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booking amount
  • Adv Govind Bali
  • RERA
  • May 20, 2026

Can a builder forfeit a booking amount? RERA, Consumer Law and Supreme Court Position

A builder cannot mechanically forfeit the entire booking amount merely because the homebuyer cancels the booking. Under RERA, a promoter cannot accept more than 10% of the cost of the apartment, plot or building as advance payment without first entering into a written agreement for sale. In builder-buyer disputes, forfeiture must also satisfy the test...

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