Representative Complaint on behalf of a large number of Consumers


In their order dt. 7 October 2016, The NCDRC has passed a detailed order  interpreting Section 12(1)(C) of the Consumer Protection Act, allowing home buyers who have invested in a project to be automatically made party to any case filed against a builder.

Referred to as a representative lawsuit, this can only be done if their interest, complaint or grievance is common to that of the person who has filed the complaint. The order applies to all new cases as well as old ones.


                                                                     NEW DELHI


                                             FIRST APPEAL NO. 166 OF 2016
(Against the Order dated 27/01/2016 in Complaint No. 586/2015 of the State Commission Maharastra)          




For the Appellant :  
Mr. S.K. Sharma, Advocate
Dr. Abhishek Atrey, Advocate


For the Respondent :
Mr. Nikhil Jain, Advocate Mr. Anshuman Nandi, Advocate

Dated : 07 Oct 2016



 Link to the full order:

Builder constructs illegal flat on car parking area and sells it

Builder constructs illegal flat on car parking area and sells it


The Maharashtra State Consumer Commission has ordered Shreekrishna Developers – a builder to pay to a buyer –  the complainant Rs 26 lakh, the 2012 (year of filing the complaint) value of a 525 sq feet flat in the vicinity. The buyer who had taken possession of the flat in 2005 after buying it for Rs 4.95 lakh, realized that anomaly after the society refused to induct him as a member.

“From perusal of the occupancy certificate, it is seen that after getting the occupancy certificate from the corporation, the opponent (Shreekrishna Developers) has constructed the flat without the sanction of the municipal corporation. Thus, there is a clear-cut deficiency in service on the part of the opponent who also adopted unfair trade practice by carrying out the unauthorized construction and allotting the same to the complainant,“ the Maharashtra State Consumer Disputes Redressal Commission said.

The spot where the flat was constructed was to be used for parking. The space will now be handed back to the society .

The complaint was filed by flat purchaser Sunil Gade in 2012. Gade told the commission that after receiving a negative response from the society about his membership, he approached the builder. When he got no response from the builder, he issued a notice through an advocate in November 2011and requested the builder to regularise the flat from the Navi Mumbai Municipal Corporation (NMMC) at its costs. Gade however, received a reply with the remark “not claimed“. In the commission, the builder submitted that Gade himself had chosen to stay on the ground floor. It contended that as the flat was constructed on Gade’s request and the possession had already been handed over, there was no deficiency in service.

The builder further stated that if Gade did not want to continue living in the flat, he could take back his entire payment along with interest and surrender the flat.

The full decision dt. 4 October 2016 is available at the following link:


Non Judicial Stamp Papers do not have any Expiry Period – Supreme Court

NON JUDICIAL STAMP PAPERS DO NOT HAVE ANY EXPIRY PERIOD BEING USED FOR A DOCUMENT                                            Supreme Court


The Supreme Court has held that there is no expiry period  for use of Non Judicial Stamp Paper.

In this case, the Trial Court and the High Court have doubted the genuineness of the agreement dated 5.1.1980 because it was written on two stamp papers purchased on 25.8.1973 and 7.8.1978. The learned counsel for first respondent submitted that apart from raising a doubt about the authenticity of the document, the use of such old stamp papers invalidated the agreement, as the stamp papers used in the agreement of sale were more than six months old, they were not valid stamp papers and consequently, the agreement prepared on such ‘expired’ papers was also not valid.

Apex Court held that that the Indian Stamp Act, 1899 nowhere prescribes any expiry date for use of a stamp paper. Section 54 merely provide that a person possessing a stamp paper for which he has no immediate use (which is not spoiled or rendered unfit or useless), can seek refund of the value thereof by surrendering such stamp paper to the Collector provided it was purchased within the period of six months next preceding the date on which it was so surrendered. The stipulation of the period of six months prescribed in section 54 is only for the purpose of seeking refund of the value of the unused stamp paper, and not for use of the stamp paper. Section 54 does not require the person who has purchased a stamp paper, to use it within six months. The stamp papers do not have any expiry period. Section 54 does not require the person who has purchased a stamp paper, to use it within six months. Therefore, there is no impediment for a stamp paper purchased more than six months prior to the proposed date of execution, being used for a document.

Supreme Court of India  
Citation:(2008) 4 SCC 530:AIR 2008 SC 1541

 Thiruvengada Pillai vs Navaneethammal & Anr on 19 February, 2008

Bench: R. V. Raveendran, P.Sathasivam