the email correspondences seeking extension of completion of work.
Ex P9: Copy of the legal notice (2)
Ex P10: Postal acknowledgment.
Ex P11: Copy of the document having paid the amount.
Ex P12: Copy of the acknowledgment issued by police
Ex P13: photographs.
Ex P14: Copy of the screen shot.
Ex P15: Copy of the order passé din CC185/2021 by DCC Ranga Reddy District AP.
Ex P16: Affidavit U/s 65B of the Indian Evidence Act.
2. Witness examined on behalf of the Opposite party/s by way of affidavit:
RW-1: - Nil -
Copies of Documents produced on behalf of Opposite Party/s
- Nil -
MEMBER MEMBER PRESIDENT
RAK*
