MahaRERA Rejects Developer's Clerical Error Claim, Orders Payment for Delayed Possession

Pune, 10th April 2026: The Maharashtra Real Estate Regulatory Authority (MahaRERA) has dismissed a real estate developer’s claim that a handover deadline in a registered sale agreement was merely a “clerical error,” directing the company to pay delayed possession interest to the homebuyer.

The order, pronounced by MahaRERA Member Mahesh Pathak on April 6, 2026, involves developer Duville Estates Private Limited and its registered project, ‘Riverdale Grove’, located in Haveli, Pune.

The complainant, homebuyer Nikhil Wadaskar, purchased a flat in the project in August 2021 for a total consideration of ₹74.32 lakh, of which he had already paid ₹70.60 lakh. According to his registered Agreement for Sale, the developer was bound to hand over possession by June 30, 2024. When the developer failed to deliver the flat, Wadaskar approached MahaRERA.

In its defense, Duville Estates argued that the June 2024 date was an “inadvertent” clerical error made by its customer relations team. The developer claimed that out of 444 apartments, almost all had a committed possession date of January 31, 2026, but the first eight purchasers were accidentally given the 2024 timeline. While other buyers accepted the correction, the complainant refused.

MahaRERA firmly rejected the developer’s argument, stating that a prudent promoter cannot, at a belated stage, unilaterally disown a registered timeline. The authority noted that without a duly executed rectification deed, a unilateral claim of an “inadvertent error” is legally untenable, and the registered agreement remains binding on both parties.

Upon reviewing the contract’s clauses, MahaRERA determined the baseline possession date to be December 31, 2024. Factoring in a mandatory six-month extension granted to the real estate sector due to the second wave of the COVID-19 pandemic, the revised deadline was extended to June 30, 2025.

Since the project remains incomplete, MahaRERA ordered Duville Estates to pay interest on the actual amount paid by the buyer—excluding taxes and statutory charges—from July 1, 2025, until the date a valid Occupancy Certificate (OC) is offered. The interest is to be calculated at the State Bank of India’s Marginal Cost Lending Rate (MCLR) plus 2%.

However, in a move to ensure the ongoing construction is not jeopardized by a sudden outflow of funds, MahaRERA deferred the actual payout. The authority ruled that the accumulated interest shall be adjusted and set off against the complainant’s final outstanding dues at the time of actual possession.

This decision by MahaRERA underscores the importance of transparency and adherence to registered agreements in the real estate sector, providing a clear message to developers about the consequences of non-compliance.