JUDGEMENT
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(1.) LEAVE granted. Heard both parties.
(2.) THE appellant, Kerala State Housing Board ('Board' for short) allotted a premises (land and building) to the respondent in terms of agreement of sale dated 08/04/1992.
Clause (4) of the agreement fixed a sum of Rs.31260/- as the tentative land value and
tentative service charges (for providing amenities). The said clause also fixed the (final)
cost of the structure as Rs.86992/-. Clause 10 enabled the Board to refix of the final
price of the land and service charges, on account of enhancement of compensation for
acquisition of the land and increase in the cost of amenities. Clause 11 provided for the
interest payable on the difference between the tentative price and the final price fixed.
The said Clauses 10 & 11 are extracted below:
"10. It is agreed that the Kerala State Housing Board shall be entitled to refix the final price of the land and service charges thereon taking into account inter alia the enhanced compensation awarded by Courts and Tribunals. The cost incurred by the Board or and its predecessors in interest for prosecuting such proceedings in Courts and tribunals and also the increased cost of development works and amenities undertaken with respect to the scheme after a final settlement of accounts in connection therewith. It is agreed that the decision of the Board in fixing the revised price of the land and service charges shall be conclusive and final. 11. It is expressly agreed between the parties hereto that after the finalization of the price of the land and service charges by the Board the party of the second part shall pay to the Board together with interest at 15.5% and 13% per annum, the difference between the tentative price fixed therefor and the price finally fixed for both the land and service charges by the Board, within thirty days of the date of a registered notice demanding the payment thereof or in such instalments such rate of interest to be determined by the Board."
Clause 12 provides that the allottee shall be entitled to get a registered sale deed
conveying the premises on payment of all the amounts due in terms of the said
agreement and after complying with all the terms and conditions of the said agreement.
It is stated that the respondent has paid the tentative land value and tentative service charges aggregating to Rs.31260/- as also the cost of structure being
Rs.86992/- by 1994 and secured possession of the premises. More than a decade after
the agreement, the Board send a demand notice dated 07/01/2004 claiming Rs.13406/-
as the difference in building cost (with interest) and Rs.163821/- as additional land
value (with additional development and LAR) in all Rs.177227/-.
(3.) FEELING aggrieved, the respondent approached the High Court contending that no particulars of the increased cost were furnished to her and that she was not liable to
pay the additional amount claimed by the Board. A learned Single Judge of the Kerala
High Court, by order dated 14/06/2005 disposed of the writ petition by directing the
appellant Board to furnish a detailed statement of account (showing the actual cost and
the interest) to the respondent. Learned Single Judge also observed that if on receiving
the statement of account the respondent wanted to dispute any part of the claim, she
may have to approach the Civil Court, as that was in the nature of a civil dispute.;
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