State Of Haryana VS. M/s Samtel India Ltd

Extract

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State Of Haryana VS. M/s Samtel India Ltd

The Judgement Information System REPORTABLE

IN THE SUPREME COURT OF INDIA

CIVIL APPELLATE JURISDICTION

CIVIL APPEAL NO. 3302 of 2005 Faqir Chand Gulati (s) Vs.

Uppal Agencies Pvt. Ltd. & Anr. (s)

JUDGMENT

R. V. RAVEENDRAN J.

This appeal is against the order dated 3.2.2004 passed by the National Consumer Disputes Redressal Commission ('Commission' for short) in Revision Petition No. 1878 of 2000. It relates to the question whether a land owner, who enters into an agreement with a builder, for construction of an Apartment Building and for sharing of the constructed area, is a `consumer'

entitled to maintain a complaint against the builder as a service-provider under the Consumer Protection Act, 1986.

2 The agreement 2. The appellant is the owner of premises no. L-3, Kailash Colony, New Delhi. He entered into a `collaboration agreement' dated 17.5.1991 with the first respondent, the terms of which are, in brief, as follows : (i) The owner shall place at the disposal of the builder, vacant possession of the premises and authorize the builder to secure necessary sanctions, permissions and approvals for demolition of the existing building and construction and completion of a new building.

(iii) The builder shall demolish the existing structure and construct a residential building consisting of ground, first and second floors, at its cost and expense.

(iv) The builder will have the right to appoint Architects, contractors, sub- contractors etc.

(v) The new building to be constructed by the builder shall be of good quality as per the detailed specifications contained in Annexure-A to the agreement.

(vi) On completion of construction, the land-owner will be entitled to the entire ground floor (consisting of three bedrooms with attached bathrooms,

3 one drawing-cum-dining, one store room, one kitchen) with one servant room under the overhead water tank on rear terrace and one parking space, as his share in consideration of his having made available the land. The builder shall also pay a sum of Rs.8 lakhs as non-refundable consideration to the owner.

(vii) The remaining part of the building (the entire first and second floors and two servant rooms and two car parking spaces) shall belong to the builder as its share of the building in consideration of having spent the cost of construction of the entire building and all other services rendered by him under the agreement.

(viii) The owner and the builder shall be entitled to undivided and indivisi...

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