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Refund and Compensation under RERA Panchkula and Punjab

Refund and Compensation by RERA Authority on what Grounds

Now that there are two options before complainant in Haryana RERA Panchkula Authority whether to seek refund or compensation alone, he/she has to file two separate complaints in case he is seeking both.

Yes, that’s correct! Two complaints.

But why? It doesn’t make any sense. I do understand your difficulty but this is how the central RERA Act has segregated the nature of complaints.


1 Refund with Interest - The complaint lies with RERA Authority where all the three members sit in quorum. For RERA Punjab it can’t be said so because there members individually as an Authority are deciding the cases for refund along with interest.

2 Compensation- The Act lays down it clearly that the complaint has to be made before Adjudicating Officer and only after holding an enquiry based on evidence lead he can award compensation. It can be given on following grounds:

A. Litigation expenses
B. Mental agony and pain.
C. Financial loss of any sort. E.g you stayed on rent during that period and the same money can be utilised elsewhere.
D. If money procured from external sources , the loss caused.



There can be many more , but you have to lead evidence for it.

Now let us read the powers of Adjudicating Officer for awarding compensation:

Though the compensation has not been defined under the RERA Act. The RERA Punjab Authority is giving compensation on the terms of workmen compensation a Act , MACT Act etc. The compensation is being given by Authority under two heads pecuniary and non pecuniary.

The section 72 of the RERA Act describes factors while Adjudicating quantum of compensation.

Also Read-

72. While adjudging the quantum of compensation or interest, as the case may be, under section 71, the adjudicating officer shall have due regard to the following factors, namely:—
(a) the amount of disproportionate gain or unfair advantage, wherever quantifiable, made as a result of the default;
(b) the amount of loss caused as a result of the default;
(c) the repetitive nature of the default;
(d) such other factors which the adjudicating officer considers necessary to the
case in furtherance of justice


Section 71 gives this power to Adjudicating Officer. Let us read the Section 71 as well:



71. (1) For the purpose of adjudging compensation under sections 12, 14, 18 and section 19, the Authority shall appoint in consultation with the appropriate Government one or more judicial officer as deemed necessary, who is or has been a District Judge to be an adjudicating officer for holding an inquiry in the prescribed manner, after giving any person concerned a reasonable opportunity of being heard:

Provided that any person whose complaint in respect of matters covered under sections 12, 14, 18 and section 19 is pending before the Consumer Disputes Redressal Forum or the Consumer Disputes Redressal Commission or the National Consumer Redressal Commission, established under section 9 of the Consumer Protection Act, 1986, on or before the commencement of this Act, he may, with the permission of such Forum or Commission, as the case may be, withdraw the complaint pending before it and file an application before the adjudicating officer under this Act.

(2) The application for adjudging compensation under sub-section (1), shall be dealt with by the adjudicating officer as expeditiously as possible and dispose of the same within a period of sixty days from the date of receipt of the application:

Provided that where any such application could not be disposed of within the said period of sixty days, the adjudicating officer shall record his reasons in writing for not disposing of the application within that period.

(3) While holding an inquiry the adjudicating officer shall have power to summon and enforce the attendance of any person acquainted with the facts and circumstances of the case to give evidence or to produce any document which in the opinion of the adjudicating officer, may be useful for or relevant to the subject matter of the inquiry and if, on such inquiry, he is satisfied that the person has failed to comply with the provisions of any of the sections specified in sub-section (1), he may direct to pay such compensation or interest, as the case any be, as he thinks fit in accordance with the provisions of any of those sections.



The RERA Punjab Authority quotes the judgment of Supreme Court in its order for awarding compensation by Adjudicating Officer which is Mr. R.D. Hattangadi vs. M/s Pest Control (India) Pvt. Ltd, AIR 1995 Supreme Court page .

The relevant part is produced for your kind perusal here:

“Broadly speaking while fixing an amount of compensation payable to a victim of an accident, the damages have to be assessed separately as pecuniary damages and special damages. Pecuniary damages are those which the victim has actually incurred and which is capable of being calculated in terms of money-, whereas non-pecuniary damages are those which are incapable of being assessed by arithmetical calculations. In order to appreciate two concepts pecuniary damages may, include expenses incurred by the claimant:

  1. Medical Attendance
  2. Loss of earning of profit upto the date of trial
  3. Other material loss



So for non-pecuniary damages are concerned, they made include

  1. Damages for mental and physical shock, pain suffering, already suffered or likely to be suffered in future.
  2. Damages to compensate for the loss of amenities of life which may include a variety of matters i.e. on account of injury the claimant may not be able to walk, run or sit
  3. Damages for the loss of expectation of life, i.e. on account of injury the normal longetivity of the person concerned is shortened
  4. In-convenience, hardship, discomfort, disappointment, frustration and mental stress in life. “



So for now the controversy is clear between Form M and N for both RERA Punjab and Haryana RERA Panchkula Authority.

Many a times I have seen RERA Punjab and RERA Panchkula lawyers /Advocates are not able to proper guide and assist the homeowners about reliefs sought and hence they have to withdraw their complaints unnecessarily which further adds to their pocket expenses.

Thus one must take opinion or free legal advice from experienced/expert/top/best RERA Punjab and Panchkula Lawyer/ Legal Advisor for your rest.


Rest, for everything else, LegalSeva is there. For more info on subject, please dial 99888-17966. This post is written by Advocate Satish Mishra practising in the courts of RERA Punjab and Haryana Rera Panchkula Authority.

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