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What is an Occupancy Certificate?
It is a document which is issued by a local government agency or planning authority, upon completion of construction of a new project. It provides proof that the project has been built, by adhering to applicable building codes, relevant regulations, and laws. The buyer has the responsibility to obtain the certificate. [3]
This decision is significant as a lot of homebuyers purchase homes in unfinished projects which are still undergoing construction. Despite the lack of promised facilities like swimming pool, clubhouse, green areas and more, the builders levy maintenance charges from the date of possession. This decision provides that if such facilities are not being provided despite being a part of the project and the builder still levies maintenance charges, an appeal against the same can be filed before the consumer forum.
[1] Consumer Complaint no. 763 of 2020 – National Consumer Dispute Redressal Commission.
[2] Consumer complaint no. 1009 of 2016.
[3] https://corporate.cyrilamarchandblogs.com/2022/05/no-occupancy-certificate-no-maintenance-charges/ .