UNIVERSAL CARBURISING WORKS PRIVATE LIMITED

Introduction

Universal Carburising Works Private Limited has made a mark within the real estate industry in Karnataka. However, as with many builders, the journey has not been without its hurdles. This blog post delves into the builder's legal history, specifically focusing on the complaints lodged against them, successful and unsuccessful claims, and what potential buyers should keep in mind when considering investments from this developer.

Overview of Legal Cases

Currently, Universal Carburising Works Private Limited has faced a total of two formal complaints. The notable aspect of these complaints is that the builder did not win any of the cases, indicating a concerning trend for prospective buyers.

Summary of Cases

Both cases filed against the builder involve similar circumstances:

• Appellant Claims: The complainants claimed to have booked a flat with a total sale consideration of Rs. 1,42,30,485 and entered into a sales agreement on 04/11/2017. They asserted that the builder failed to complete the apartment and did not return the paid amount along with stipulated interest and compensation.
• Respondent Claims: The builder contended that they had granted a COVID extension for a period of six months until 30/09/2024 and highlighted that the complainants were unable to attend meetings due to residing abroad.
• Final Verdict: In both instances, the authority directed Universal Carburising Works to refund Rs. 90,63,299 to the complainants, including interest from 01/05/2017 until 17/11/2022. The specified timeframe for the refund was set at 60 days from the date of the order.

Analysis of Complaints

Patterns in Lost Cases

From the cases lost by Universal Carburising Works, a clear pattern emerges:

• Refund and Completion Delays: Both disputes center on the builder's failure to deliver completed units, leading to financial claims from buyers. This indicates a systemic issue regarding project completion timelines.
• Significant Financial Implications: The amount in both claims underscores the magnitude of investment and the potential financial loss endured by the buyers, raising concerns over the builder's financial stability or operational capacity.

Patterns in Cases Won

Interestingly, the builder has not won any cases, signifying a consistent trend of failing to uphold their contractual obligations. In both scenarios, they relied heavily on the argument of pandemic-related delays, which did not hold enough weight against the claims of not delivering completed units promptly.

Conclusion

Overall, the legal history of Universal Carburising Works Private Limited reflects significant challenges that potential buyers should be aware of. The builder's inability to win cases or deliver on time creates a sense of caution for individuals looking to invest in their projects.

Tips for Potential Buyers

1. Research Thoroughly: Before considering a purchase, investigate the builder's history with previous projects and their responsiveness to buyer complaints.
2. Seek Legal Advice: Consult with legal professionals who specialize in real estate to understand your rights and protections as a buyer.
3. Request Documentation: Ensure all agreements are documented clearly, and understand the builder’s policies regarding project timelines and financial returns.
4. Evaluate Financial Stability: Review the financial background of the builder to assess their capability to complete projects on time.

General Tips for Selecting a Builder

• Check Reviews and Ratings: Look into online reviews and ratings from past clients to gauge the builder's reputation.
• Visit Completed Projects: If possible, visit some of the builder's completed projects to assess the quality and standards maintained.
• Understand Terms and Conditions: Be diligent in reviewing terms and conditions in the sales agreement to avoid future legal complications.

In the end, while Universal Carburising Works Private Limited operates within Karnataka, potential buyers should proceed with caution, considering the documented complaints and ensuing legal outcomes.

Analysis of the cases filed against Universal Carburising Works Private Limited, where the builder lost, revealed several key themes and patterns. The cases primarily revolved around delayed possession claims and the builder's failure to refund the advance paid by buyers with interest.

The most notable theme was the delayed possession claims, where buyers contended that they had booked flats in the builder's project for a substantial consideration of Rs. 1,42,30,485 and yet none had been completed or handed over. The builder consistently attributed these delays to the COVID-19 pandemic and claimed to have granted an extension for the project; however, this defense did not stand in court.

Common reasons for bringing these cases to court included not only the frustration with the delay in possession of the property but also the builder's failure to return the money paid, which is mandated by law to include interest and compensation for the delay. The authorities cited section 18(1) of the Act, which requires builders to refund with interest in such cases.

The builder lost these cases primarily due to their inability to fulfill contractual obligations, both in terms of timely project completion and returning funds on demand as required by statutory guidelines. The defense of a COVID extension, while potentially valid in other contexts, did not meet the legal requirements for an acceptable delay in this case, particularly when buyers were left without refunds or completed units for an extended period.

In conclusion, these cases highlight the importance of thorough due diligence and awareness of legal rights for home buyers. Buyers should be cautious of builders with a history of such disputes and ensure that their contractual agreements are clear regarding refund policies and timelines for completion.