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The Haryana Real Estate Regulatory Authority (HRERA) has ordered BPTP Limited to refund INR 18.12 lakh along with 2% interest to a homebuyer in connection with its Park Terra project in Sector 37D, Gurugram. The directive follows complaints filed by an allottee who had booked units in the project but did not receive possession within the stipulated timeline. The authority rejected the developer's argument that the complaint was time-barred, citing the principle of continuing liability. It also held that deductions towards earnest money cannot exceed 10% under RERA provisions. The case highlights ongoing regulatory scrutiny of delayed housing projects and reinforces compliance requirements for developers operating in Haryana's residential market.
The Haryana Real Estate Regulatory Authority (HRERA) has directed BPTP Limited to refund INR 18.12 lakh along with 2% interest to a homebuyer in its Park Terra residential project in Sector 37D, Gurugram, following complaints related to delayed possession and non-refund of payments. The order, issued earlier this month, addressed two complaints filed by the same allottee and rejected the developer's contention that the case was barred by limitation. Advertisement
The dispute originated from bookings made in 2012, when the allottee purchased two units in the project and paid INR 18.12 lakh against a total consideration of INR 88.77 lakh. As per the builder-buyer agreement executed in December 2012, possession was scheduled for delivery by late 2016. However, the project was not completed within the committed timeline, leading the buyer to seek a refund after discontinuing payments due to personal financial constraints.
The developer subsequently cancelled the allotment in 2013 on account of payment default and later offered reinstatement of the units in 2016, subject to clearance of dues. The allottee declined the offer and pursued a refund. BPTP argued before the authority that the complaint, filed in early 2025, was time-barred and maintained that it was entitled to forfeit 15% of the sale consideration as earnest money.
HRERA rejected these arguments, stating that the developer's failure to refund the deposited amount constituted a continuing breach, thereby keeping the claim within the permissible limitation period. The authority relied on the principle of continuing liability under the Limitation Act to establish that the buyer's claim remained valid despite the passage of time.
On examining the merits, the regulator observed that while the cancellation of allotment was contractually valid due to non-payment, the developer was still obligated to return the amount collected, subject to permissible deductions. It further clarified that under the Real Estate (Regulation and Development) Act, the promoter cannot deduct more than 10% of the total cost as earnest money. BPTP's attempt to retain 15% was therefore found to be inconsistent with statutory provisions.
The authority also referred to judicial precedents to affirm its jurisdiction to order refunds with interest in such cases, reinforcing protections available to homebuyers under the regulatory framework. The ruling provides relief to the complainant, who had sought exit from the project due to delays and the absence of reimbursement.
The order reflects a broader trend of regulatory intervention in delayed residential developments across Gurugram, where authorities have continued to enforce compliance with delivery timelines and refund obligations. It reiterates that developers remain accountable for financial liabilities arising from incomplete projects, even where contractual disputes or payment defaults are involved.
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