Introduction:

The Bombay High Court showcases judicial empathy by granting the refund of stamp duty for a flat purchase agreement, even beyond the stipulated 5-year limit, owing to the developer’s failure to fulfill obligations. In the case involving Satish Buba Shetty, a retired bank official, the court emphasizes the importance of fairness and recognizes the impossibility of performance in certain statutory conditions. Shetty diligently pursued remedies before the Real Estate Regulatory Authority (RERA), and the delay in executing the Cancellation Deed was not of his making. The court invokes maxims of law to uphold equity, justice, and fairness in the face of statutory provisions.

Arguments:

Satish Buba Shetty seeks a refund of stamp duty for an agreement to purchase a flat, entered into with M/s. Vijaykamal Properties Private Limited. Despite the developer’s non-compliance and delayed execution of the Cancellation Deed, Shetty contends that he should not bear the penalty due to circumstances beyond his control. The Collector of Stamps rejects Shetty’s claim based on the statutory time limit, arguing that the agreement was not canceled within the mandated five years.

Court’s Judgement:

Justice NJ Jamadar acknowledges the unique circumstances, where Shetty, in his late 60s, booked a flat for peaceful retirement. The court recognizes the developer’s default, leading Shetty to approach RERA, which subsequently ordered refund and Cancellation Deed execution. Judicial delays in the process should not count against Shetty, and the court invokes maxims like “actus curiae neminem gravabit” and “lex non cogit ad impossibilia” to justify the refund. The court’s decision quashes the orders of revenue authorities, emphasizing equity, justice, and fairness.