Homebuyers have a right to protest peacefully against builders, rules Supreme Court
The Supreme Court has ruled that homebuyers have a right to protest peacefully against builders for their grievances and it doesn't amount to defamation
The Supreme Court ruled on April 17 that homebuyers have a right to peacefully protest against builders over their grievances, and such actions do not amount to defamation. The Court emphasized that expressing consumer dissatisfaction through non-abusive banners or peaceful demonstrations is protected under the right to free speech.
It quashed criminal defamation proceedings filed against a group of homebuyers who had displayed a banner outside the developer’s premises highlighting poor construction quality. The Court stated that consumers voicing concerns in temperate language against the service provider cannot be criminalised for exercising their rights.
Homebuyers did not cross the ‘lakshman rekha’: SC
"We find that the manner of the protest resorted to by the appellants was peaceful and orderly and without in any manner using offensive or abusive language. It could not be said that the appellants crossed the lakshman rekha and transgressed into the offending zone," a bench of Justices K V Viswanathan and N Kotiswar Singh said.
"A right to protest peacefully without falling foul of the law is a corresponding right, which the consumers ought to possess just as the seller enjoys his right to commercial speech. Any attempt to portray them as criminal offences, when the necessary ingredients are not made out, would be a clear abuse of process and should be nipped in the bud," observed the bench as per a report filed by Livelaw.
No intemperate language used by homebuyers against the developer: SC
The top court observed "no foul" or intemperate language used by the homebuyers against the developer. "There is no reference to any expression like 'fraud, cheating, misappropriation', etc. In mild and temperate language, certain issues, which the appellants perceived as their grievances have been aired...," the bench noted.
The top court observed language is the vehicle through which thoughts are conveyed and said, "Had the appellants exceeded their privilege in erecting the banner? We do not think so. As set out earlier, all that the banner depicts is what they thought were their grievances against the respondent with whom they had a business relationship."
The bench said that, "The banner sets out that one of the issues was “ignoring grievances” implying thereby that there have been running issues between the two – something which is bound to occur in a builder-buyer relationship."
"Their case wholly falls within the sweep, scope and ambit of exception 9 to Section 499. Their peaceful protest is protected by Article 19(1)(a) (b) and (c) of the Constitution of India. The criminal proceedings levelled against them, if allowed to continue, will be a clear abuse of process," it held.
The back story
The defamation case was filed against homebuyers by a Borivalli-based builder for erecting banners with "false and defamatory statements".
Allottees of a building in Borivalli had put up a banner in August 2015 a year and six months after they had received possession. The grievance raised in the banner pertained to not forming the society even after 18 months, not giving society accounts, not cooperating with the residents, not attending to builders’ defects, not sorting water issues, poor lift maintenance, leakage problem, plumbing issues, dirty/bouncy approach road, broken podium, shabby garden, ignoring grievances and non-cooperation. The caption read ‘we protest for our rights,’ the order showed.
The Borivali magisterial court in Mumbai on October 4, 2016, after examining the complaint and verifying the complainant' statement, issued summons against the homebuyers.
The homebuyers moved the Bombay High Court seeking to quash the complaint and the summons but failed. They later approached the Supreme Court and challenged the summons in the defamation case filed by the builder.
