I booked a flat in Vellore but the builder abandoned the project midway, what are my remedies under RERA?

Detailed Legal Analysis

If the builder has abandoned the project midway in Vellore, you have several remedies under the Real Estate (Regulation and Development) Act, 2016 (RERA).

Under RERA, homebuyers are provided with mechanisms to address grievances related to incomplete or abandoned projects. Here are the key steps and remedies available to you:

• File a Complaint with RERA: You can file a complaint against the builder with the respective State Real Estate Regulatory Authority. In Tamil Nadu, this is managed by the Tamil Nadu Real Estate Regulatory Authority (TNRERA).
• Provide Documentation: Ensure you have all relevant documents such as the sale agreement, receipts of payments made, and any correspondence with the builder. This will support your claim.
• Claim Refund or Completion: Under Section 18 of the RERA Act, if the builder fails to complete the project on time, you can demand either:
  • A full refund of the amount paid along with interest.
  • Possession of the flat within a reasonable time frame.
• Compensation: You can also seek compensation for any losses incurred due to the abandonment of the project. Section 14 of RERA states that if the builder fails to perform his obligations, he shall be liable to compensate the homebuyers.
• Engage a Legal Professional: If the situation does not resolve satisfactorily through RERA, consider engaging a lawyer who specializes in real estate law. They can assist you in pursuing further legal remedies.
• Seek Resolution through Consumer Forum: You may also file a complaint in the Consumer Forum under the Consumer Protection Act, 2019 if you feel your rights as a consumer have been violated.

It is important to note that RERA mandates that builders must deposit 70% of the buyers' funds in a separate escrow account, which is to be used only for the construction of the project. If the builder has misused these funds, you can also file a complaint regarding this violation.

In summary, you have multiple avenues available under RERA to address the abandonment of the project, and taking prompt action can help safeguard your interests as a homebuyer.