IMPORTANT POINT
Members of Association on whose behalf complaint has been filed cannot be termed as consumers when they have hired services of opposite party for commercial purpose.

Ajit Bharihoke, Presiding Member—M/s Grand Venezia Buyers Association ( Regd.) through its President has filed the consumer complaint against M/s Grand Venezia Commercial Towers Pvt. Ltd. alleging deficiency in service on the part of the above noted opposite party in respect of builder – buyer agreement between 35 members of the complainant Association and the opposite party in respect of respective office spaces booked by those members in the development project undertaken by the opposite party. It is alleged that aforesaid members have booked respective commercial spaces with the intention to use the same exclusively for earning livelihood by way of self employment.

2. The opposite party on being served with the notice of the complaint filed written statement wherein apart from the other pleadings on merit, the opposite party has taken preliminary objection challenging the maintainability of the consumer complaint. The stand of the opposite party is that consumer complaint has been filed by the complainant Association on behalf of the members of the association who have booked commercial spaces in the commercial project and those members cannot be termed as ‘consumers’ as envisaged under section 2 (1) (d) of the Consumer Protection Act, 1986 ( in short, the Act).

3. Learned counsel for the opposite party has taken us through the definition of term ‘consumer’ as provided under section 2 (1) (d) of the Act and submitted that as per the definition, the consumer is a person who buys any goods or hires or avails of any service for consideration but does not include the person who has bought the goods or hired or availed of services for commercial purpose. Expanding on the argument, learned counsel for the opposite party has contended that admittedly, all the 35 members of the association on whose behalf complaint has been filed have booked commercial spaces in a commercial project undertaken by the opposite party. Therefore, in view of exception carved out in the definition of term ‘consumer’, none of the member is a consumer and as such, complaint is not maintainable.

4. Learned counsel for the complainant on the contrary has taken us through the explanation to section 2 (1) (d) and submitted that all the 35 members of the Association on whose behalf complaint has been filed had hired the services of the opposite party exclusively for the purpose of earning their livelihood by way of self employment. Therefore, it cannot be said that they hired the services of the opposite party for commercial purpose and that they are squarely covered by the definition of consumer as envisaged under section 2 (1) (d) of the Act.

5. In order to appreciate the contention of the parties, it would be useful to have a look on the definition of term ‘consumer’ as provided under section 2 (1) (d) of the Act. Relevant section reads as under:

(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 for any commercial purpose; or

(ii) hires or avails of any services 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 beneficiary of such services other than the person who ‘hires or avails of the services for consideration paid or promised, or partly paid and partly promised, or under any system of deferred payment, when such services are availed of with the approval of the first mentioned person but does not include a person who avails of such services for any commercial purposes;

Explanation: For the purposes of this claus