INTRODUCTION
Deficient housing services sometimes relate to situations where people receive subpar housing services. It can occur due to various circumstances, including faulty constructions, lack of maintenance, and insufficient funding. Deficient housing services can be divided into two categories: service failures and service recovery. Service failure in construction and housing can have severe implications, such as poor health outcomes, greater energy use, and decreasing property values. Service recovery in buildings and housing refers to the steps taken by a service provider to rectify a service failure. Service failure in construction and housing refers to a situation in which individuals’ housing expectations are not entirely satisfied due to a service provider’s fault. Poor craftsmanship, insufficient ventilation, and perhaps a lack of insulation are examples of service failures in the building and housing industry. Service recovery in buildings and housing is crucial as it can help restore resident confidence, trust, and satisfaction. Service recovery in buildings and housing can take the form of compensation, such as offering a refund, discount, or simply an apology. The fact that consumers shall pay increased costs for the plot is not a deficiency of service.[1] Service is an essential aspect in determining the success of any organization. As, providing good service and good quality work can boost client loyalty, encourage repeat business, and generate favourable word-of-mouth advertising.
Furthermore, the client’s happiness might result in higher revenue and profitability. As a result, firms that aim to provide somewhat outstanding service only have a distinct advantage over those that do not. Service delivery can be classified as either physical or intangible. Tangible services, such as haircuts, are somewhat physical in form, whereas intangible services, such as financial advice, are not physical. The Supreme Court had held the nature of the test for determining service deficiencies and the distinction between tortious acts and service deficiencies.[2] Service delivery can take several forms which may include providing a product, completing an assigned task, or proposing a solution to a problem.
UNFAIR TRADE PRACTICES LEADING TO DEFICIENCY OF SERVICE
There are several causes of deficient housing services. One of the primary causes is poor construction. Poorly constructed buildings that do not meet building codes have either structural defects or are poorly insulated. Poor construction results in several health hazards such as poor indoor air quality, increased energy consumption, and increased maintenance costs. Another cause of deficient housing services is a need for more maintenance. Buildings that are not well-maintained may have mild moisture or other concerns that can harm the resident’s health. A lack of upkeep can result in increased energy usage, lower property values, and more maintenance expenditures. Inadequate resources are another typical cause of poor housing services. This can result in delays, mistakes, or a lack of attention to detail, which can further lead to resident dissatisfaction.[3]
An example of a service deficit caused by a delay in handing over the possession of the property happens when the customer somehow bought a block of land from the Haryana Urban Development Authority (HUDA) in the year 1995 but the possession was still not received. Despite the repeated requests or reminders sent, HUDA has failed to provide possession of the site for more than ten years. As a result, a complaint was filed against HUDA for a lack of service, and the case was referred to the National Consumer Disputes Redressal Commission (NCDRC). The NCDRC held that HUDA had failed to provide adequate services to the consumer and regarded it as a deficiency in service. An order was given by Hon’ble NCDRC to HUDA, to provide compensation for the delay in turning over possession of the plot.[4] It was also held that in case of any delay, the consumer has the right to seek compensation for the losses and inconvenience caused by the delay. The case also emphasizes the need for effective consumer protection laws and the role of consumer courts in resolving disputes related to deficiency of service in the real estate sector.
CONSEQUENCES OF DEFICIENT SERVICES
The effects of inadequate housing services can be pretty serious. Residents receiving inadequate housing services may feel unsatisfied with the services provided to them and might move out. This could lead to a loss of income and market share for the service providers. Deficient service lowers the morale of the staff, employees working for a company that delivers bad service may get discouraged and disengaged which then leads to excessive employee turnover, low productivity and poor work performance. Furthermore, tenants disappointed with their housing experience are somehow more likely to tell others about it, resulting in negative impressions about the property, and word-of-mouth advertising causing a loss to the service provider’s reputation. The issue of lack of clarity regarding the promised facilities raises legal concerns about the protection of consumers; construction agreements relating to the facilities have been violated by the builders, although they state that they will continue to provide compensation in the form of other amenities and through this coordination according to the mandate of the law and the revision of legal protection against consumers an alternative has been brought down.[5]Deficient housing services might lead to damage to one’s health. Poor indoor air quality and mild wetness can cause respiratory troubles such as allergies and other health problems. Furthermore, inadequate insulation can lead to higher energy use, raising energy prices and contributing to climate change. Individual’s physical and mental well-being depends on providing quality housing services. Thus, service providers must identify the causes of inadequate housing services and take necessary action to solve them. This can involve allocating enough resources, implementing preventative maintenance plans, and providing adequate personnel training. This allows service providers to guarantee that they offer high-quality housing services that fulfil residents’ needs and expectations.
Author(s) Name : Priyanshu Raj (CHRIST (Deemed to be University), Bangalore)
Reference(s):
[1] Pardeep Sharma v. HUDA, [2016] 13 SCC 718.
[2] Ravneet Singh Bagga v. KLM Royal Dutch Airlines, [2000] 1 SCC 66.
[3] Roy, S. (2016). “The Smart City Paradigm in India: Issues and Challenges of Sustainability and Inclusiveness.” Social Scientist, 44(5/6), 29-48.
[4] Chief Administrator HUDA v. Shakuntala Devi, AIR [2017] SC 70.
[5] Shevkari, N S “Deficiency in Housing and Construction Services under the Consumer Protection Act” (2022-2023) 4 Indian Journal of Law and Legal Research 1-10.
