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2021 Supreme(Online)(NCDRC) 435

NATIONAL CONSUMER DISPUTES REDRESSAL COMMISSION
MR. DINESH SINGH, PRESIDING MEMBER, MR. JUSTICE KARUNA NAND BAJPAYEE, MEMBER
PANSHIL DEVELOPERS PVT. LTD. – Appellant
Versus
M3M INDIA LIMITED & ANR. – Respondent
CONSUMER CASE NO. 2359 OF 2017



Advocates:
For the Complainants: Ms. Kanika Agnihotri, Ms. Yashodhra Gupta
For the Opp.Parties: Mr. A. K. Takkar

Concurrent jurisdiction does not allow simultaneous proceedings for the same relief in different forums if the matter has been previously adjudicated.

Headnote:(A) Consumer Protection Act, 1986 - Section 2(1)(d) - Concurrent Jurisdiction - Abuse of Process. The complainant filed simultaneous proceedings before two different authorities over the same cause of action, violating principles of Section 10 and 11 of the CPC. The court found that maintaining two concurrent proceedings for the same relief is unreasonable and leads to potential contradictory verdicts, emphasizing the need for judicial consistency. (Paras 10-14)

(B) Legal Principles - The court reiterated that if a matter is already adjudicated in one competent forum, pursuing it in another similarly competent forum is impermissible. This stance is supported by the Supreme Court in previous case law regarding res judicata and the election of remedies. (Paras 10-12)

Facts of the case:
The complainant filed a consumer complaint against a builder seeking significant financial relief while also concurrently filing a complaint with the RERA for the same issue.

Findings of Court:
The continuation of proceedings in this Commission was deemed unreasonable and an abuse of process due to parallel proceedings in RERA. As such, the complaint was returned un-adjudicated.

Issues: Whether the complainant is a consumer under the CP Act and the legality of maintaining simultaneous proceedings in two different statutes.

Ratio Decidendi: The court held that dual proceedings in different forums on the same issue violate principles established under the CPC, fostering clarity and consistency in legal adjudication.

Result: The complaint was returned un-adjudicated.

Table of Content
1. application for dismissal of complaint on grounds of abuse of process. (Para 1 , 2 , 3)
2. comparison of prayers in complaints shows similar essence. (Para 4 , 6)
3. concurrent forums cannot be used simultaneously for same relief. (Para 10 , 11 , 12)
4. abuse of process arises when a party improperly uses the judicial process for ends unrelated to justice. (Para 13)
5. proceedings are deemed unsustainable due to previously settled issues. (Para 14 , 15)
6. the complaint is returned without adjudication. (Para 16 , 17)

1. This is an application filed by the opposite party builder co. seeking dismissal of the complaint, essentially on two grounds:

one: abuse of the process of law by the complainant real estate co.; and

two: the complainant real estate co. is not a consumer within the meaning of Section 2 (1)(d) of the Act 1986 (corresponding Section 2 (7) of the Act 2019) [the CP Act].

2. In respect of the first question, re abuse of the process of law, learned counsel for the opposite party submits that the complainant filed the instant consumer complaint no. 2359 of 2017 before this Commission on 11.08.2017. Subsequently it also filed complaint no. 1431 of 2018 before the Real Estate Regulatory Authority (RERA) on the same cause of action. The opposite party too filed complaint no. 903 of 2019 before the RERA. The RERA decided both complaints together and made its Order dated 12.12.2019, against which Order the complainant has filed appeal no. 211 of 2020 with the Real Estate Appellate Tribunal (REAT) wherein notice has been issued and the appeal is pending.

3. Learned counsel for the opposite parties further submits that a perusal of the respective prayers made before this Commission and before the RERA shows that their essence is the same, and they have been filed on the same cause of action.

4. Here, for reference, the respective prayer clauses in the complaint no. 2359 of 2017 dated 11.08.2017 before this Commission and in the complaint no. 1431 of 2018 dated 12.11.2018 filed before the RERA are reproduced below:

prayer clause in C.C. No. 2359 of 2017 before this Commission:

1. Direct the Opposite Party to pay a sum of INR 15,94,62,648/- (Rupees Fifteen Crores Ninety Four Lacs Sixty Two Thousand Six Hundred Fourty Eight Only), as total amount to all the complainants along with pendenlite and future interest @24% per annum, till the actual realization of the amount;

2. Direct the Opposite Party to pay a sum of INR 3,68,85,802/- (Rupees Three Crore Sixty Eight Lacs Eighty Five Thousand Eight Hundred and Two Only) paid by the complainant towards bank charges (including interest) as on 31.07.2017 for the loan availed from PNB Housing Finance Ltd.

3. Direct the Opposite Party to pay a sum total of Rs. 10,00,000/- (Rs. Ten Lacs Only) as compensation and damages for the mental agony, harassment and opportunity loss and also pay Rs. 2,50,000/- (Rs. Two Lacs Fifty Thousand Only) as a litigation cost to the complainants.

4. Pass any other such order(s), as this Hon’ble Court deems fit and proper in the facts and circumstances of the case.

prayer clause in complaint no. 1431 of 2018 before the RERA:

(i). Direct the respondents to pay a sum of INR 15,94,62,648/- (Rupees Fifteen Crores Ninety Four Lacs Sixty Two Thousand Six Hundred Forty Eight Only) alongwith pendenlite and future interest as per prescribed rate of interest, till the actual realization of the amount.

(ii) Direct the respondents to pay a sum of INR 4,65,01,780 (Rupees Four Crore Sixty Five Lacs One Thousand Seven Hundred Eighty Only) paid by the complainant towards bank charges (including interest) as on 31.10.2018 for the loan availed from PNB Housing Finance Ltd.m of est as per prescribed rate of interest, till the actual realization of the amount.

(iii). Pass any other such order(s), as this Hon’ble Authority deems fit and proper in the facts and circumstances of the case.

6.) INTERIM ORDER, IF PRAYED FOR:

(i) That the Hon’ble Authority may kindly direct to responden































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