RAIPUR: The Chhattisgarh State Consumer Disputes Redressal Commission has directed a builder to repurchase a plot from a consumer at twice its original price, citing unfair trade practices and service deficiencies.
In 2015, Dayawati Chauhan acquired a 1,000 sq ft plot through a registered agreement with the builder, which included a buyback clause. This clause stipulated that if she sought to resell the plot after five to five-and-a-half years, the builder would repurchase it at double the purchase price.
After the designated period, Chauhan requested the builder to honor the buyback clause, but her request was turned down. Initially, she approached the Chhattisgarh RERA, which dismissed the matter due to lack of jurisdiction. The District Consumer Commission in Baikunthpur also rejected her complaint, stating that it was a civil court issue.
Chauhan subsequently filed an appeal with the State Consumer Commission. On September 3, a bench led by President Justice Gautam Chourdiya and member Pramod Kumar Verma ruled that the builder’s refusal to comply with the registered agreement constituted unfair trade practices and service deficiencies.
The commission further stated that the District Commission made a significant error by categorizing the dispute as contractual and neglecting the Consumer Commission’s jurisdiction.
The commission accepted her appeal and ordered the builder to buy back the plot for double the original price, amounting to Rs 10.50 lakh. Additionally, the builder must pay an annual interest of 6% on the buyback sum from the date of the complaint (November 21, 2023), compensate Rs 35,000 for physical and mental distress, and cover legal costs of Rs 10,000.
The commission also instructed Chauhan to collaborate with the builder in finalizing the necessary procedures for the buyback.
