Right to Refund even if OC/CC issued in Real Estate Project and other buyers taking Possession
This judgment by the U.P. Real Estate Appellate Tribunal clarifies a critical legal position under the RERA framework: the mere issuance of an Occupation Certificate (OC) or Completion Certificate (CC), or possession taken by other allottees, does not extinguish the statutory right of an allottee to seek refund under Section 18 of the Real Estate (Regulation and Development) Act, 2016.
Where there is inordinate delay, incomplete development, or absence of promised amenities, an allottee cannot be compelled to accept possession in a partially developed or non-habitable project. The Tribunal reaffirmed that the right to exit the project and claim refund with interest is an independent and enforceable remedy, irrespective of the stage of construction or selective occupancy by other buyers.
This ruling has significant implications for homebuyers facing delayed real estate projects, particularly in cases where developers rely on partial OC/CC to deny refund claims.
