MahaRERA Rejects Compensation for Delayed Possession: What Homebuyers Must Know
MahaRERA Rejects Compensation for Delayed Possession: Know Why?
Recently, MahaRERA passed orders regarding compensation for delayed projects. Two homebuyers filed a complaint with MahaRERA seeking compensation from the developer for delayed possession. The buyers stated that the project’s possession was promised in December 2020 as per RERA.
However, the developer failed to fulfill this promise. Now, the buyers are seeking compensation for the delay, but MahaRERA refused the request because the Occupancy Certificate (OC) and possession letter had already been issued. Since the buyers did not pay the remaining dues, the possession was not offered for those units, by not paying dues and taking possession, they violated Sections 19(10) and 19(6) of RERA.
MahaRERA stated that if the buyers had approached RERA as soon as the OC and possession were issued, their compensation claim might have been entertained and could have been granted. However, since it has been a while after the OC and possession were offered, the complaints cannot be entertained, and the compensation requests of both homebuyers were refused.
Now the question is: even if the developer was at fault, and considering the mental and physical inconvenience caused to the homebuyers, is the ruling justified?
What do the RERA rules state? Let’s find out…
MahaRERA’s Ruling
• OC & Possession Letter Issued
• Buyers’ did not pay remaining dues and did not take possession
• MahaRERA Standpoint: Compensation denied due to violation of:
Section 19(6) & 19(10) of RERA
Section 19(6): The allottee shall be responsible to make necessary payments as per the agreement for sale, and take possession within two months of the occupancy certificate being issued.
Section 19(10): The allottee shall be responsible for taking physical possession of the apartment within two months of the issuance of the OC.
Since the allottees failed to fulfill their legal obligations under RERA (i.e., clearing dues and taking possession within the prescribed period), they are not entitled to compensation.
Is the Ruling Justified?
Legally Justified:
• Under RERA, both promoters and allottees have responsibilities.
• Once the OC is issued, the project is legally complete.
If the allottee does not take possession or fulfill payment obligations, the developer is no longer considered at fault for delay.
Final Words
There was a delay in handing over possession as per the original timeline (Dec 2020). Buyers might have faced mental and financial stress due to the delay.
However, RERA offers compensation only for the period of unjustifiable delay before OC. Once OC is issued, the clock stops — no compensation for post-OC period unless possession is denied unfairly.
A delay in filing the complaint also weakens the case. MahaRERA observed that timely action is important. The homebuyers approached MahaRERA long after OC was granted, which likely appeared opportunistic.
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