SUPREME COURT OF INDIA
M. R. SHAH, KRISHNA MURARI, JJ.
Rajiv Shukla - Appellant
Versus
Gold Rush Sales and Services Ltd. & Anr. - Respondents
Civil Appeal No. 5928 of 2022
Decided on : 08-09-2022
(A) Consumer Protection Act, 1986 – Section 21(b)[ Consumer Protection Act, 2019 – Section 58] – Revisional Jurisdiction – Powers of National Commission are very limited – Only in a case where it is found that State Commission has exercised its jurisdiction not vested in it by law, or has failed to exercise jurisdiction so vested illegally or with material irregularity, National Commission would be justified in exercising revisional jurisdiction – In exercising of revisional jurisdiction National Commission has no jurisdiction to interfere with concurrent findings recorded by District Forum and State Commission which are on appreciation of evidence on record. (Para 7.1)
(B) Consumer Protection Act, 1986 – Section 21(b)[ Consumer Protection Act, 2019 – Section 58] – Automobile – Supply of old defective car – National Commission modified orders passed by District Forum confirmed by State Commission and directed to pay compensation in sum of Rs.1 lakh to be paid to complainant – When complainant-customer booked a new car and paid sale consideration of a new car, dealer was supposed to and/or bound to deliver new car – Instead, respondent no.1-dealer delivered used car which was used as “Demo-Test Drive Vehicle” – Not to deliver new car despite full sale consideration paid and/or to deliver defective car can be said to be unfair trade practice – Such findings of facts recorded by District Forum and State Commission were not required to be interfered by National Commission in exercise of revisional jurisdiction – Impugned judgment and order passed by National Commission in Revision Petition quashed and set aside – Judgment and order passed by District Forum as confirmed by State Commission restored. (Paras 2.1, 7, 7.1, 7. and 8)
Facts of the case:
Original complainant Judgment and Order dated 04.01.2016 passed by National Disputes Redressal Commission, New Delhi in Revision Petition No.2082 of 2015 by which National Commission in exercise of revisional jurisdiction has set aside the concurrent findings recorded by the District Forum as well as State Commission.
Findings of Court:
Both, District Forum as well as the State Commission specifically gave the findings that the vehicle delivered was used car which was used as “Demo-Test Drive Vehicle”. While passing impugned judgment and order the National Commission has acted beyond the scope and ambit of the revisional jurisdiction conferred under Section 21(b) of Consumer Protection Act.
Result : Appeal allowed with costs.
JUDGMENT :
M. R. Shah, J.
1. Feeling aggrieved and dissatisfied with the impugned judgment and order dated 04.01.2016 passed by the National Disputes Redressal Commission, New Delhi (hereinafter referred to as the ‘National Commission’) in Revision Petition No.2082 of 2015 by which the National Commission in exercise of revisional jurisdiction has set aside the concurrent findings recorded by the District Forum as well as the State Commission, the original complainant has preferred the present appeal.
2. That the appellant herein – original complainant purchased a Tata Victa GX TC Car. He deposited the booking amount with the dealer – M/s. Gold Rush Sales and Services Ltd. – respondent no.1 herein against which a receipt was issued. That thereafter the complainant deposited a further sum of Rs.5,30,000/towards purchase amount of the said vehicle. That the booked car was not delivered to the complainant till 26.05.2006. However, the delivery of the car was given to the complainant after a period of one year of deposit of the total amount, which as such was an old one and was of 2005 model and in fact was a used car. It was also having various other defects. That according to the original complainant the car was old and it had already run upto 10,000 kms. The car which was delivered was used by the dealer as “Demo-Test Drive Vehicle”. The original complainant lodged the FIR with the police. However, the matter could not be settled and therefore, the complainant filed a complaint before the District Forum with the following prayers:
"i) pass the order to opposite party to replace aforesaid delivered used car Tata Victa GX TC Model no. 2005, Chasis No. 446370702938757, Registration No. U.P. BS8084 and delivered new car/vehicle to the applicant/consumer.
ii) pass an order for refund all such amounts with interest to which the opposite parties has taken to the applicant/consumer.
iii) pass an order against the opposite parties to pay five, compensation, damages, expenditure, claims and all such amounts with due interest to the applicant/consumer accordingly as calculated and claimed in the paras 24 of the application.
iv) to pass such order appropriate or direction which the Hon'ble Court may deem just in the interest of justice and as well as according to the circumstances of the case".
2.1 The District Forum allowed the complaint and directed the respondent no.1 – dealer to take back the delivered vehicle and in lieu thereof to deliver a new car to the complainant against the previously deposited amount. The District Forum also awarded a sum of Rs.5,000/towards the mental agony besides a sum of Rs.2500/towards litigation costs. The District Forum specifically gave a finding that the delivered car was used car and was being used as “Demo-Test Drive Vehicle”.
2.2 The order passed by the District Forum came to be confirmed by the State Commission. However, by the impugned judgment and order and while exercising the revisional jurisdiction, the National Commission has set aside the findings of facts recorded by the District Forum as well as the State Commission that the car delivered was used car. However, having given the findings that the complainant got a defective car, the National Commission modified the orders passed by the District Forum confirmed by the State Commission and directed to pay compensation in the sum of Rs.1 lakh to be paid to the complainant.
2.3 Feeling aggrieved and dissatisfied with the impugned judgment and order passed by the NCDRC National Commission, the complainant has preferred the present appeal.
3. Shri Praveen Agrawal, learned counsel appearing on behalf of the appellant – original complainant has vehemently submitted that the National Commission has materially erred in upsetting the findings of facts recorded by the District Forum and the State Commission that the car delivered was a used car. It is submitted that on appreciation of evidence on record, both, the District Forum as well as the State Commission
(1) Revisional Jurisdiction – Powers of National Commission are very limited.(2) Not to deliver new car despite full sale consideration paid and/or to deliver defective car can be said to be unfair t....
(1) Evidence - The District Forum in pursuance of its mandate under Section 13 was required to have the necessary evidence produced before it prior to drawing an adverse inference.(2) Order to replac....
The requirement of substantial evidence to support claims of manufacturing defects in consumer protection cases is essential for claims to be upheld.
The court emphasized the importance of evidence in proving delivery of goods in deficiency of service cases.
“Selling of a second-hand car in place of a new car, after accepting the full consideration price for new car constitutes unfair trade practice.”
“Unapproved fitment” - Merely typing the expression “unapproved fitment” does not even by preponderance of evidences show that there was any unapproved fitment.
Deficiency in service occurs when repossession is conducted unlawfully without proper notice, violating consumer protection laws.
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