Asked July 02, 2016

Illegal construction in common area

  • 1 Answer

Hello! I had purchased a flat in Indore MP in September 2015 at the price of 19 lakhs, I paid builder 14 lakhs and done with the registration of flat but in the registration document builder wrote 5 lakhs as pdc dated 01/01/2016 which I had to pay him in 3 monthsand now its july and I haven\'t paid the mentioned amount and the reason behind this was that I came to know later that the flat which builder sold to me is illegal and he built a flat in parking area this I came to know from my neighbour, all these things was not informed to my builder as I was not going for any home loan so he didn\'t informed me anything on this, but now I am unable to make the remaining amount of 5lakhs so I was willing to go for mortgage loan but no banker is accepting, my documents, I asked for map and government clearance paper of my flat and he gave me a modified one I am having all that proof as well.Now I am in dilemma of what to do, builder is forcingme to vacate the flat asap or else he will sell the flat to someone in 5lakhs and recover his money and he is saying that he will cancel my sale deed and will present the cheque and in bank and it will bounce and he will cancel the agreement the cheque date is already over as it was given in the month of Jan 2016 its 6 month now.Please guide me what to do in this.

Answer 1

Default avatar
Ragini Gupta

Parking areas are ‘common areas’ and the promoter or builder has no right over these common areas. Therefore, he has tried to allot you land over which he has no right. 

The Madhya Pradesh Prakostha Swamitva Adhiniyam, 2000 is the Act  that applies to apartments in any buildings in the State. Section 4 of the Act states that the apartment owners own in common the common areas and facilities, and neither the promoter nor the association shall have any rights in the common areas and facilities. In fact, the percentage of undivided interest of an apartment owner in the common area facilities cannot be altered without the written consent of all the apartment owners. Therefore, an agreement to sell a parking space, which is a common area is contrary to the provisions of the Act, and you will not be bound by such an undertaking. In a dispute that went up to the Supreme Court of India, (Nahalchand Laloochand Pvt. Ltd. v Panchali Co-op. Housing Society (2010) 9 SCC 536) , a promoter attempted to enforce certain rights in respect of a parking area, and the Court decided that the he had no right to sell the parking spaces. 

Thus, if you are able to prove (perhaps with the help of a plan or a map) that the space allotted to you was in a parking area, you will be entitled to recover your money with interest from the builder. 

There are a number of remedies that you can avail of here:

Consumer Complaint: A number of disputes related to builders and property matters have been decided by the Consumer Forums, which are quite speedy in their dispute resolution process. For disputes where the value of the goods, services and compensation claimed exceeds Rs 20 lakh, the State Commission is the appropriate forum to file the complaint.


Criminal complaint: Section 420 of the Indian Penal Code criminalises cheating. A F.I.R could be registered against the builder for inducing you to pay Rs. 15 lakh, in respect of property which he does not even have the right to sell.

Agree Comment 0 Agrees almost 6 years ago

Please Login or Register to Submit Answer

Directory ads
Need to talk to a lawyer?

Book a phone consultation with a top-rated lawyer on Lawfarm.