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Haryana State Agricultural Marketing Board v. Bishamber Dayal Goyal

Civil Appeal · Neutral citation not assigned (Civil Appeal No. 3122 of 2006)Decided 26 Mar 2014
Civil Appeal No. 3122 of 2006
Justice Gyan Sudha Misra · Justice Pinaki Chandra Ghose

Background

Buyers of plots in a proposed grain market stopped paying instalments because the promised development and measures needed to conduct grain trading had not been provided. Consumer forums found prolonged service deficiency, granted interest on deposited money and relieved them of specified default charges, which the marketing board challenged.

Decision Breakdown

The Court dismissed the board's appeal and upheld the consumer relief. This was an allotment for a defined trading use with development obligations, rather than an unrestricted sale in the plots' existing condition. The board's prolonged failures prevented that use and justified proportionate relief, although the buyers were themselves wrong to withhold contractual instalments. The surviving order required the balance price to be paid and protected buyers from the stated charges, while awarding 12% interest on deposits from two years after allotment until the required development and notification.

Lesson Learnt

A public development authority can be answerable for leaving allotted premises unusable, but missing amenities do not automatically cancel the buyer's obligation to pay the purchase instalments.

Official source (sci.gov.in)View Judgment (PDF)

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