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2018 Supreme(SC) 496

SUPREME COURT OF INDIA
DIPAK MISRA, CJI., D.Y. CHANDRACHUD, INDU MALHOTRA, JJ.
STATE OF UTTAR PRADESH THROUGH PRINCIPAL SECRETARY & ORS. – APPELLANTS
VERSUS
ALL U.P. CONSUMER PROTECTION BAR ASSOCIATION – RESPONDENT
CIVIL APPEAL NO.(s). 2740 OF 2007, WRIT PETITION (CIVIL) NO. 164 OF 2002
Decided on : 18-05-2018

Headnote:Consumer Protection Act, 1986 – Section 30 – Framing of rules – With consensus held, Rules framed by the Central Government approved by Supreme Court will be adopted by the State Governments by framing appropriate rules in exercise of the rule making power under Section 30 within three months. (Para 7)

       Facts of the case:

       The issue arising for consideration in the present civil appeal and writ petition pertains to the paucity of infrastructure in the Consumer Fora all over the country.

       Finding of the Court:

       Model rules filed by Central Government along with affidavit dated 22.3.17 approved by consensus.

       Result: States directed to frame appropriate rules under section 30 within three months.

JUDGMENT

INDU MALHOTRA, J:

1. The issue which arises for consideration in the present civil appeal and writ petition pertains to the paucity of infrastructure in the Consumer Fora all over the country.

2. This Court vide order dated 14th January, 2016 constituted a three-member committee presided over by Justice Arijit Pasayat [Retired] to examine various aspects as enumerated in the Order. The said committee was requested to forward its deliberations to the various State Governments.

3. By Order dated 21st November, 2016 this Court issued directions to the Union Government to frame Model Rules for the purpose of ensuring uniformity by the State Governments in the exercise of the rule-making power under Sections 10(3) and 16(2) of the Consumer Protection Act, 1986. The directions issued by this Court are reproduced hereunder:

“(i) The Union Government shall for the purpose of ensuring Uniformity in the exercise of the rule making power under Section 10(3) and Section 16(2) of the Consumer Protection Act, 1986 frame model rules for adoption by the State Governments. The model rules shall be framed within four months and shall be submitted to this Court for its approval;

(ii) The Union Government shall also frame within four months model rules prescribing objective norms for implementing the provisions of Section 10(1)(b), Section 16(1)(b) and Section 20(1)(b) in regard to the appointment of members respectively of the District fora, State Commissions and National Commission;

(iii) The Union government shall while framing the model rules have due regard to the formulation of objective norms for the assessment of the ability, knowledge and experience required to be possessed by the members of the respective fora in the domain areas referred to in the statutory provisions mentioned above. The model rules shall provide for the payment of salary, allowances and for the conditions of service of the members of the consumer fora commensurate with the nature of adjudicatory duties attract suitable and the need to talent to the adjudicating bodies. These rules shall be finalized upon due consultation with the President of the National Consumer Disputes Redressal Commission, within the period stipulated above;

(iv) Upon the approval of the model rules by this Court, the State governments shall proceed to adopt the model rules by framing appropriate rules in the exercise of the rule making powers under Section 30 of the Consumer Protection Act, 1986.

(v) The National Consumer Disputes Redressal Commission is requested to formulate regulations under Section 30A with the previous approval of the Central Government within a period of three months form today in order to effectuate the power of administrative control vested in the National Commission over the State Commissions under Section 24(B)(1)(iii) and in respect of the administrative control of the State Commissions over the District fora in terms of Section 24(B)(2) as explained in this Judgment to effectively implement the objects and purposes of the Consumer Protection Act, 1986.”

4. On 4th March, 2017, the three-member committee submitted a detailed report to the Court.

5. The Union of India framed draft rules and regulations which were placed for consideration before this Court. During the course of hearing on 07th March, 2017 a need for certain modifications to the Model Rules was expressed by the learned Counsel representing various parties.

6. The Union of India filed an affidavit on 22nd March, 2017 wherein the Final Draft Model Rules were framed and annexed as Annexure-II.

7. In compliance with the directions issued by this Court on 21 November 2016 and 15 December 2017, an affidavit has been filed by the Union of India in April 2018. Paragraphs 9 and 10 of the affidavit are extracted below :

“9. It is respectfully submitted that there are two possible ways at this juncture of the Central Government in this behalf. One method is that the Rules, which have been framed by the Central Governmen











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