Ernakulam consumer court orders Nibav Lifts to refund ₹2.69 lakh to retired High Court judge

The District Consumer Disputes Redressal Commission at Ernakulam has directed home elevator manufacturer Nibav Lifts Private Ltd. to refund ₹2,69,865 with 7.25% interest to a retired Kerala High Court judge and his wife, after finding the company guilty of deficiency in service and unfair trade practice. The order, passed on August 13 by a bench of President D.B. Binu, Member V. Ramachandran, and Member Sreevidhia T.N., also imposed ₹25,000 in litigation costs.

A Promise of Convenience Turns Sour

Justice (Retd.) T.R. Ramachandran Nair and his wife Mrs. Suja Ramachandran approached Nibav Lifts in 2022 to install a home elevator at their Cochin residence. The need arose because Mrs. Ramachandran suffered from knee pain and was advised to avoid climbing stairs, yet the house had no bedroom on the ground floor. After seeing the company's advertisement on YouTube, they contacted the local office in Fort Kochi and were given a demonstration.

On July 14, 2022, following assurances from the company’s Business Development Manager (BDM), the couple paid 25% of the total cost — ₹2,69,865 — as an advance. The BDM had promised that if the technical team found any feasibility issues, the amount would be refunded. A stabilizer payment of ₹22,500 was also made separately.

When the technical team finally visited on August 3, 2022, they discovered that the front door of the drawing room lacked the required 1-meter width to bring the lift inside. The only alternative suggested — cutting open window grills — was rejected by the complainants, who feared damage to their recently renovated home. They cancelled the order via email on August 8, 2022, and demanded a refund.

Company’s Stance: “No Cancellation Once Order Confirmed”

Nibav Lifts contended that the complainants had entered into a binding agreement with a clear cancellation policy. The company argued that its technical team had offered multiple solutions, including delivering the lift in parts through a 750mm-wide opening, and that the complainants had even reconfirmed the project on September 6, 2022. The company claimed the complainants were unwilling to make minor furniture adjustments, and that the order could not be cancelled once confirmed.

Commission’s Verdict: Technical Responsibility Lies with the Company

The Commission appointed an expert commissioner to inspect the site, whose report confirmed that installing the lift would require relocating furniture — including a sofa-cum-bed and a three-seater sofa — thereby altering the room’s layout and usability.

In its analysis, the Commission held that the company, being the technically skilled party, bore the responsibility of properly assessing the feasibility before accepting payment. The complainants, as consumers, could not be expected to foresee such installation challenges.

“The complainants need not be technically skill enough to evaluate the consequences of installing the machine even before it is being installed. But the opposite parties in this case, must obviously be aware of the consequence and aftereffect of such an installation.”

The Commission found that Nibav Lifts “had not exercised proper attention; care etc. while entering into the agreement” and that the failure to conduct an adequate feasibility study constituted unfair trade practice and deficiency in service.

The Final Order

The Commission ordered the first opposite party (Nibav Lifts Private Ltd.) and the second opposite party (the Business Development Manager) to jointly and severally:

  • Refund ₹2,69,865 with interest at 7.25% from the date of filing the complaint (March 29, 2023) until realization.
  • Pay ₹25,000 as litigation costs.

The entire amount must be paid within 45 days, failing which the interest rate on the refund amount will continue to apply. The second opposite party was set ex-parte for failing to file a written version.

The ruling reinforces the principle that companies cannot shift the burden of technical feasibility onto consumers and must exercise due diligence before accepting advance payments.