RERA Complaint or Consumer Forum (NCDRC): Which Is Better?

When it comes to the redressal of complaints and disputes related to real estate in India, the two popular avenues that provide redress for aggrieved home buyers are the Real Estate Regulatory Authority (RERA) complaints and the consumer forum, namely the National Consumer Disputes Redressal Commission (NCDRC). Both platforms offer a legal framework for resolving conflicts between home buyers and developers, but understanding the differences between the two can help individuals make an informed choice about which option better suits their needs. In this article, we will discuss  between RERA Complaint or Consumer Forum (NCDRC) which is better RERA or NCDRC.

RERA Complaints

The Real Estate (Regulation and Development) Act, 2016, commonly known as RERA, was enacted to protect the interests of home buyers and promote transparency in the real estate sector. RERA establishes state-level regulatory bodies responsible for enforcing regulations and resolving disputes related to real estate projects.

One of the significant advantages of filing a RERA complaint is that it focuses exclusively on real estate matters. RERA aims to regulate the entire real estate industry, including both residential, and commercial properties. It provides a comprehensive framework for dealing with issues such as project delays, substandard construction quality, changes in project plans, and developer malpractice. RERA mandates timely completion of projects, disclosure of project details, and adherence to specific guidelines to protect the interests of buyers.

RERA complaints are generally filed with the relevant state RERA authorities. This process usually involves submitting the necessary documents and evidence, such as the purchase agreement, payment receipts, and correspondence with the developer, to support the complaint. The RERA authority then investigates the matter and has the power to issue orders, impose fines, and provide adequate relief to the affected home buyers.

Process of filing RERA Complaint

Complaints are filed against promoters, agents, and builders under the RERA Act. Section 31 of the Act establishes the complaint procedure, which the complainant is obliged to follow properly. It is shown below:

• The complaint is filed by the buyer against the builder or agent in the relevant jurisdiction through a RERA lawyer.
• Complete the details of the complaint as per the guidelines set by the prescribed state, particularly where the project is located.
• The following details are to be mentioned in the RERA complaint-
  • Full particulars of applicant and respondent
  • Address and RERA registration number related to the disputed project
  • Facts about the RERA complaint and brief statements about the reasons for the complaint and demand for penalty
  • State the claim for relief and interim measures, if requested.
• Then pay the fees. The fee amount varies from state to state, for example in Karnataka the fee amount is Rs 10,000 while in Mumbai the fee amount is Rs. 5000.
• Online RERA complaints can also be filed on the RERA website of your state.
• If the complainant is not satisfied with the order passed by RERA, then there is an option to move to the RERA Appellate Tribunal within 60 days of the order being passed by the lower tribunal.
• Further, the complainant can approach the High Court within 60 days if he is not satisfied with the orders of the Appellate Tribunal.

Consumer Forum (NCDRC)

The National Consumer Disputes Redressal Commission or NCDRC established under the Consumer Protection Act of 1986, is a quasi-judicial body and serves as the apex consumer forum in India. It hears appeals against the decisions of state-level consumer forums and resolves consumer complaints across all sectors including real estate.

While RERA is specific to the real estate sector, the consumer forum provides a broader scope for resolving consumer disputes across sectors. NCDRC offers a platform for individuals to seek redress for issues related to defective products, inadequate service, unfair business practices, and any violation of consumer rights. It acts as a centralized body for the redressal of appeals and provides a hierarchy of consumer forums, from district to state to national levels, based on the scope of the dispute.

Difference between RERA and NCDRC

Between RERA Complaint or Consumer Forum (NCDRC) which is better.

Choosing between RERA Complaints and Consumer Forum (NCDRC)

The decision to opt for a RERA Complaint or Consumer Forum (NCDRC) which is better. depends on the nature of the complaint and the particular circumstances. The factors that play an important role while are-

• Scope of Complaint: If the complaint is only related to the real estate sector like project delay, quality of construction, or malpractices of developers, it would be more appropriate to file a RERA complaint.
• Jurisdiction: RERA complaints are filed with state regulatory authorities while consumer forum appeals go to respective district, state, or national forums. Consider jurisdictional requirements and convenience when choosing an appropriate forum.
• Expertise and Specialization: RERA authorities are specialized bodies with expertise in real estate matters, which makes them better equipped to deal with specific issues related to the sector. Consumer forums, on the other hand, deal with complaints across multiple sectors and offer a broader perspective.
• Time and Cost Considerations: Both RERA complaints and consumer forum appeals involve certain costs and may take time to resolve. Evaluate the associated expenses, timelines, and your personal preferences to decide which option works best for you.

Penalties

Penalties under the NCDRC are limited to the extent of imposition of fine and no imprisonment is awarded to the developer in such cases. The penalties provided under RERA registration are both imposition of fines and imprisonment for a specified period. RERA registration has the option to impose both responsibilities on the developer simultaneously.

Final words

In conclusion, both RERA grievances and the consumer forum (NCDRC) provide essential platforms for seeking redressal of real estate grievances in India. While RERA focuses exclusively on the real estate sector, the consumer forum offers a wider scope to resolve consumer disputes across sectors. Consideration of the nature of the complaint, jurisdiction, expertise, and considerations of time and cost can help individuals make an informed decision about which route best suits their particular needs. It is advisable to consult legal experts or professionals to understand the complexity of the complaint and choose the appropriate forum accordingly.

In case of any query regarding which is better RERA or NCDRC, a team of expert advisors from Legal Window is here to assist you at every step. Feel free to reach us at admin@legalwindow.in.