SC backs consumer panel on flat-buyers’ joint complaint

NEW DELHI: The Supreme Court upheld on Tuesday a decision by the National Consumer Disputes Redressal Commission (NCDRC) to allow flat buyers to jointly approach it in case of a dispute with a builder, allowing home buyers to leapfrog lower courts and approach the apex consumer rights body.

Disputes between buyers and sellers need to be first raised at state- or district-level consumer rights panels, where they are usually stuck for a while. The national panel can be approached only for appeals or if the total value of the disputed deal crosses `1 crore.

In a case of individuals who bought flats from real estate developer Amrapali, the panel allowed multiple individuals to club their cases to cross the `1-crore ceiling. The developer challenged the decision at the apex court.

“These people have trusted in your business. And you want them to go to the state or district forum,” a bench headed by justice Dipak Mishra told the company’s counsel, Rakesh Kumar. The court’s observation, however, was not part of its written order.

The ruling opens the doors for others stuck with delayed flats to approach the apex panel in a similar manner.