Consumer Protection Act, 1986: Compensation – Award of, in a flat buyer agreement – Payment to be borne by the developer or by the developer and Housing Board – On facts, in a dispute between the developer and the Housing Board as regards development agreement, arbitrator passed an award directing that any amount payable on account of refund of price, interest or compensation (if and when finally determined by the National Commission/Supreme Court) would be borne by the developer and the Housing Board in the ratio of 70:30 – Award attained finality – However, the State Commission as well as the National Commission fastened the entire liability to pay compensation solely upon the developer – On appeal, held: Compensation in terms of clause 9(c) of the Flat Buyer Agreement is to be shared between the developer and the the Housing Board in the ratio of 70:30 as apportioned/determined by the sole arbitrator in the award – Orders passed by the National Commission and that of the State Commission modified to the extent holding the developer liable to pay compensation under clause 9(c) of the Flat Buyer Agreement to the extent of 70% and 30% liability would be upon the Housing Board.
Chandigarh Housing Board v. M/s Parasvanath
Developers Pvt. Ltd., Civil Appeal No. 10748/2016 decided on 17.12.2019 – referred to.
As published in the Supreme Court Reports, Supreme Court of India. Text from the Indian Supreme Court Judgments open data set (Dattam Labs), CC BY 4.0.
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