Got keys to your home after years of delay? You may still claim interest for lost time

You've booked a flat years ago, but possession still remains a distant dream? Don't lose hope, as you could still claim interest for the time lost. The Lucknow bench of the Allahabad High Court has dismissed a challenge by Antriksh Developers and Promoters Pvt Ltd in a case concerning its Antriksh Golf View project in Noida's Sector 78. The ruling upholds the developer's obligation to pay interest to homebuyer Shyam Sunder Agrawal, even after he had accepted possession.

The court clarified that even if a buyer has taken ownership, they can still claim interest for the period the developer failed to deliver the property on time. This applies to Agrawal, who booked the flat in 2010 but received possession only in May 2017, over five years late. The developer only offered possession without the necessary occupancy certificate and other documents.

The court also noted the Uttar Pradesh RERA Appellate Tribunal's direction to pay interest on Agrawal's deposit from December 2012 to May 2017 at an interest rate one percentage point above the Marginal Cost of Fund Based Lending Rate, or MCLR.

The court examined the developer's argument about the National Green Tribunal's (NGT) zero period. It ruled that this exclusion could only apply to the period actually affected by the restriction and could not negate a delay that had already occurred before the restriction took effect. The Allahabad HC thus made a crucial distinction between accepting possession and relinquishing the right to claim interest for the delay period.

To protect your property rights, ensure you have key documents like the sale agreement, contractual possession date, payment records, possession letter, and occupancy or completion documents. The applicable interest rate and period may vary based on RERA rules, contractual terms, court orders, and specific case facts.