The ongoing tug-of-war between home buyers and builders persists, even in the presence of the Real Estate (Regulation and Development) Act (RERA). Many buyers believe they can penalise builders for delayed possession, but misunderstandings of the RERA law could lead to fines for the buyers themselves. Thus, understanding this law is crucial when booking a house or any property.

In 2010 a builder in Mumbai initiated a housing project in Kurla-Andheri. Ram Kumar, an IT engineer, admired the project and booked flat number 401 in the D wing, measuring about 836 square feet. The builder committed to handing over possession by December 31, 2017 and accordingly made a sale agreement.

Under the agreement, a payment of Rs 1.66 crore (excluding stamp duty and registration charges) was agreed upon.

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