I booked an apartment a year back on 7th floor of an under-construction 30 storey building at the time when construction was at 50% (17th slab completed). I did registration at the same time and and payment schedule is part of agreement. I accordingly disbursed 50% amount due.

After that builder stopped the work on increasing slab due to some reasons and work on slabs is still stuck at the same stage. But during this time, he did work on flooring, plastering, electrical and plumbing and is now demanding payment of additional 30% proportionate to this work. If I make this payment I will be done with 80% payment despite of the fact that building is only still half constructed which does not look justified.

1. Am I liable to pay this additional amount demanded? Or Can I take a stand to hold this till he completes all the slabs and this is due (as mentioned in the payment schedule).

2. Is payment schedule in such cases sequential or builder has a choice to demand money against actual work completed even if he does not go as per sequence of construction planned for the building.

3. Is there any set standard norms to follow in such cases, to stand a legal course.

Builder is claiming that he will give possession in time, irrespective of whether higher floors are constructed or not and I should't be concerned about it.

Please advise.
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  • Payment schedule

    Originally Posted by seikometric
    I booked an apartment a year back on 7th floor of an under-construction 30 storey building at the time when construction was at 50% (17th slab completed). I did registration at the same time and and payment schedule is part of agreement. I accordingly disbursed 50% amount due.

    After that builder stopped the work on increasing slab due to some reasons and work on slabs is still stuck at the same stage. But during this time, he did work on flooring, plastering, electrical and plumbing and is now demanding payment of additional 30% proportionate to this work. If I make this payment I will be done with 80% payment despite of the fact that building is only still half constructed which does not look justified.

    1. Am I liable to pay this additional amount demanded? Or Can I take a stand to hold this till he completes all the slabs and this is due (as mentioned in the payment schedule).

    2. Is payment schedule in such cases sequential or builder has a choice to demand money against actual work completed even if he does not go as per sequence of construction planned for the building.

    3. Is there any set standard norms to follow in such cases, to stand a legal course.

    Builder is claiming that he will give possession in time, irrespective of whether higher floors are constructed or not and I should't be concerned about it.

    Please advise.

    It is possible that builder is having money problem and is changing the work schedule.
    I am sure your agreement will be having such a clause where he can alter the work schedule.
    You must meet the builder and discuss with him.
    Cross check whether other buyers have got such notices/intimation for payment.Form a pressure group and talk to them.
    I do hope he had all sanctions for 30 storey building.
    CommentQuote
  • Thanks Vaibhav,

    Shall definately check with other buyers. Also, plan to meet up and discuss with builder.

    Yes, he does have approval for 30 floors.

    Thanks for your response.
    CommentQuote