Legal Notice to Builder for Delayed Possession (RERA) Format
A legal notice for delayed possession is a formal demand to a builder or developer who has failed to hand over a flat by the agreed date, seeking possession with delay interest, or a refund with interest, within a stated period. It relies on Section 18 of the Real Estate (Regulation and Development) Act, 2016.
When to send this notice
Use this notice when a builder has not delivered possession by the date promised in the builder-buyer agreement or RERA registration, or the project is abandoned or stalled. The notice records the default and your demand — possession plus interest, or refund plus interest — before you approach the RERA authority or a consumer forum.
Statutory basis
Section 18 of the Real Estate (Regulation and Development) Act, 2016 provides that if a promoter fails to hand over possession by the date in the agreement, the allottee may either withdraw and claim a refund of the amount paid with interest and compensation, or, if they choose to stay, claim interest for every month of delay until possession. Allottees may also pursue relief under the Consumer Protection Act, 2019 as an alternative remedy.
[ON THE LETTERHEAD OF THE ADVOCATE] By Registered Post A/D & Email Date: [DD/MM/YYYY] To, [Name of Builder / Developer / Company] [Registered Office Address] Subject: Legal notice for delay in handover of possession of Unit no. [Unit] in project "[Project Name]" and demand for [possession with interest / refund with interest]. Sir/Madam, Under instructions from my client, [Allottee Name], of [Allottee Address], I serve upon you the following notice: 1. That my client booked Unit no. [Unit] in your project "[Project Name]", RERA Regn. no. [number], vide builder-buyer agreement dated [DD/MM/YYYY], and has paid Rs. [Amount] towards the consideration. 2. That as per the said agreement, possession was to be handed over by [DD/MM/YYYY], but you have failed to deliver possession to date, in default of your obligations. 3. That my client is entitled, under Section 18 of the Real Estate (Regulation and Development) Act, 2016, to [interest for delay / refund of the amount paid with interest and compensation]. I therefore call upon you to [hand over possession with delay interest / refund Rs. Amount together with interest and compensation] within fifteen (15) days of receipt of this notice, failing which my client shall initiate proceedings before the RERA Authority / Adjudicating Officer and/or the Consumer Commission, at your risk, cost, and consequences. [Advocate Name] [Enrolment No. / Contact]
Replace every [placeholder] with your own details before use.
How to send this legal notice
From draft to proof of delivery and the next legal step.
Collect the builder-buyer agreement, payment receipts, RERA registration details, and the promised possession date.
Confirm the delay against the agreed handover date and decide your remedy — possession with interest or refund with interest.
Draft the notice citing the project, agreement, payments, and Section 18 of RERA, 2016.
Demand possession/refund with interest within 15 days.
Serve it on advocate letterhead by Registered Post A/D and email, keeping proof.
If unresolved, file a complaint before the State RERA Authority/Adjudicating Officer or the Consumer Commission.
Frequently asked questions
What are my rights if a builder delays possession?
Under Section 18 of RERA, 2016 you can either withdraw and claim a refund of the amount paid with interest and compensation, or continue with the project and claim interest for every month of delay until possession is handed over.
Should I approach RERA or the consumer forum?
Both are available. Many allottees file before the State RERA Authority or Adjudicating Officer for delay interest and refunds; the Consumer Protection Act, 2019 forum is an alternative. The best route depends on the relief sought and the facts.
What interest rate applies for delayed possession?
RERA rules typically prescribe interest at a rate linked to a benchmark such as the SBI marginal cost of lending rate plus a margin, applied equally to both parties. The exact rate is set by the State RERA rules.
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From template to tracked notice
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