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SUPREME COURT OF INDIA
Mr. A.M. Ahmadi, C.J., Mr. S. Mohan, J.
THE CHAIRMAN, THIRUVALLUVAR
TRANSPORT CORPORATION—Appellant
versus
THE CONSUMER PROTECTION COUNCIL—Respondent
Civil Appeal No. 7142 of 1993—Decided on 9.2.1995

Counsel for the Parties :
For the Appellant :Mr. S. Subramaniam, Sr. Adv. Mr. T. Harish Kumar and Mr. V. Krishnamurthy, Advocates.
For the Respondent: Mr. R.P. Bhatt, Sr. Adv. (A.C.)

Headnote:Consumer Protection Act, 1986 - Section 20 - Motor Vehicles Act, 1988 - Section 165 Claim for compensation arising out of a motor vehicle accident - Deceased sitting in centre of rear seat was thrown in front and hit against iron side bar, sustaining a serious head injury when vehicle suddenly swerved and driver applied brakes - Compensation claim Whether National Consumer Disputes Redressal Commission had jurisdiction to adjudicate upon this claim? - (No)

       Held: The question which then arises for consideration is whether the National Commission had jurisdiction to entertain the claim application and award compensation in respect of an accident involving the death of Shri K. Kumar caused by the use of a motor vehicle. Clearly the Claims Tribunal constituted for the area in question, had jurisdiction to entertain any claim for compensation arising out of the fatal accident since such a claim application would clearly fall within the ambit of section 165 of the 1988 Act. The 1988 Act can be said to be a special Act in relation to claims of compensation arising out of the use of a motor vehicle. The 1986 Act being a law dealing with the question of extending protection to consumers in general, could, therefore, be said to be a general law in relation to the specific provisions concerning accidents arising out of the use of motor vehicles found in Chapter XII of the 1988 Act Ordinarily the general law must yield to the special law . Besides, the complaint in question cannot be said to be in relation to any goods sold or delivered or agreed to be sold or delivered or any service provided or agreed to be provided to the deceased. The expression "service" as defined by the 1986 Act means service of any description which is made available to potential users and includes the provision of facilities inter alia in connection with transport. The accident that occurred had nothing to do with service provided to the deceased. This becomes obvious when one reads the provision along with the definition of complaint in section 2(c) and service in section 2(o) of the 1986 Act. Complaint according to section 2(c) means any application in writing in relation to an unfair trade practice or as a restrictive trade practice adopted by any trader or in relation to goods bought by him or agreed to be bought by him. Both these clauses have no application whatsoever. The third clause relates to the services hired or availed of or agreed to be hired or availed of by a consumer. Therefore, at best it can be said the complaint in question related to the service hired or availed of by the deceased. The complaint in the instant case cannot be said to be in relation to any service hired or availed of by the consumer because the injury sustained by the consumer had nothing to do with the service provided or availed of by him but the fatal injury was the direct result of the accident on account of which he was thrown out of his seat and dashed against an iron handle of the seat in front of him. We have, therefore, no manner of doubt that this case squarely fell within the ambit of section 165 of the 1988 Act and the Claims Tribunal, constituted there under for the area in question had jurisdiction to entertain the same. As pointed out earlier, the 1988 Act and, in particular, the provisions in Chapter XII thereof creates a Forum before which the claim can be laid if it arises out of an accident caused by the use of a motor vehicle. That being a special law would prevail over the relevant general law such as the 1986 Act but in the instant case even that question does not arise for the simple reason that the dispute in question did not attract the jurisdiction of the National Commission, whatsoever, and the National Commission has not shown how it had jurisdiction. The issue was pointedly raised and for reasons best known to the National Commission it failed to come to grip with it. Surprisingly, there is no discussion whatsoever in the order of the National Commission in this behalf. We are, therefore, of the opinion that the National Commission did not have jurisdiction and as counsel for the appellant put it this was a case of unwarranted exercise of jurisdiction. (Para 6)

       Result: Appeal Allowed. Question of jurisdiction decided holding that the National Commission had no jurisdiction. However, in the facts and circumstances of this case the appellant will not be entitled to recover the compensation money already paid to the widow and the child.

       IMPORTANT POINT

       The National Consumer Disputes Redressal Commission has no jurisdiction to adjudicate upon a claim for compensation arising out of a motor vehicle accident.

ORDER

Mr. A.M. Ahmadi, CJI.—The short question which arises for consideration in the present appeal is whether the National Consumer Disputes Redressal Commission (hereinafter called ‘the National Commission’) constituted under Section 20 of the Consumer Protection Act, 1986 (for short’ the 1986 Act’) had jurisdiction to adjudicate upon a claim for compensation arising out of a motor vehicle accident, notwithstanding the jurisdiction conferred on a Claims Tribunal constituted under the Motor Vehicles Act, 1988 (for short ‘the 1988 Act’). The factual matrix in which this question arises for consideration, briefly stated, is as under:

2. Shri K. Kumar was travelling from Kombakonam to Thanjavur on the night between 2nd and 3rd June, 1990 in an omnibus which met with an accident near village Vayalur while trying to avert a bullock-cart. It appears that when the bus driver was in the process of over-taking the bullock-cart, the bullocks got panicky whereupon the driver swerved the bus to the left and ran into the branches of a tree on the road side resulting in damage to the vehicle; the window panes having been smashed. As the vehicle suddenly swerved and the driver applied the brakes Shri K. Kumar who was sitting in the centre of the rear seat was thrown in the front and hit against the iron side-bar, sustaining a serious head injury. Subsequently he succumbed to the injury. The Consumer Protection Council, Tamil Nadu, on behalf of the legal representatives of the deceased lodged a complaint before the National Commission under the 1986 Act claiming compensation. The appellant herein contested the claim contending that the claimant, i.e., the Council, had no locus standi to maintain the action and in any case the National Commission had no jurisdiction to entertain a petition since exclusive jurisdiction was conferred by the 1988 Act on the Claims Tribunal constituted there under. The National Commission, contends the appellant, side-stepped the question regarding jurisdiction and without answering the same awarded Rs. 5.10 lacs by way of compensation with interest at 18% per annum from 1st May, 1992 till the date of payment. In addition thereto a sum of Rs. 10,000/- was awarded by way of costs. The entire payment together with costs was ordered to be made within three months from the date of judgment. It is against the said decision of the National Commission that the present appeal is preferred.

3. In order to appreciate the principal contention relating to the jurisdiction of the National Commission, it is necessary to look to the relevant provisions of the 1986 Act. This law was enacted to provide for better protection of the interests of consumers and for that purpose to make provision for the establishment of Consumer Councils and other authorities for the settlement of consumers’ disputes etc. Section 2 contains the dictionary of the said Act. Section 2(c) defines a complaint to mean any allegation made in writing by a consumer complaining that as a result of any unfair trade practice or a restrictive trade practice adopted by any trader he had suffered loss or damage or the goods bought by him or agreed to be bought by him were defective or the services hired or availed of “or agreed to be hired or availed of by him were deficient in any respect or that a trader was guilty of charging a price in excess of the fixed price or that displayed on the goods or packet containing such goods. Section 2(d) defines a consumer as under :

“Section 2(d)—”consumer’ means any person who,—

(i) buys any goods for a consideration which has been paid or promised or partly paid and partly promised, or under any system of deferred payment and includes any user of such goods other than the person who buys such goods for consideration paid or promised, or partly paid or partly promised, or under any system of deferred payment when such use is made with the approval of such person, but does not include a person who obtains such goods for resale or f





















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