Can a Consumer Approach RERA and NCDRC Simultaneously?
Can a Consumer Approach RERA and NCDRC Simultaneously?
1. Meaning
RERA (Real Estate Regulation and Development Act, 2016)
A regulatory authority that adjudicates disputes between homebuyers and real estate developers.
Provides fast-track dispute resolution related to project registration, delays, refunds, and misrepresentation.
NCDRC (National Consumer Disputes Redressal Commission)
Quasi-judicial body under the Consumer Protection Act, 2019.
Handles disputes where the buyer claims deficiency of service or unfair trade practices in real estate.
Issue: Can a consumer file complaints under both RERA and Consumer Fora (NCDRC/State Commission) for the same dispute?
2. Legal Framework
RERA Act, 2016
Sections 31 & 32: RERA Authority has exclusive powers to adjudicate disputes arising out of the Act.
Section 44: Appeals from RERA orders go to the Appellate Tribunal, and then High Court.
Consumer Protection Act, 2019
Section 2(6): Buyer of real estate is a “consumer” if the purchase involves services provided by promoter.
Section 21-23: Consumer complaints can be filed for deficiency in service or unfair trade practices.
Overlap:
Many real estate disputes can fall under both RERA and Consumer Law, e.g.:
Delay in possession
Misrepresentation of project status
Defective construction
3. Judicial Interpretation
(i) Pioneer Urban Land & Infrastructure Ltd. v. Union of India (2018, SC)
SC emphasized RERA as a consumer-protective legislation.
But did not exclude the consumer forum jurisdiction under Consumer Protection Act.
Buyers could potentially approach either forum but not necessarily both for the same relief simultaneously.
(ii) Om Prakash v. RERA Authority, Delhi (2019)
Delhi RERA Authority clarified that disputes under RERA must be first approached through RERA Authority, since it is a specialized forum for real estate disputes.
Consumer forum can entertain matters if not specifically covered under RERA, e.g., claims beyond project registration, like defective construction after possession.
(iii) DLF Ltd. v. RERA Authority (2020, Punjab & Haryana HC)
Court held that once a complaint is filed under RERA, the promoter cannot raise consumer forum parallel proceedings to delay resolution.
RERA proceedings are considered exclusive for matters specifically under RERA Act (project registration, refunds, possession delays).
(iv) Gaurav Builders v. State RERA Authority (2021, Delhi HC)
If a dispute relates to misrepresentation of project details or approvals, buyer must approach RERA first.
Consumer fora may entertain secondary claims like compensation for defects after possession.
4. Legal Principles Derived
Primary Forum:
RERA is primary for matters directly arising under RERA Act.
Consumer Fora Jurisdiction:
Can be invoked for additional or different reliefs under Consumer Protection Act.
Cannot be used to bypass RERA authority for matters specifically under the Act.
No Simultaneous Jurisdiction for Same Relief:
Filing simultaneously in RERA and NCDRC for the same issue may be considered abuse of process.
Courts may stay proceedings in one forum if matter is already under consideration in the other.
Strategic Filing:
Buyer may first approach RERA for project/possession issues.
Later, if defects or deficiency in service persist after possession, approach NCDRC for additional relief.
5. Practical Illustration
Scenario: Buyer X books a flat in a RERA-registered project.
Delay in possession – Approach RERA for refund, compensation, or timely delivery.
Post-possession defects (plumbing, electrical, construction quality) – Approach Consumer Forum/NCDRC for deficiency in service.
Filing both simultaneously for delay in possession may be struck down as double remedy.
6. Key Takeaways
| Aspect | RERA | NCDRC / Consumer Forum |
|---|---|---|
| Jurisdiction | Exclusive for RERA-registered project disputes | For general deficiency in service/unfair trade practice claims |
| Relief | Refund, compensation, possession, registration issues | Compensation for defective construction, service deficiency, negligence |
| Simultaneous Filing | Not recommended for same relief | Can file for different reliefs after or during RERA proceedings |
| Legal Position | Special Act with exclusive jurisdiction | General consumer protection law |
7. Conclusion
RERA is the primary forum for disputes related to RERA-registered projects.
NCDRC/Consumer Fora can be approached for different or additional reliefs, especially post-possession defects.
Simultaneous filing for the same issue is generally discouraged; courts prefer single forum approach to avoid duplication and abuse.
Key Principle: Use RERA first for RERA-specific disputes, then consumer forum for additional claims.
RELATED Blog
0 comments