- This topic has 8 replies, 9 voices, and was last updated 1 year, 4 months ago by
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UWe are a young couple in our early 30s from Bangalore. Building our own house was a dream, and three years ago, we bought a plot with a loan from an NBFC (since it has a Panchayat Khata). A 55kV high-tension (HT) wire runs about 10 feet from our site but does not pass directly over it.
After registering the plot, we searched for a reputed construction company to build our G+2.5 triplex home, keeping the HT wire in mind. We chose Company X based on their marketing and claimed experience (800 standalone projects completed). The total construction cost was agreed upon, including all taxes, and any extra costs for material changes would be our responsibility.
Both parties signed an agreement. The company conducted a site analysis, soil test, and feasibility check, confirming that G+2.5 was possible. They committed to completing the project within 12 months and provided a phased timeline. Their payment structure required us to pay only after completing each phase.
Initially, construction progressed, but there were deviations from the approved plan. They assured us these would be fixed later. Then, suddenly, all communication stopped—our site engineer, coordinator, and escalation team ignored our calls for two months. When we visited their office, they claimed workers refused to continue due to the 55kV HT line.
This was shocking, as they had previously approved the design. After much discussion, we agreed to remove one floor, reducing it to G+1.5, and they resumed work. However, they kept delaying construction, leading to a total delay of six months beyond the agreed timeline.
When we confronted the management, they refused to compensate us despite a clause in the agreement stating that delays would make us eligible for compensation. They also ignored our complaints about construction quality. Now, they are demanding additional GST due to miscalculations, even though we had agreed on a GST-inclusive price.
They still have our money for an unfinished phase and now claim they will complete the project by April, which means an 8-month delay.
How can we take legal action without spending too much?
Some friends told us that court hearings could cost around ₹35,000 INR per session, which worries us. We want to know our legal options if the work is delayed further or if there are quality issues. Any advice on handling this situation legally and effectively?
TL;DR: Hired a reputed builder for our G+2.5 dream home in Bangalore. They confirmed feasibility, signed a contract, and promised a 12-month timeline. Midway, they stopped responding for two months, citing a 55kV HT line issue (which they knew about earlier). We had to remove a floor (now G+1.5) to resume work. They kept delaying, resulting in a 6-month delay, and now claim it’ll be done by April (8 months late). They refuse compensation, ignore quality concerns, and are demanding extra GST due to their miscalculations. Legal action seems costly—what are our best options as consumers?
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UWell, my sister faced the exact same issue in bangalore last year. The construction company quoted a lesser price and figured out that they can’t finish. The builder finally took his profit and ran away. You can file a case stating compensation and damages, and keep in mind that it will take a long route to finish your project. Hire one more contractor and finish your project in parallel.
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VGet another company to finish. If you are only paying them after each phase then you shouldn’t be at loss of funds.
Time loss can’t be helped…
If your construction plan was approved by proper city council then get that exact thing built. Why compromise with an entire floor?
Also name and shame the company..
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HIt is a very common thing for developers to delay projects. If you have already paid the developer then wait for them to complete the project before escalating to legal remedies… in the meantime you can send email or letter pointing out all the issues so that there is some evidence in writing supporting your case. Please note that all developers are aware that there will be some delay or issues in their work even at the time of signing the contract but they are able to get away with it in most cases. This is due to people being afraid of taking legal action as it consumes time and resources.
On whether you should take legal action it depends on the facts of your case. You first need to quantify your claim based on the terms of your contract and determine whether it is monetarily worth it for you to pursue the case. Cost for litigation would be a one time court fees which depends on the amount you are claiming from other side. Apart from this the cost depends on the advocate you are choosing. Also keep in mind that a higher fees does not necessarily mean a better advocate.
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