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14.1. In the case of DLF Homes Panchkula Pvt Ltd (supra), the facts- sheet indicates the features of delay in delivery of possession and grant of compensation for such delay by way of interest as also a lump sum and therein, this Court observed that there cannot be multiple heads to grant damages and interest when the parties had agreed to payment of damages in a particular manner. In the given context, this Court, inter alia, observed as under:

“15. The District Forum under the Consumer Protection Act, 1986 (“the 1986 Act”) is empowered inter alia to order the opposite party to pay such amount as may be awarded as compensation to the consumer for any loss or injury suffered by the consumer due to the negligence of the opposite party including to grant punitive damages. But the forums under the Act cannot award interest and/or compensation by applying rule of thumb. The order to grant interest at the maximum of rate of interest charged by nationalised bank for advancing home loan is arbitrary and has no nexus with the default committed. The appellant has agreed to deliver constructed flats. For delay in handing over possession, the consumer is entitled to the consequences agreed at the time of executing buyer's agreement. There cannot be multiple heads to grant of damages and interest when the parties have agreed for payment of damages @ Rs 10 per square foot per month. Once the parties agreed for a particular consequence of delay in handing over of possession then, there have to be exceptional and strong reasons for SCDRC/NCDRC to award compensation at more than the agreed rate.

16. Though the 1986 Act empowers the authorities to award compensation for any loss or injury including building damages but the order of NCDRC or that of SCDRC of awarding compensation is without any foundation being laid down by the complainant on judicially recognised principles and is by rule of thumb. Therefore, we find that grant of compensation under various heads granted by NCDRC cannot be sustained.” 14.2. The case of Wing Commander Arifur Rahman Khan (supra) had been another one of delay in delivery of possession wherein this Court enunciated principles for awarding of compensation for such delay.

In that context, this Court held that compensation in excess of stipulated amount in the agreement was allowable when the stipulated compensation was unreasonable and unfair. Therein, this Court ultimately allowed simple interest @ 6% p.a. with the following observations and directions:

“69. For the above reasons we have come to the conclusion that the dismissal of the complaint by NCDRC was erroneous. The flat buyers are entitled to compensation for delayed handing over of possession and for the failure of the developer to fulfil the representations made to flat buyers in regard to the provision of amenities. The reasoning of NCDRC on these facets suffers from a clear perversity and patent errors of law which have been noticed in the earlier part of this judgment. Allowing the appeals in part, we set aside the impugned judgment and order of NCDRC dated 2-7- 2019 [Rasheed Ahmad Usmani v. DLF Ltd., 2019 SCC OnLine NCDRC 84] dismissing the consumer complaint. While doing so, we issue the following directions:

14. NCDRC has, in addition to the award of interest, granted compensation of Rs 2,00,000 for loss of rent.

Once NCDRC awarded interest for the delayed handing over of possession, there would be no justification to award an additional amount of Rs 2,00,000.” 14.6. In the case of Experion Developers Pvt. Ltd. (supra), another 3- Judge Bench of this Court dealt with a case where the developer did not offer possession within the period stipulated in the agreement and the complainant sought refund of the total consideration of Rs. 2,06,41,379/- with interest at the rate of 24% p.a. The reasons given by the developer for delay in handing over the possession was non-availability of occupation certificate and it was pointed out that after securing occupation certificate on 23.07.2018, notice of possession was issued to the consumers on 24.07.2018. It was, therefore, claimed that possession could be handed over and the complaint ought to be dismissed. The National Commission allowed the complaint and directed the developer to refund the deposited amount with interest @ 9% p.a. In the given context, this Court examined the other decisions of this Court as also the contentions concerning the provisions of the Real Estate (Regulation and Development Act), 2016 and held that the Commission has the power and jurisdiction to direct return of money under Section 14 of the Act of 1986 if the consumer so chooses. The order of the National Commission was approved by this Court with the following observations: -