There is no express provision in RERA Act, 2016 by which the promoter is entitled to deduct amount on account of cancellation of booking by allottee or promoter – Rajeshwari Ramesh Pillai and Anr. Vs. Aishwarya Avant Builders LLP – Maharashtra REAT
Hon’ble Maharashtra REAT held that:
(i) Section 13(1) of RERA Act 2016 relates to no deposit or advance to be taken by promoter without first entering into agreement for sale.
(ii) There should be some reasonable logic while forfeiting the amount deposited by the allottees. There is nothing on record to show that because of cancellation of booking by allottees promoter has suffered damages or loss. This signifies that the conduct of the promoter to forfeit the entire amount without any justifiable reason is contrary to the object of RERA Act 2016.