There have been several instances where homebuyers discover after purchasing a residential property that the promised amenities are either missing or not as advertised, causing disputes with the builder.
If something like this happens, you are not without options. The Real Estate (Regulation and Development) Act (RERA) has been put in place to help individuals seek legal and financial help in such cases.
Knowing how to report false advertising under allows buyers to take action against unfair conduct, seek a refund, cancel their property booking, as well as pursue compensation depending on the facts of the case.
Awareness of the complaint process helps buyers protect their investment and hold developers accountable, especially as false promises and misleading advertisements are increasingly becoming a major issue in Indian real estate.
What to do in case of false advertisements?
If an individual bought a residential house or flat in India, but they believe that the amenities do not match what was advertised previously, then such a homebuyer can take the following steps to protect their legal rights:
- Review the sale agreement: Check the original sale agreement to confirm the agreed-upon amenities, size of the house, among other such details. This would help you to draw a comparison between what was promised versus what was eventually delivered.
- Keep evidence of the malpractice: The homebuyer should keep the property brochure or advertisements handy. You can secure pamphlets, pictures of hoardings, website screenshots, emails, messages and payment receipts. Documents needed to file RERA complaint for false advertising play an important role in successful outcomes.
- Contact the developer: Reach out to the developer and seek a formal explanation for the failure to provide the promised . The same route can be taken if you believe the amenities are not up to mark.
- Lodge a complaint with RERA: If the builder fails to provide a proper resolution within the prescribed timeline, a formal complaint can be filed with the local RERA authority. The complaint must include the facts of the case and any communication between the buyer and the builder.
- Seek legal help: In cases where the RERA process does not provide a satisfactory resolution, or the builder is non-compliant, homebuyers can approach a consumer court or take legal action as per the provisions under RERA and the Consumer Protection Act.
In one such case reported in July this year, a Bengaluru homebuyer filed a complaint with Karnataka RERA as he alleged that he has been waiting for more than six years for basic amenities that were promised by the builder, including Cauvery water, BESCOM electricity meters and DG generator power supply. He ultimately won the case and received relief from the authorities.
What is considered false advertising under RERA?
False advertising refers to any information that is intended to mislead people into purchasing a property. This can involve incorrect claims about project approvals, possession timelines, amenities, location advantages, or pricing.
Misleading property advertisements may promise features that are never delivered upon possession of the said property. Under RERA, even verbal assurances by sales teams can be questioned if they contradict registered project details. False promises by builders are treated as a serious offence under the law.
How to file a RERA complaint online
Most states allow individuals to file a RERA complaint online through its official website. must register on the online portal, fill in project and developer details, explain the malpractice in clear language, along with uploading supporting documents to strengthen your point.
The steps to file RERA complaint against misleading ads are designed to be simple and accessible for homebuyers.
A small complaint filing fee is charged, which varies from state to state. Once filed, RERA issues notices to the developer and schedules hearings. This RERA route is usually faster compared to traditional court cases.
If the builder is found guilty, RERA has the power to impose heavy penalties, which may include fines, compensation to buyers, or directions to correct advertisements. In serious cases, the project registration can also be suspended.