TG-RERA rejects WhatsApp price claims

 * directs builder to execute sale agreement

Hyderabad: The Telangana Real Estate Regulatory Authority (TS-RERA) has directed the promoter of the “Auro Kohinoor” project to execute an Agreement of Sale in favour of a homebuyer, holding that alleged price reductions discussed through WhatsApp messages do not constitute official or legally binding communication under the Real Estate (Regulation and Development) Act, 2016.

The dispute pertains to Unit No. 504 in the Jewel Building of the project. TS-RERA noted that the promoter had initially communicated a total sale consideration of ₹2,81,38,845 plus applicable GST through a formal apartment cost sheet, which constituted the officially conveyed price at the inception of the transaction.

The homebuyer claimed that subsequent WhatsApp exchanges with the promoter’s agent indicated a revised price of ₹2,34,13,851 inclusive of GST. The promoter denied any such revision. After examining the record, the Authority observed that the WhatsApp messages reflected informal negotiations, including references to an alleged cash component, and did not amount to a legally concluded revision of price.

TS-RERA noted that no revised booking form, allotment letter, cost sheet or Agreement of Sale reflecting the reduced consideration was ever executed or formally issued. It held that electronic communications may evidence discussions but do not attain contractual finality unless crystallised through a duly executed written document.

The Authority ruled that the only legally recognisable sale consideration remains ₹2,81,38,845 plus GST. It further clarified that Section 13(1) of the RERA Act does not bar execution of an Agreement of Sale once around 10 per cent of the consideration has been collected, which was undisputed in this case.

Accordingly, TS-RERA directed the promoter to execute the Agreement of Sale within 15 days and warned of action for non-compliance.