Allahabad High Court: Accepting delayed possession does not stop buyer claiming interest

# Case summary Court, Lucknow bench, dismissed an appeal by Antriksh Developers and Promoters Pvt Ltd and reiterated that accepting possession of a flat after delay does not extinguish a buyer's statutory right to interest for the delayed period.

# Parties and project

Developer: Antriksh Developers and Promoters Pvt Ltd. Project: Antriksh Golf View, Sector 78, Noida. Bench: Justice Prashant Kumar (Lucknow bench of Allahabad High Court).

# Timeline of key events

• NGT restraint: An NGT order restricting construction near Okhla Bird Sanctuary came into effect in August 2013.
• Developer's completion claim: The developer's case said the project was completed in 2014 and an occupancy-certificate application was filed that year.
• Offer of possession: Developer offered possession in May 2017, reportedly without an occupancy certificate and other required documents.

# Court's findings The court made several concrete findings:

• Acceptance of possession later by the buyer does not bar a claim for interest relating to the earlier delay.
• RERA contains no specific limitation period for claiming interest on account of delayed possession.
• The developer's argument that an NGT restraint prevented completion was inconsistent with its own claim that the project was completed in 2014 and an occupancy-certificate application was made that year.

• Court's doctrine of a "zero period" applies only to the actual period affected by an external restraint and cannot wipe out delay already incurred.

# Outcome Tribunal's direction to pay interest for the delayed period and dismissed the developer's appeal.

# Practical implications

• Claims that a project is both complete and simultaneously prevented by an external order undermine credibility before courts and tribunals.

# What the ruling does not do The court focused on the facts of this dispute and did not create a fixed national rule for interest rates or precise calculation methods beyond upholding the tribunal's direction in this case.

# Short takeaway If a buyer accepts delayed possession, they still can claim interest for the period of delay. Developers should ensure timelines, approvals, and communications are consistent and cannot rely on later-imposed restraints to cancel earlier defaults.