The Lucknow bench of the Allahabad High Court has dismissed a batch of petitions filed by Gaursons Hi-Tech Infrastructure Ltd., refusing to interfere with concurrent orders passed by the Uttar Pradesh Real Estate Regulatory Authority (UP-RERA) and the Real Estate Appellate Tribunal (REAT) in favour of commercial shop buyers at the Gaur City Centre project in Greater Noida West.
In four similar matters, Justice Prashant Kumar upheld the findings that the project remained incomplete far beyond the committed timelines, entitling buyers to possession along with statutory interest for delayed delivery. The appeals were reserved for judgment on November 26, 2025, and pronounced on January 21.
Developer Accepts Verdict, Rules Out Further Challenge
Manoj Gaur, promoter of the Gaur City Centre project, confirmed that the company would comply with the High Court’s decision and would not pursue any further appeal.
“We argued in court that we had completed the project on time and obtained deemed approval. But the High Court did not accept our plea. We will honour the order and implement it. We will not challenge it in a higher court,” Gaur said.
Background of the Dispute
The litigation arose from complaints filed by individual allottees who had booked commercial shops in Gaur City Centre, Sector-4, Greater Noida West. The bookings were made under possession-linked payment plans, under which buyers had already paid 30% to 50% of the total consideration, with the balance payable upon possession.
However, possession was not offered within the stipulated contractual period, prompting the allottees to approach UP-RERA between 2021 and 2022.
Inspection Reports Confirm Incomplete Construction
Spot inspection reports placed on record before UP-RERA confirmed that construction work and essential amenities were incomplete, even years after the promised possession dates. Based on these findings, UP-RERA issued directions to the developer to:
• Complete the project and obtain the Occupancy Certificate
• Hand over possession of the shops
• Execute registered sale deeds
• Pay interest for delay at MCLR + 1%, excluding the COVID-19 period
These directions were subsequently affirmed by the Real Estate Appellate Tribunal (REAT).
High Court Rejects Delay in Filing Appeals
Gaursons Hi-Tech Infrastructure challenged the REAT orders before the High Court, but the appeals were filed with significant delays ranging from several weeks to over seven months.
The developer attributed the delay to difficulties in retrieving electronic records due to alleged malware attacks. Both REAT and the High Court rejected this explanation, holding it to be vague, unsupported and lacking bona fide diligence.
The court observed that such explanations failed to meet the threshold of “sufficient cause” under law.
Supreme Court Precedents on Delay Reiterated
While dismissing the appeals, the High Court relied on multiple Supreme Court judgments, reiterating that condonation of delay is not a matter of generosity.
The court emphasized that judicial forums must distinguish between a genuine explanation and a mere excuse, and that litigants cannot expect indulgence where there is clear negligence and inaction.
No Legal Infirmity in RERA Findings
The High Court further held that there was no legal infirmity in the concurrent findings of UP-RERA and REAT, which were based on inspection reports, contractual obligations and statutory provisions.
With the dismissal of the appeals as time-barred, the UP-RERA orders in favour of the shop buyers have attained finality.
Significant Message for Commercial Real Estate Developers
Legal experts say the ruling reinforces the RERA framework and sends a strong signal to developers, particularly in possession-linked commercial projects, that:
• Possession cannot be indefinitely delayed
• Buyers’ funds cannot be retained without accountability
• Deemed approvals cannot override factual non-completion
• RERA timelines and buyer rights will be strictly enforced
The judgment strengthens confidence among commercial allottees, who often face prolonged delays without effective remedies.
