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The builder has cancelled my flat allotment in Vadodara. What can I do?

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(@Simar Chawla)
Joined: 4 weeks ago
[#1718]
I had booked a flat in Vadodara and paid a substantial amount, but the builder has now cancelled my allotment. What legal remedies are available to me?

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Posts: 2689
(@advocate-mudit-pratap)
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Joined: 2 months ago

An unjustified or arbitrary cancellation of a flat allotment is one of the most distressing situations a homebuyer in Vadodara can face, especially after making substantial payments over months or years. The law is firmly protective here — a builder who cancels without a specific, contractually valid ground faces serious legal and regulatory consequences.

Your most direct and powerful remedy is a complaint before GujRERA — Gujarat's Real Estate Regulatory Authority — under the RERA Act 2016. The GujRERA complaint is filed online at gujrera.gujarat.gov.in (office in Gandhinagar, hearings often via video conference for Vadodara complainants). Under Section 18 of the RERA Act, GujRERA can order the builder to restore your allotment, direct possession to be handed over, or order a full refund of all amounts paid with interest at SBI MCLR plus 2% from the date of each payment — whichever you choose. GujRERA has been active in penalising Vadodara builders for unilateral cancellations and non-compliance with registered agreements. The filing fee is typically ₹1,000. Appeals from GujRERA orders go to the Gujarat HC at Ahmedabad.

Alongside or instead of GujRERA (where the builder is unregistered), a civil suit for specific performance under Section 10 of the Specific Relief Act 1963 seeks a court order directing the builder to complete the sale and hand over possession, combined with an interim injunction preventing the builder from re-allotting the flat to any third party while the suit is pending. If the cancellation involves fraud or misrepresentation — the builder fabricating a false ground to re-sell at a higher price — criminal remedies under the BNS are also available: cheating under Section 318 BNS and criminal breach of trust under Section 316 BNS. The RERA and property advocates at the Vadodara panel of Aapka Legal Advice can assess which combination of GujRERA complaint, civil suit, and criminal complaint delivers the best outcome for your specific situation. Preserve every document from your transaction without exception.


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